Real estate prices in Ukraine to continue falling in 2016 – experts
The fall in the U.S. dollar prices of property in Ukraine will continue in 2016 and it could be from 3% to 5% a month, Chair of the Chamber of Realtors of Ukraine Viktor Nesin has said.
"I think that the downward trend for prices would retain and it will be seen in 2016. This will not be a slump, but I think that we will see a fall of 3-5% a month," he said at the press conference devoted to the investment attractiveness of the Ukrainian real estate market in eyes of foreign investors in Kyiv on Thursday.
He said that the price decline is related to low demand, which exceeds supply on the Ukrainian real estate market in dozens of times.
"According to our estimates, one buyer is per 25 sellers [of property]. Buyers have a large choice… I don’t remember any real estate facility that was sold without a discount of 10-50% this year," he said.
Nesin said that in 2012 and 2013 around 4,000 transactions a month were seen on the property market in Kyiv, and today their number is 300-400. He said that he does not see a trend that their number would grow.
President of the Union of Realtors of Ukraine Oleksandr Rubanov said at the press conference that in November 2015 the price situation stabilized. A slow in the decline in the U.S. dollar prices was seen on the primary real estate market of Ukraine, and the slow in the increase in the hryvnia prices was recorded.
"In 2016, we would not see a rise in the prices for sure, and I'm afraid that the same situation will be in 2017. Maybe we will manage to stabilize the situation by 2018," Rubanov said.
Advisor to WCDI President Yuriy Seniuk said at the press conference that 2016 will be a watershed for the Ukrainian real estate market.