Further fall in housing prices on secondary market near Kyiv not to be seen if hryvnia were stable, says expert
Kyiv, June 30 (Interfax-Ukraine) – Housing prices on the secondary market in Kyiv suburbs would not fall in the future if the hryvnia to the U.S. dollar were stable, according to the director general of Kyiv-based Kanzas Company, Oleksiy Kiselev.
"If we believe to National Bank's declarations that the hryvnia is strengthening, there would not be the further fall in the prices of out-of-town real estate, but no one would see a jump in the prices as it was before the crisis – by 10-15% per month," he said at a press conference at Interfax-Ukraine on Wednesday.
Kiselev said that prices would gradually grow if mortgage crediting with 10-11% interest rates in hryvnias would begin.
He added that if before crisis housing prices on the secondary market in Kyiv's suburbs was almost the same as housing prices in Kyiv outlying districts, for example, in Troyeschyna District, during crisis apartment prices in suburbs fell more in hryvnias compared to Kyiv.
Kiselev said that on the secondary market in Kyiv's suburbs singe deals are signed with the price of one square meter from $800 to $1,000. The discount could reach 20%.
Analyzing the estate market in Kyiv's suburbs, the Kanzas director general said that today mainly cheap houses from 80 to 200 square meters with the average price of some $1,100 per square meter are sold or expensive houses from 150 to 350 square meters with the average price of $2,000 per square meter.
In turn, Dialogue Classic Company Director Artem Novykov said that demand on the suburban primary market is 10-15% of the pre-crisis period.
He added that supply of decorated apartments has grown.