Experts Forecast Drop in Housing Prices in Baku

Business Materials 24 April 2008 18:43 (UTC +04:00)

Azerbaijan, Baku, 24 April/ corr. Trend U. Ismayilova/ The real estate prices in Baku are expected to drop by 5% in the summer, Elnur Azadov, the representative of Caspian Property Services assessment company said on 24 April.

"The drop in prices will not only be because of the seasonal indicators, but also due to the prevailing standstill in real estate market of the country," Azadov said.

In August 2007, a 16-storied building collapsed in one of the central streets of Baku where upon 25 people died. According to the estimations of experts, the incident caused about 34% drop in the activities of the market.

According to Azadov, usual development of the market is disturbed as there will be drop not because of the holiday season as before, but because of the unprofitable nature of the market.

At present, the prices vary from AZN1,500 to AZN2,500 for a cu. m. in the first market of first zone of the city, from AZN1,200 to AZN2,000 in the second zone, from AZN700 to AZN1,000 in the third zone and from AZN450 to AZN700 in the fourth zone.

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