Azerbaijan, Baku, July 3 / Trend U. Ismayilova /
Prices for the real estate market of Baku may drop by 20-22 percent before the end of 2011, expert, director general of MBA Group consulting company Nusret Ibrahimov said.
He said that prices in the housing market of Baku will drop before the end of 2011, and the relative recovery of the market is expected only by 2013.
Speaking of prices for cheap apartments, Ibrahimov said that prices do not drop. The reason for this is the maximal amount of a mortgage loan, which amounts to 55,000 manat.
Ibrahimov also said that the country's population should not expect a serious drop in prices for houses and the lowest prices, which were in the country until 2005. It was possible to buy a one-room-flat for $10,000.
"The trend in prices over the past 22 years (after 1988) has shown that, if prices in the Azerbaijani real estate market increase by 100 percent, then they will not reduce more than 50 percent in the reverse process," Ibrahimov said.