Expert: Azerbaijan's real estate market not to observe activization in 2010
Azerbaijan, Baku, Sept. 13 / Trend A.Akhundov /
Activization is not expected in Azerbaijan's real estate market in 2010, Baku Realtors Association Head Elnur Azadov said on Monday.
Prices for the real estate market of Azerbaijan fell by 0.8 percent in July, by 7.7 percent since early 2010 and by 7.2 percent compared to the same period of 2009.
The primary housing market observed increase in prices in July at 0.1 percent from $799 per square meter in June to $ 800 in July. The prices fell by 10.1 percent since early 2010 and by 16.1 percent compared to the same period of 2009. The average price of apartments in the primary housing market amounted to $90,408 in July.
Prices in the secondary housing market fell by 0.5 percent - from $1,320 per square meter to $1,314 in July. The prices fell by 4.6 percent since early 2010 and by 4.9 percent compared to the same period of 2009. The average price of apartments in the secondary market was $97,201.
To revitalize the market, should be created the most favorable conditions for construction companies and conditions for the development of real estate companies, as well as the government should provide support to improve the quality of services in sale and purchase of real estate, Azadov said.
"The Azerbaijani population is deeply in need of professional realtors. A scientific approach, education, institutes, courses and trainings are required in this area," he said.
According to him, many real estate companies in the country have closed or reduced their activities in connection with the global financial and economic crisis.
"Many real estate companies either closed or reduced their activities in response to the crisis. In addition, more than 80 percent of persons carrying out activities in this area, work illegally," Azadov said.
Should be created conditions for persons carrying out activities in this area to work formally, he added.
"There must be created conditions for persons who work in this area, so they did it officially. At the same time they will be responsible, which means improving the quality of realtors," Azadov said.
He said one may observe an increase in the number of members of the association. The official number of members of the association is about 30 companies today.
"Large companies are deeply aware of the need to join the association. They have the financial ability to pay dues and they join the association. A company or individuals who have financial difficulties, can not pay dues, they are therefore not enter into an association," Azadov said.
Baku Realtors' Association was registered in the Azerbaijani Justice Ministry registered the Association in October 2008. The membership fee for legal entities is 300 manat and physical entities - 150 manat.
The association's main objectives are to define standards for the functioning of real estate activities in Azerbaijan, to establish the professional training center, and to introduce realtors' certification system
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