Azerbaijan, Baku, April 1 / Trend U. Ismayilova /
MBA Group Consulting Company CEO Nusret Ibrahimov said Azerbaijan's real estate market may be deemed stable as of the first quarter of 2011. However, the market also indicated a downward spiral tendency.
"I think this situation will remain in the real estate market until the end of the chaotic shifts, which are linked to the illegal buildings' registration processes," he added.
Azerbaijan will soon adopt a registration mechanism for illegally built private homes. According to unofficial data, the number of illegally built private homes in the country is over 500,000.
Ibrahimov believes the market may become more active only after all of these changes have become finalized. However, given the current level of risk in the market, potential customers and even members prefer the more cautious policy of waiting.
"Due to these processes, the number of residential buildings constructed in Azerbaijan decreased by 10-13 percent compared to the first quarter of 2010, while the construction of non-residential buildings increased by almost 15-16 percent," he said.