Baku's secondary market cheapens in May
Azerbaijan, Baku, July 2 / Trend A.Akhundov /
Average prices on the secondary housing market in Baku in May dropped by 1.3 percent to $1,000 per square meter compared to $1,013 in April, the NGO Property Market Participants said.
Processes occurring on the market negatively affected the pace of housing construction resulting in limited rehabilitation opportunities, and turnover of new buildings.
"This, in turn, led to lower prices of new buildings entering the secondary market. In May, the volume of proposals on the secondary housing market increased by 0.9 percent compared to April," the report reads.
The prices decreased in the Sabunchu district of Baku, the report said.
The proportion of secondary residences proposed for the market at a price lower than the average, amounted to 56.5 percent.
The average room rate on the secondary market in May was 2.74, with the average price of each room at $43,651 and house - $ 111,656.
The price index also fell by 2.6 points to 183.6. Proposals on the market increased by 0.9 percent. Roughly 6,900 flats were proposed on the market.
The dynamics of the purchase and sale transactions decreased by 1.6 percent.
The most attractive areas in the secondary housing market of Baku were Khatai and Yasamal. In general, the bulk of operations in the mortgage process fell to these districts.
The share of Yasamal, Nasimi, Narimanov and Khatai districts in the proposal portfolio was 79.1 percent. The formation of the portfolio is linked with the entry of new buildings on to the market