Demand for agricultural land grows in Georgia

Business Materials 8 April 2020 18:06 (UTC +04:00)
Demand for agricultural land grows in Georgia

BAKU, Azerbaijan, Apr.8

By Tamilla Mammadova – Trend:

Recently, demand for agricultural land has been growing in Georgia, director of the Kibe.ge real estate agency Nino Goguadze stated, Trend reports citing Georgian media.

According to her, this is a good signal which proves that people are interested in acquiring land and growing agricultural products.

"In general, the real estate market has almost completely stopped due to the crisis associated with the coronavirus. There is no demand for commercial or residential real estate, and there are expectations that prices will begin to decline soon," Goguadze said.

Moreover, according to her, the situation is unpredictable, and the real estate prices depend on many factors, and in this case, global factors are much more important.

“Now everything depends on the time of the resumption of economic life and the exchange rate. In addition, the current crisis is much larger than in 2008," Goguadze said.

According to Head of the Remax real estate company Mariam Asatiani, the current situation may have an impact on prices, in particular, the decrease may affect expensive real estate.

“During such crises, property prices always fall, and this is quite expected now. It is difficult to say how much prices can go down, since no one knows how long the pandemic will last,” she said.

According to her, the most affected segment is the hotels, which are now completely stopped operating; this also applies to private apartments rented out for tourism purposes through the Airbnb website.

Asatiani notes that at present, the price reduction is not fixed, as the market is in a state of shock and sellers do not know what to do.

Reportedly, an interesting trend appeared during the coronavirus epidemic - demand for houses in rural areas and agricultural land increased.

“The population begins to chaneg the priorities, and after the crisis, many will also decide to buy houses and land in the countryside. Demand for investment purchases is also expected, in a crisis situation, when prices fall, investors usually activate in order to purchase real estate at better prices,” said the head of Remax.


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