BAKU, Azerbaijan, December 25
By Tamilla Mammadova – Trend:
Some 674 real estate transactions were registered in Georgia's Batumi in November 2020, that is 18 percent lower than in the same period of the previous year, Trend reports referring to the report of Canada-based Colliers International real estate services organization.
As for the market size, the figure stands at $27 million, reflecting a 24 percent decrease compared to the same period in 2019.
The number of transactions recorded on economy, medium and premium new apartments is 10 percent, 5 percent and 53 percent less than the same period in 2019.
The number of new apartment transactions is 31 percent lower than the same period in 2019, while the number of transactions registered on old flats has decreased by 19 percent and accounts for 984 units.
From January through November 2020, the market size of new flats is 35 percent less than the same period in 2019 and accounts for $255 million, while the figure for old flats is 18 percent lower and amounts to $43 million.
The weighted average selling price of new flats in the period from January through November 2020 is $779 per m2, reflecting a 7 percent decrease, when compared to the same period in 2019. As for the old flats, the WAP accounts for $664 per m2, depicting a 2 percent increase.
"We have divided the residential market into the following price segments: Economy, Medium, and Premium. We have further analyzed the base scenario with moderate isolation until the end of 2020. The prices of economy segment residential properties are not expected to change significantly, while the number of transactions in this category is forecast to drop. We expect the demand on economy class single-family houses to soar in the isolation period. The projections are negative for the medium segment residential market in terms of the number of transactions and prices," said the report.
"Speculative transactions are expected to increase in the medium market due to decreased prices. The number of transactions is expected to drop in the premium segment, but we anticipate very little price change in this category. The market of rental properties will be most affected, as both, prices and the number of transactions are expected to drop by the end of the year," the report said.
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