In the first quarter of 2023, the fewest apartments were sold in the last seven years.
First, a quick statistic:
Properties on the outskirts of cities and properties with poor access to the capital or lack of amenities are experiencing the biggest decline.
Like most developers, owners of secondhand flats do not want to resort to price cuts. Unless they have a reason to do so, it is also understandable. So we still do not see too big changes on the listing portals, but the real selling prices are another chapter.
This situation is mainly due to high mortgage rates, but also to extreme energy prices and high inflation. People are paying higher mortgage payments, arrears on their energy bills and buying food and everyday items at a high price. There is simply no money left for property. And sometimes selling it is the only chance to provide finance for themselves and their families. This increases the supply of property on the market, which, together with falling demand, pushes prices down.
For developers, there will be a consolidation of the market, with the stronger players taking advantage of their position and buying up the housing projects of smaller developers.
Buyers are as plentiful as saffron and it is quite obvious who is pulling the short end of the rope. Therefore, those who want to sell, and not just offer the property, should think about the price correction and consider prices from the end of 2020.
If you are interested in the current price of your property, please do not hesitate to contact us.