In the Russian regions, they began to build more housing than they sell. Overstocking is reported by Rossiyskaya Gazeta, referring to information from experts.
In particular, the ongoing construction in St. Petersburg has slowed down significantly. In 2022, 7.9 million square meters were built there, which is 16% less than in the previous period. In Yekaterinburg, housing commissioning volumes have not decreased, but 41,700 apartments in the primary market still remain unsold.
Experts believe that the reason for such dynamics is the increase in mortgage rates, sanctions, as well as the general uncertainty in the market. Buyers began to think about whether they need such a large purchase in the current period.
The current circumstances have significantly reduced purchasing power and forced potential buyers of new buildings to turn their attention to the secondary housing market, since the purchase of a “primary” housing has not only become fraught with much more risks, but is significantly more expensive than transactions with “used” housing. Moreover, this trend was noticed not only by ordinary citizens, but also by investors.
But in Novosibirsk, the situation is reversed: over the past five years, the number of apartments offered in the city has decreased by almost two and a half times.
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