Average Prices For Property Investments

According to the results of the first quarter of 2021, the average prices for primary elite real estate remained at the level of the end of 2020, according to the Kalinka Group. So, in the market for elite new buildings, the price of 1 sq. m of premium class real estate amounted to 732 thousand rubles, deluxe class – 1.3 million rubles. Over the year, the dynamics of growth in average prices in the elite segment is about 16%.

At the same time, the volume of supply on the expensive real estate market decreased over the year: -31% in the number of apartments and apartments and -25% in sq. m. The number of premium-class lots on sale has noticeably decreased: by 32% or by 26% per sq. m. m. The number of elite projects has decreased by half, due to which the average prices have increased. However, experts say that developers are not planning to reduce their activity. Companies are now developing concepts, making changes to current solutions, and also looking for new construction sites.

The first quarter of 2021 in the primary elite real estate market in Moscow was marked by high sales and rising prices. So, according to “Metrium”, in January-March of this year in the premium and elite segments at the “primary” was sold 65 thousand square meters. m of housing, which is 41.2% more than in the first quarter of 2020.

For the first three months, the average price of 1 sq. m in elite new buildings increased by 4.1% and reached 1 million rubles. And the average supply budget grew by 9% over the quarter and amounted to 149 million rubles.

Msk.LifeDeluxe.ru learned from the elite real estate market players how they assess the beginning of the year and what buyers can expect from developers in the coming months. In short: the increased demand stimulated the rise in prices, and they will not decline, especially given the rise in prices for imported building materials. Demand will remain at a fairly high level of damage due to a number of external and internal factors. As for the formats that are in demand, clients prefer spacious urban housing with finishing and country houses in high-quality villages. Of the new trends – it is worth hurrying up with the purchase of apartments before the adoption of a law that equates them to housing.

EXCELLENT FIRST QUARTER PROPERTY PERFORMANCE

According to Metrium’s estimates, 46 projects were sold in the capital’s primary market in the first quarter of 2021. The total supply amounted to about 1.2 thousand apartments and apartments with a total area of ​​170.1 thousand square meters. m.

“The first quarter is the season when buyers understand how much free money they have available and are ready to invest it,” says Olga Zyblaya, sales director for Turandot Residences and Artisan club houses.

According to Yuri Shcherbakov, head of the new buildings direction of the residential real estate department of PENNY LANE REALTY, demand in the capital’s high-budget real estate market in the first quarter of 2021 increased by about 6% compared to the fourth quarter of 2020. At the same time, housing has also risen in price: “Prices are creeping up in almost all segments: in the primary market due to the growth of the rate and the readiness of projects. The primary market, in turn, “pulls” the prices of the secondary. If we are talking about the growth of prices for projects in connection with their readiness, then the growth amounted to about 5% compared to last year, ”the expert notes.

Viktor Timofeev, head of the residential real estate department at Realtybook, believes: “The first quarter of this year turned out to be unusually active and vigorous: about 400 lots were sold on the primary market for about 40 billion rubles. At the same time, the average check in the premium class rose to 75 million rubles, which is a quarter higher than last year’s figures for the same period. ” According to the expert, such dynamics were facilitated by a record low mortgage rate, a decrease in deposit rates and a delayed demand due to the pandemic.

Anastasia Melnikova, director of the new buildings department at OXE CAPITAL, also calls the first quarter of 2021 on the Moscow elite real estate market productive: “The price level has grown significantly compared to the previous and the year before last: from 15 to 25%, for some properties up to 30%. All this is due to increased demand: in comparison with the previous year, the increase was about 100%, compared to the first quarter of 2019 – 50-70%. ”

The players of the suburban elite real estate market similarly note a high level of sales: “Taking the example of the ParkVille club village in Zhukovka, we can note that the first quarter of 2021 turned out to be the most successful over the entire period of the project. It was in this year that the most liquid offers were put on sale, which had not been previously offered to buyers. The cost of such lots is on average 15% more expensive, but they were the ones that attracted the greatest consumer interest, ”says Svetlana Kapranova, ParkVille project manager at Ikon Development. Despite the fact that the winter season is not considered a popular period for purchasing a country house, the number of transactions in the company has increased, and sales for more than $ 15 million in the first quarter, the expert said.

HOW LONG IS HIGH DEMAND LASTING

Against the background of the positive results of January-March, a logical question arises: will the rush demand on the primary elite real estate market continue by summer, and what will happen to prices?

Nikita Evdokimov, Development Director at Insolver, believes that the market has “calmed down” relative to the third and fourth quarters of 2020. However, demand remains strong due to exchange rates and foreign policy trends. “Closed borders are also fueling the interest of Russians in elite resort and suburban real estate, although now demand can hardly be called“ excitement, ”the expert says.

Viktor Timofeev is confident that this year there are all the prerequisites for maintaining a steady demand for luxury housing in the summer. “Now more than ever it is easy, quick and simple to get a mortgage, the rate of which is still minimal. Low deposit rates motivate investors and everyone who wants not only to save, but also to increase their funds, to look for other investment options. Since the beginning of the 2000s, the dollar has tripled, and the immovable