19:00, 27 June 2009

Armenia: real estates grow cheaper

This year in Armenia, as compared with 2008, price per 1 square meter of housing went down by 5 percent; the number of real estate transactions has reduced.

According to information of the State Cadastre Committee of Armenia, this May the number of transactions in the real estate market went down by 13.3 against last year's same period. In Yerevan, people now buy almost by 50 percent less apartments; for the regions of Armenia this figure is 20 percent. According to realtor firms, prices on apartments and private houses have fallen by 20 percent.

Andranik Tevanyan, director of the scientific centre "Political Economy", believes that the real estate is at a halt: the first three months of this year saw an almost 30-percent drop in construction volumes.

A distinctive feature of the Armenian real estate market is a gradual displacement of the centre of real estate transactions from the capital to the regions. This tendency has started several years ago and still persists, although the capital is still in the lead by the number of transactions.

Author: Lylyt Ovanisyan

Source: CK correspondent