Unlike new buildings, about 40% of transactions on the secondary market involve bank financing (not 80%, as in new buildings). We are currently seeing a lull in the real estate market. On the one hand, it is the middle of summer, people are going on vacation.
“The market is currently waiting to see how the situation will develop, what lending programs in the new-build segment will be offered to buyers. What preferential and subsidized mortgages will there be, what options will developers offer,” Sergey Shloma, director of the Secondary Market department at INKOM-Real Estate, told RG.
According to Cian.Analytics, in the first half of 2024, the price per square meter on offer on the secondary market increased by only 3.7% on average in the locations analyzed.
“Nominal asking prices have not changed in recent months,” Alexey Popov, the head of the service, told RG. “We believe that the likelihood of prices rapidly increasing or decreasing significantly this fall is low.”
But for now, housing on the secondary market is not getting cheaper.
“This is due to the fact that many owner-sellers, in the context of weakening buyer interest, decided not to reduce the price, but to temporarily remove their properties from sale and wait for better times,” says Sergei Shloma.
Over the first half of this year, the largest price increase was shown by Sochi (+16.3%), Krasnodar (+12.2%), Makhachkala (+11.5%), Ulan-Ude (+11.5%), Naberezhnye Chelny (+11.3%), Simferopol (+11%), experts from the federal portal “World of Apartments” state. The Moscow meter went up in price by 2.7% (to 336,016 rubles), the Moscow region – by 2.8% (to 154,085 rubles), St. Petersburg – by 3.7% (to 202,225 rubles).
“Prices on the secondary market grew less in the first half of the year than on the primary market, said the portal’s general director Pavel Lutsenko. – In the second half of the year, the redistribution of demand from the new-build market will continue, so we do not expect a significant drop in prices on the secondary market. Rather, we will expect a leveling of the price level of the primary and secondary markets.”
Sergey Shloma shared his forecast with RG: “Against the backdrop of falling demand, the price will be adjusted downwards. There are no prerequisites for a reduction in the key rate in the foreseeable future. According to all forecasts, the key rate will either grow or remain the same. Accordingly, deposit rates are at their maximum level. Therefore, there is no point for people to buy apartments and go “into concrete”, it is more profitable to keep money in deposits. As long as this key situation persists, people will not withdraw money from deposits. As soon as the deposit rate goes down following the key rate, then the demand for real estate will increase, but this will not happen soon.”
Summer is traditionally a quiet time, so there will be no revival in the market, analysts are sure.
“Business activity begins in the fall, but this does not mean that demand will soar, the market will simply become more dynamic,” says Sergei Shloma. “Therefore, we will have to work with sellers to form demand for their properties: in order for buyers to be interested in an apartment, it must be listed at an attractive price. Accordingly, owners who want to sell their properties will have to come out of their stupor and act in accordance with market laws – lower prices.”
Expert advice: when is the best time to buy/sell an apartment?
“Traditionally, it is better to buy when demand is low during the holiday season – in the summer, and to sell during the period of increased business activity and demand for real estate – in the fall,” recommends Shloma. “But since those who need to resolve their housing issue remain on the secondary market today, and mainly with the help of an alternative transaction (when a person sells their apartment and uses the proceeds from the sale to purchase another apartment), they are guided by their own goals and needs.”
And what strategy is better to choose in order not to miscalculate: sell an apartment on the secondary market now, before prices have completely collapsed, or refuse to sell at all and rent out the apartment?
According to experts, the choice of strategy depends on many factors.
“First of all, it depends on your goals and objectives – why and how urgently you need to get money for the living space you are selling. A person always knows exactly why he is selling an apartment. In most cases, it is to use this money to purchase another home,” says Sergey Shloma.
If there is an “additional” apartment in the asset, different people solve the issue differently, depending on their beliefs and preferences: some consider it more profitable to sell, receive money and put it in the bank; some feel more comfortable having real estate in Moscow “on hand”, which is always a reliable asset for saving money.
If you are thinking about renting out your apartment, keep in mind that rental rates (as opposed to sales prices) are currently rising.
“In the last month alone, they have increased by 10%,” Alexey Popov told RG. “This is connected both with seasonal cycles and with the flow of demand from the sales segment to the rental segment.”
Average price per square meter on the secondary market in different cities of Russia, thousand rubles. Photo: “Cian. Analytics”
Source: rg.ru
