Experts predict that this situation will last for several years.
The price drop will be amazing / Photo: Getty Images, Collage: Today
Real estate prices in Ukraine may fall to a critical level, and this fall, according to experts, will last for more than one year. The reasons for this phenomenon are well known – a general decline in GDP and a decrease in demand for housing.
This was reported by a member of the Council on tangible assets of the International Valuation Standards Committee (IVSC) Ludmila Simonova and candidate of economic sciences Sergei Sledz, writes ZN.UA.
According to them, soon developers will be forced to lower prices for ready-made housing, although no one has such an intention yet.
“The fall in prices will be stunning in the immediate post-war period and will last for several years. Because there will be a general fall in GDP – it will not be created by businesses that have disappeared or stopped. That is, the total amount of money that will circulate in the real estate market will become much less,” analysts say.
In addition to the GDP factor, another reason for this scenario will be decrease in demand for housing, as many have left the country. Accordingly, they will not participate in the creation of GDP, nor will they create demand for apartments.
Demand will resume very quickly
Notwithstanding the foregoing, demand for housing will resume quickly, and will contribute to this receipt by Ukraine from Russia of compensation for the destroyed property.
Source: Segodnya
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