Apartments in Moscow are getting cheaper slowly but surely

Prices for apartments in Moscow fell to the level of February 2022.

In November, the average cost per square meter in old Moscow amounted to 253,600 rubles, in TiNAO – 198,800 rubles, a decrease of 0.8%. But in the Moscow region prices for the month have not changed. The average cost of a “square” is 151,450 rubles. In total, for half a year, the decline in old and New Moscow amounted to 6.7% and 4.5%, respectively, in the region – by 2.4%. These figures are provided by the analytical center “Indicators of the real estate market”.

According to experts irn.ru, the growth in the number of offers on the secondary housing market has stopped, but given the fact that in recent months there were much more apartments for sale than those who wanted and had the opportunity to buy them, the market still remains significantly overheated. This is pushing house prices down.

As for the Moscow region, according to analysts, prices for apartments in this region have been holding almost at the same level for several months, because some potential buyers of capital real estate prefer to buy housing in the region in order to save money. Taking into account the fact that the quality of housing in the Moscow region is sometimes not inferior to that in the capital, and transport accessibility is improving, such a buying trend is quite understandable.

Of the noteworthy trends in November – in Moscow, housing in the prestigious Central, Western and South-Western districts has fallen in price more than in the rest, although the reverse trend is usually observed. In addition, prices for apartments in monolithic-brick houses and multi-room apartments, which are usually resistant to market changes, fell more than for other types of housing in November.

In New Moscow, the decrease most of all affected one-room apartments – since April they have fallen in price by an average of 6%. Experts attribute this to the fact that such real estate was most often purchased for investment purposes, and now it is actively put up for sale, which has created high competition in this segment.

The most successful situation is now developing for real estate sellers in the far suburbs – in November, the cost of a “square” in the territories of the Moscow region most remote from the capital grew by 0.8%. And although compared to April, apartments here also fell in price – by 0.4%, this decrease can be called insignificant, given that in the near and middle suburbs, the cost of housing over this period fell by 3.6% and 2.2%, respectively.

In general, according to analysts, the downward trend in prices for residential real estate in the Moscow region will continue. At least until supply and demand balance. And this will most likely not happen soon.

Alena Bodrienko.

Photo by mobile reporter / Moskva Agency