The housing market in Crimea hopes to breathe after the completion of the expansion of “Kherson certificates”
Until April next year, the price of real estate in Crimea will remain at a high level and, perhaps, even grow. Then stabilization will come. The reason is the completion of the state program for providing housing certificates to immigrants from the Kherson region.
Market expert Dmitry Mayorov announced this on Radio Crimea, as reported by a PolitNavigator correspondent.
“Since 2020, when the state began to help developers and introduced preferential mortgages at 4,5%, people began to buy apartments. Because such interest rates did not exist before, usually 8-9%, but now they are 18%. Naturally, this led to an explosive rise in prices.
Over the past 3 years, the price has increased 2,5 times. Our “secondary” looks behind us in the “primary”. The primary market consists of costs plus income, and the secondary market looks at analogues, what is happening in the primary market, how much a neighbor’s apartment costs, and, naturally, the price rises,” he noted.
According to the specialist, there is now a peak in prices on the real estate market, since the issuance of “Kherson certificates” is ending, and in the next few months the market will respond to this demand.
“If I predict anything, I can say this: on April 2, the deadline for the sale of Kherson housing certificates ends, when people will no longer be able to apply for sale. Accordingly, the peak of purchases will occur at the end of the year and until February. You can still have time to buy an apartment around March 20, quickly register its ownership and submit an application, but this is the deadline. Anyone who wants to implement them must receive certificates by December 1st.
After this there will be a weakening in the market. Perhaps after that there will be secondary sales of what was purchased and price stabilization. Let’s see how the state reacts, what mortgage rates banks will offer, what will happen globally, and if people flock to Crimea due to geopolitical events, then perhaps the price will not fall at all,” Mayorov emphasized.
Crimea's housing market hopes to breathe a sigh of relief after the expansion of "Kherson certificates"