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International Internet Magazine. Baltic States news & analytics Friday, 29.03.2024, 01:32

Number of housing purchases in Riga increases by 20.2% in 10 months

BC, Riga, 13.11.2013.Print version
The number of housing purchases in Riga in the first ten months this year was 20.2% higher than in the same period last year, real estate company Latio informs in its latest housing market report, informs LETA/Nozare.lv.

The number of apartment purchases in Riga increased 19.7% and the number of home purchases grew 24.1%, according to Latio data based on the Land Register's information.

 

In October, 865 apartments were sold in Riga, which is the highest monthly figure since the beginning of the property market downturn in 2007. The proportion of new apartment purchases, however, remains unchanged at about 10-15% of all apartment purchases.



 

Latio Assessment Department's head Diana Stale explains that the steady increase in the number of housing transactions for over two years describes increasing activity in all housing segments. However, prices in the largest segment – apartments in soviet-era buildings – have remained almost unchanged.

 

On the one hand, this is attributable to a gradual increase in the number of apartments up for sale, and, on the other hand, by purchasing capacity that still remains low, as well as low lending volumes. The amount of mortgages could increase once banks sell all the foreclosed properties, believes Stale.

 

The average apartment price in Riga has been about EUR 600 (LVL 421) per square meter for more than two years now.

 

In total, almost 8,200 homes and apartments were sold in Riga in January-October. Apartments accounted for 90% of the total number.






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