Latvia, Real Estate

The highest price rise in the first half of 2010 was noted in the Riga suburbs of Jugla, Zolitude and Agenskalns, where it reached 19%. The lowest increase was in the suburbs of Plavnieki – 12%, and Kengarags – 11%, according to Arco Real Estate specialists.

Overall, prices appear to have stabilized in the last two months, with only a small increase of 0.3% noted in Riga in July, indicated the company, informs LETA.

Prices in July 2010 are at the same level as in April 2009, when the average price for one square meter was EUR 606 (LVL 426).

The current prices represent a 22.3% increase compared to July 2009, but are 62.7% lower than the peak reached in July 2007, when the average price for one square meter in an unrenovated apartment reached EUR 1,620 (LVL 1,138).

The number of flats for sale in July increased by 6%, which represents a small increase. Given that the number fell by 5.1% in June, it can be said that, like prices, the number of apartments on the market is also basically unchanged, according to the Arco Real Estate market review.