Real estate prices in Ukraine will go down soon | South Salem NY Homes

A gradual decline of price growth rate in the residential real estate is to be expected in Ukraine in the near future with possible further decrease of the prices, said the director of SHM Smith Hodgkinson Dmitry Selivanov at a press-conference in Kiev, a REGNUM correspondent reports.

According to the expert, processes which are taking place in Ukraine now, have already taken place in the Baltic countries in due time, where real estate prices reached their ceiling, stopped, and then went down by 10-20%. “We will see the same processes in Ukraine within the following year too. It concerns both Kiev and other big cities, where real estate makes profit,” said the expert and added that everything would depend on stability of the macroeconomic situation in the country and on inflation rates.

The reason of the prices going down, the expert believes, is the too overstated price for real estate. “Because, now many apartments are used not on purpose, not as a residential place, but as an object for investing. Rather than investing in banks or bond-like papers, Ukrainians invest  in the real estate,” Selivanov marked. He also expressed an opinion that most perspective for building in Kiev today is the territory of the left bank and in the suburbs, which is caused by a coming transport collapse on the right bank.

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