In November, prices for primary market remained stable

In October, prices in Baku primary housing market (PHM) remained stable. A similar situation occurred in other major cities of Azerbaijan. In October, mid-price index was 886 manats per 1 sq. meter. In comparison with the previous quarter, prices rose by 2.6 % and in comparison with the same time last year - by 11.3%. Compared with September 2008, prices fell by 25.8 %, while 1 square meter of housing cost 1,194 manats.

During the month the Yasamal , Khatai and Nasimi districts of the capital amounted to two thirds of the package of proposals for the construction. Any changes in the volume of construction in other areas were not observed. In October, were proposed 398 new buildings, and the number of construction companies was 126. The greatest demand in October was for 3-4 room apartments. Five-room apartment came mostly in the first zone (center) and one-room ones came in the third zone (outside the center). The average area of ​​a one-room apartment is 60.7 square meters, two-room - 92.1 square meters, three-room - 131.8 square meters, four-room - 182.9 square meters, and five-room - 238.3 square meters.

Experts believe that price stability in PHM is maintained by the monopoly in this field. The activity of PHM is also negatively affected by the low purchasing power and the high prices, the lack of documentation for apartments, utility problems and unfavorable mortgage terms. In the coming days, the stability of the market will continue.