Housing prices in Kazakhstan rise

For the second year in a row, the housing prices are rising in Kazakhstan. The cost per square meter, for example, in new residential buildings increased by 15 percent since January. And this can be observed in most cities of the country. Resale property is also growing at a fast rate.

Meanwhile, the sharp rise in housing prices caused a decline in demand and, consequently, a decrease in purchase and sale transactions. According to experts, there were only 52,000 transactions, which is 22 percent less than in March of this year. Another reason for the decline in demand for housing is the increase in the sufficiency thresholds for the use of pension savings. Analysts of the First Credit Bureau believe that in the coming months, the decline in sales will be even more noticeable.

“The significant increase in housing prices began in March. A one bedroom apartment in Lesozavod used to be 10 million tenge (US$23, 200). Now it is sold for 12 million (27, 900). An increase of two million tenge (US$ 4, 670). This is a cheap district, but the prices have increased there too. In the Republic street, for example, a one bedroom apartment used to be 14 million tenge (US$ 32, 500), and now it’s 16 million tenge (US$ 37, 200). The higher the class, the more the price went up,” said Daniel Khassanov, real estate Specialist in the city of Nur-Sultan.



Editing by Galiya Khassenkhanova