Despite the war, the real estate market of Ukraine does not stand still, but pleasantly surprises us with its stabilization and progress. In addition to previous material we decided to dwell on specific trends in more detail so that you better understand the current state of the market. In just the past few years, real estate prices have risen significantly. The attention of domestic investors is focused on the central regions of the country and elite segment. Compared to 2023, housing prices have increased by approximately 15%. Of course, differences between situations in different regions should be taken into account. Let's start with the general characteristics.
New buildings VS the secondary market: how supply and demand change
As of August 2024, the primary real estate market has almost reached its pre-war state. More than 76% of sales departments are working at their usual pace, because the number of objects and those willing to buy them is increasing. The Transcarpathian region became the leader, because 98% of sales departments operate there. More than 30% of new buildings are commissioned and ready for occupancy, including 94 completed new buildings and 154 sections, of which:
- in Kyiv – 11 new buildings and 16 sections;
- in the Kyiv region – 20 new buildings and 32 sections;
- in the Lviv region - 17 new buildings and 33 sections.
There is an increase in interest in private houses and suburb. So townhouses make up 30% of all offers on primary market. Residents of Uzhgorod and Kropyvnytskyi are most interested in suburban cottage towns, where 25% of all new buildings are built.
The secondary real estate market is also developing, although not everywhere - the number of sales advertisements has increased significantly in the West of the country. Thus, in the Transcarpathian region, as early as May 2024, they began to notice that the average price tag had increased by 10%. Now you can buy a one-room apartment there for $59,000, and in the Lviv region - for all of $69,000. The central regions are noticeably lagging behind and are surprised by the exact opposite trend - in the same May, prices fell from past heights:
- in Kyiv → -33%;
- in Zhytomyr region → -22%;
- in Cherkasy region → -10%.
Despite this, prices in the capital still remain the highest - a one-room apartment in Kyiv costs $97,000 on average. Kyiv maintains its leading position in the rental market as well:
- the cheapest one-room apartment - UAH 10,036/month (Desnianskyi district);
- the most expensive one-room apartment - UAH 24,070/month (Pecherskyi district).
The average cost of housing continues to rise for a number of reasons. Factors such as limited space for construction (especially in the central areas of the city), low built-up of already established areas and streets, infrastructure development and stabilization of the economic situation in the country affect not the growth of demand, but also the cost of square meters.
Why you should invest in Kyiv and how to do it
Why is our beloved capital so attractive to investors? With their modern skyscrapers? Or historical quarters with old houses? Of course, Kyiv's architectural charm is undeniable, but it's not the only thing that fascinates and makes you open your wallets wider. Anyone who dares to buy real estate in the capital of Ukraine relies on a number of factors that guarantee the reliability and profitability of his investment:
- stable market situation;
- constant increase in the cost of square meters;
- a wide range of options for every taste;
- considerable demand, thanks to which it is always possible to profitably resell housing;
- a large number of potential tenants for any real estate segment.
The only step you need to take to buy your dream property is to seek help from the experts of THE Capital agency. We will gladly select an apartment or a house, taking into account your smallest wishes.
