According to the experts, the price correction of almost 2% does not indicate a trend and may be a one-off, short-term change due to a change in the supply structure, but it also signals good news - price stabilisation.
In Kaunas, the prices of apartments on offer rose by 1.12%: in August, they reached EUR 2,248, and at the end of July - EUR 2,223/sqm.
The average price of terraced houses in August in both major cities was very similar: in the capital, it was EUR 1,689/sqm and in Kaunas EUR 1,788/sqm.
“The last month of the summer did not bring any big surprises - the demand slightly decreased, and the prices were stable due to the sluggish primary property market. In July, we also observed a price correction in Kaunas, but in August, the curve started to rise again, albeit slightly. In the short term, there may be price changes in individual segments and projects, especially for developers with weaker financial fundamentals and therefore in a hurry to sell. However, there are not yet enough prerequisites for it to become a sustainable trend,” says Šarūnas Tarutis, head of investment and analysis at Citus, a real estate project management company.
In Vilnius, 159 new apartments and terraced houses were reserved in August, more than in July or June, but the market is expected to pick up in the autumn, after the fever of the beginning of the school year in September. There are 3,783 properties left on offer: 3,215 apartments and 568 terraced houses. The largest choice is for middle-class buyers (2,060 flats and terraced houses), with 1,422 units for sale in the economy class, 128 in the prestige class and 173 in the luxury class.
In August, two new projects and two phases of existing projects were added to the capital’s warehouse, expanding the supply by 85 apartments.
According to Citus experts, August was also quiet in the temporary capital: 56 new dwellings (apartments and terraced houses) were sold. Analysts recorded one new project in this city, adding 12 dwellings to the market. At the end of August, buyers had a choice of 1,232 dwellings.
Susiję straipsniai
Projects managed by Citus in Vilnius, Kaunas and Druskininkai sold 33 apartments and terraced houses, while the best performing project was Nemunas by CITUS, where 19 apartments were reserved in August. The remaining 255 units are available in the company’s managed projects: Miško Ardai - 12, Nemunas by CITUS - 115, Link Ten - 10, Radio City - 43 and Visi Savi - 54, PaJustis - 11 apartments and 10 terraced houses.
“During the summer, real estate sales remained stable both in Vilnius and Kaunas, but Druskininkai continues to surprise. For example, we recorded 9 apartments’ purchases in one day in Nemunas by CITUS. Lithuanian residents are looking for an exceptional property that meets their needs and can generate income in such an uncertain period. With the growth in demand for inventory, we believe that we will see more activity and dynamism in the autumn,” says Mr Tarutis.