Small, especially one-room, apartments and bed-sits are maintaining the highest prices in Bratislava. The price of two- and three-room apartments has decreased moderately. The interest in family houses and construction parcels is still high while demand exceeds availability.
“Interest is highest for new houses, completed apartment blocks and reconstructed smaller ones- up to three-room apartments,” said Daniela Danihel Rážová from the real estate company Bond Reality, as cited by the Pravda daily.
The price of older residential real estate is lower. Martin Lazík from the nehnutelnosti.sk website dedicated to real estate confirms.
“The trend we are seeing in the real estate market is that developers are able to increase their prices more easily as the price of old apartments decreases,” said Lazík, adding that both types of apartments are still selling well, their prices growing by mutual influence until they hit a ceiling.
It seems that the market has reached this ceiling as prices have been oscillating at the same level for some months, even though the price of new and old apartments develops a bit differently, according to Lazík.
“We have registered a more significant growth in price in case of new constructions,” said Lazík. “Also, this increase is hovering around 2-3 percent and is significantly lagging behind the previous growth period.”
The price of two-room apartments in Slovakia increased by only 1.05 percent on average in the final quarter of 2017 compared with the previous quarter. In the case of three-room apartments, the increase was 1.97 percent.
Market watchers expect prices, especially in Bratislava, will stagnate.
Lazík expects that people moving from the countryside to larger towns for work will also continue this year. This will result in a growth of local differences – expensive real estate in towns and their vicinities and cheap housing in the countryside.
The cheapest apartments can be found in eastern Slovakia and the south of central Slovakia. In these localities there apartments can be found for a fraction of the price of apartments in the regional capitals.
Despite geopolitical uncertainty and a slow down in the economic cycle, investment in the global property market has seen a significant rise of 18 percent year-on-year to a new record high of $1.8 trillion, up from $1.5 trillion in 2017. Cushman & Wakefield, which examines global commercial real estate investment activity, assessing cities by their success at attracting capital, came to this conclusion in their latest report.
Fewer than 3,000 new apartments are available on the market of new residential buildings in Bratislava, which is the lowest figure for the past two years. As demand for new apartments is still relatively lively, prices for new units continue to grow slightly, the TASR newswire cited the real estate agency LEXXUS.
The Austrian company Soravia has opened a new retail zone in Liptovský Mikuláš in northern Slovakia, the Retail Park Liptovský Mikuláš. It is 9,000 square metres and is the first investment by the Austrian developer outside Bratislava. The investment totalling €22 million has created 100 jobs so far.
At the end of the second quarter of 2018, apartments under construction numbered 76,000 in Slovakia. This is the highest number since 1996 when the Slovak Statistics Office began to register this data. Because the figure for residential real estate under construction in the early 1990s was low, figures from the second quarter of this year are the highest since the launch of independent Slovakia in 1993, the Trend weekly reported.
Construction of a brand new bus station and the extensive reconstruction of Mlynské Nivy Street are going according to plan.
The PNK Group, an international developer of industrial and logistics real estate from Russia, has joined the European real estate market by constructing a new industrial park called PNK Park Sereď in western Slovakia. Spanning 45,000 square metres of industrial space, the park offers premises for various uses: storage, distribution centres and light industry assembly halls.
After the British carmaker Jaguar Land Lover (JLR) announced its plan to build a brand new plant in Nitra, local real estate prices skyrocketed. Now the situation seems to be calming down. This is because the central bank has tightened conditions for taking out mortgages as well as developers announcing projects for the construction of new apartments.