In four years property prices in the Donetsk and Lugansk decreased several times.
Housing sales in the occupied territories Luhansk and Donetsk regions in the first quarter increased by 10-15% compared to the same period last year. Demand is growing: many of those who left their homes, do not want to go back and sell the house. Buyers are willing to buy property, but only at a low price.
“The number of transactions increased in January-March by 10-15% compared to the same period last year. This is due to the fact that “local administration” decided on the rules of registration of housing. In the first quarter of last year, they were vague,” – said General Director of the Academy KDU realty group Elena Malenkov. Malenkov is one of the few realtors in Ukraine who is helping to sell homes in the occupied territories. She says that about 60-70% of her clients are unable to cross the line of demarcation with ORDO. Accurate data on the number of transactions of purchase and sale in the occupied territories no.
Registration of intermediaries involved. From 1 January 2017, the militants stopped accepting documents for ownership housing, which was issued by the Ukrainian legislation. Those who bought homes after the may 11, 2014, it was necessary to renew all documents on the local “laws” until the end of 2017. Everyone else can re-register them before the transaction of purchase and sale.
Design rules similar to those that operated in Ukraine in 1990-ies. Specialist local ice should measure flat or house, and then to make registration, Malenkov says. It will cost about 1000-2000 UAH. The fact is that the expert compares the data with those specified in the technical passport of Ukrainian sample. “If the apartment was done remodeling, then its legalization would cost $500,” she says. After that, the landlord issued new documents on the basis of which it can carry out the transaction.
The bulk of transactions are conducted according to the warrants, which are issued to intermediaries for re-registration of all documents according to local regulations. To do it is becoming increasingly difficult. “In Donetsk, notaries accept issued in Ukraine power of attorney, and in Lugansk – no. The only solution in this situation is to issue a power of attorney of the Russian sample,” says Malenkov.
Apartments in Donetsk and Lugansk now buy mainly the residents of nearby towns and villages. “They wanted to live in Donetsk, but now can afford it because of low prices,” explains LIGA.net the realtor who is selling homes in the occupied territories.
In a new apartment relocate residents of the destroyed houses, new housing in Donetsk and Luhansk to their relatives buy the Russians. Realtor from Lugansk, who requested anonymity, said that Russian troops are not interested in local real estate. “No one drilled we have not addressed,” he says.
Most popular now are the home, located in the remote from the fighting areas. For example, in Donetsk’s Central Voroshilovsky, Kalininsky close to him and distant Budennovsky areas of the city. “You can only sell those apartments that are not captured by the representatives of the local administration. We know of ten cases in high-end apartments and homes of Donetsk settled a high-ranking bandits. To sell a house, of course, impossible,” – says the realtor from Donetsk, who asked to remain unnamed.
How much is the local property? After the outbreak of hostilities, cheaper housing several times, and from April 2016 — 60%, said Malenkov. For example, an apartment in Gorlovka now you can buy for $3000-5000, one in the center of Donetsk depending on homes sold for $10 000-20 000, and in residential areas — $5000-12 000. Apartments in elite new buildings with expensive renovation and furniture to sell for $500 per square meter. In 2013, they cost $1500-2500 per square meter. In Lugansk, one-bedroom apartment can be purchased for $3000-4000.
Respondents LIGA.net realtors predict that in the coming year, apartment prices may fall another 10-15%. Sellers try to sell the apartment as quickly as possible, while “local authorities” did not invent new rules on the sale of housing.
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