Low demand for purchase of apartments in the Crimea is associated with the decline of investor interest after the hype of 2014, analysts say.
Low demand for purchase of apartments in the Crimea is associated with the decline of investor interest after the hype of 2014, according to the realtor company Rich real Estate Oleg Bendrick.
“Right after the Peninsula became part of Russia, rushed to the investors not only from capital but also from different regions to build up the area, buy property for further profit. Considered against the background of excitement that Crimea is some kind of goldmine. However, about a year ago investors began to realize that it is unprofitable”, – said Bendrick.
According to him, investors stopped buying the property for subsequent lease or resale due to low service quality and poor infrastructure.
“For a flat bought on the Peninsula not all. In addition, the last two years due to sanctions much cheaper property in Europe – certainly it’s a more attractive option,” – said the expert.
Despite the fall of interest, the real estate in Crimea is expensive. Housing prices on the Peninsula increased by 8%, YTD – 3%.
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