Open AccessTHE MARKET OF RESIDENTIAL PROPERTY OF THE NOVOSIBIRSK CITY
Author(s) -
Valentina Varlakova
Publication year - 2019
Publication title -
interèkspo geo-sibirʹ
Language(s) - English
Resource type - Journals
ISSN - 2618-981X
DOI - 10.33764/2618-981x-2019-7-134-140
Subject(s) - apartment , residence , property market , investment (military) , business , property (philosophy) , space (punctuation) , capital (architecture) , market economy , real estate , economy , finance , economics , geography , demographic economics , law , political science , philosophy , linguistics , archaeology , epistemology , politics
The property market in Novosibirsk is quite diverse. The city, as one of the largest cities of the country and the capital of Siberia, rapidly develops residential building market, the annual volume of which reaches up to 1 mln sq.metres. Basically it concerns high-rise apartment houses, most of which are located in outer-lying residential districts. There is hardly any free space for building in the central districts, although the high-density building development process is still going on. And property buyers face the problem of choice: where to buy and how much to spend for a new flat – whether it will be a new one in the suburb or an old one in the centre. It is important to note that in choosing the residence the buyer considers the material of his future house.The most part of residences is acquired by the co-investment agreement as such a deal is 20–30 % cheaper than the total cost of property. However, there are some risks to take care of.During the last years mortgage lending became really popular, as it helps most families acquire their own flats. In 2017 the mortgage rate lowering caused a growth in demand for property, which, in its turn, produced a growth in supply on the market, increased the number of constructional projects and stabilized flat prices.