2-3 years needed for realty market prices to reach last year values: expert

The demand for real estate has dropped, on different segments, by about 65-90% compared to the start of this year. Because the demand has reduced, the prices are gradually dropping, too. “The demand for commercial rooms, as well as purchasing offices dropped by up to 30%. The average prices hover between 800 and 1,200 euros per 1 square meter. By the beginning of the crisis, the offices could be bought for 1,100-1,600 euros per 1 square meter,” Ghenadie Gurdis, a manager of the realty company “Lara” stated for Info-Prim Neo . The demand for commercial rooms has dropped by 40-50%, on reason that additional investments needed after purchasing the area. “The prices will not grow. On the contrary, they will drop till the end of 2009, the beginning of 2010. Moreover, summer will be a very difficult period for the real estate market. July and August are expected to be more difficult as the crisis will halt real estate transactions. One can suppose that the situation will improve in October and November,” Gurdis said. The expert believes that the demand on the real estate market can grow at the beginning of 2010. “From the economic point of view, we can assert that it is possible that the real estate market prices record a slow growth in the second half of 2010. But, to reach the prices we had one year ago, they should grow slowly during 2-3 years,” Ghenadie Gurdis explained.