The minimum budget for buying apartments in new buildings within the boundaries of old Moscow will increase to 10 million .rubles (nearly 200,000 EUR) after the ban on the construction of studios and residential properties smaller than 28 sq.m.
„The budget for the purchase of housing in new buildings in old Moscow will be at least 10 million rubles, we still see such projects. Previously, studios of 23 sq.m worth 6-7 million rubles (117,000 - 136,000 EUR) appeared, but now these formats will definitely disappear”, says an intermediary.
In general, the demand for small housing in new buildings in the capital is largely related to the opportunity for investment. Therefore, in the future, investors will simply refocus on serviced apartments and apart-hotels, or demand will shift to the regions.
In the second quarter of 2024, with the end of preferential state support programs, the demand for studios in new buildings in old Moscow exceeded the supply by 2% only in the new buildings of the comfort class, as noted in company analytical materials. In business and premium class projects, the demand for small housing is lower than the supply.
In the total volume of supply on the primary market of Moscow, 86% of studio apartments have an area of less than 28 sq.m. At the same time, since the beginning of 2024, the price of small cars has increased by 9% in the residential complexes of comfort and premium class and by 15% in the business class.
From August 1, 2024, the capital authorities introduced a ban on the construction of one-room apartments with an area of less than 28 sq.m., two-room apartments - less than 44 sq.m. On August 2, the government of the Moscow region published a draft resolution, according to which it plans to introduce the same restrictions for new buildings in the Moscow region.
You can see detailed statistics on average property prices in Bulgaria by cities and neighborhoods HERE