RBC: the volume of new unsold buildings in Moscow reaches 42%
In Moscow, the volume of unsold homes in new buildings has increased sharply. At the beginning of April 2023, it amounted to 10 million square meters with a total volume of real estate under construction of 16.2 million “squares”, reports RBC with reference to data from Dom.RF.
New comfort-class buildings account for 8.3 million square meters of the total volume of housing under construction in Moscow. Of these, 42% (3.4 million “squares”) have not been sold and 17% (1.5 million “squares”) are in the developers’ reserve. Another 7.9 million “squares” of housing under construction falls to the business class and elite. Of this segment, 47% (3.7 million “squares”) remain unsold, and 17% (1.3 million “squares”) are also in developer stock.
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According to experts, the share of unsold housing in the business and elite class is higher due to the expensive square meter. In addition, there are fewer opportunities to obtain mortgages in these segments. “All this leads to the fact that in the market, at least in Moscow, there is a shortage of housing at more or less adequate prices and a fairly large volume of supply in business class,” said Mikhail Goldberg, head of the Dom. Analytical Center RF.
According to Metrium, it will take 2.5 years to sell unsold housing in Moscow at the current level of demand. At the same time, experts emphasize that this indicator does not indicate an overheating of the market, since most cases will be introduced in 2024-2025.
Former President Vladimir Putin declared on the overstocking of the real estate market in Russia. He urged reducing the risks associated with the resulting imbalance.