The FINANCIAL — Except for October when the sales experienced a downturn, the sales activity increased in November by 32% and again by 10% in December. The demand for flats in November and December relative to the corresponding months in 2009 showed an increase by 6% and 13% respectively, non-residential sales by 60% and 4%, while properties involving land parcels lost sales by 11% in November and then again 6% in December.
The comparison of the total number of sales in 2010 versus 2009 shows that in 2010 there were 16% more properties sold. The most of the increase in demand was for non-residential properties that showed an yearly improvement of 78%, under construction flats that gained sales by 30%, properties with land 20%, while the sales of flats in general went up by 6%. Below is the table showing the comparison of the sale performance in years 2009 with 2010 by the property type.
Under Construction market showed a significant improvement towards the end of the year gaining 15% in sales in October, 37% in November and 28% in December. The turnover of sales reached 99 Million USD, an unprecedented number over the last 2 years.
The sales of under construction flats decreased by 18% in October but managed to recover by 37% in November and by 28% in December. Compared to the year 2009, the total number of sales of under construction flats in 2010 was 30% higher which indicates that the market for the under construction flat to be on the recovery.
Based on the statistics, average 31 under construction flats are sold in Vake district per month, 22 in Saburtalo, 14 in Didube and 10 in Mtatsminda districts. Based on the statistics, for the size under 100 sq.m, there were 53 flats sold in October, 70 in November, and 99 in December. Between the sizes 100 and 150, there were 26 flats sold in October, 29 in November and 40 in December. There were few sales made for the flats with sizes between 150 and 200 sq.m (2, 10, and 4 in Oct, Nov, and Dec respectively and 2, 5, and 3 flats over 200 sq.m).
Average 53 under construction flats sell under 100 sq.m monthly, 21 flats between 100-150 sq.m, 6 between 150 -200 sq.m and only 4 over 200 sq.m.
In October, there were 54 under construction flats purchased for the price under $50,000, 23 between $50,000 and $100,000, 4 between $100,000-$150,000, and 2 over $150,000.
In November, there were 82 under construction flats purchased for the price under $50,000, 23 between $50,000 and $100,000, 3 between $100,000-$150,000, and 6 over $150,000.
In December, there were 89 under construction flats purchased for the price under $50,000, 45 between $50,000 and $100,000, 10 between $100,000-$150,000, and 3 over $150,000.
Average 59 under construction flats sell monthly under $50,000, 18 between $50,000 and $100,000, 5 between $100,000 and $150,000, 2 between $150,000 and $200,000 and 1 over $200,000.
In December, the districts that commanded highest number of sales were as follows: Samgori (134), Gldani (172) and Saburtalo (164),and Vake (153). Based on the statistics, average 160 flats are sold in Samgori district, 150 in Gldani District, 136 in Vake and 134 in Saburtalo districts each month.
Below is the table showing the number of completed flats sold by districts as well as average number of sales over the last 12 months.
In October, 709 completed flats were sold under $50,000, 115 for the purchase price between $50,000-$100,000, 22 between $100,000 -$150,000, 1 between $150,000-$200,000 and 10 for the price of $200,000 and over.
In November, 860 completed flats were sold under $50,000, 132 for the purchase price between $50,000-$100,000, 25 between $100,000 -$150,000, 7 between $150,000-$200,000 and 6 for the price of $200,000 and over.
In December, 912 completed flats were sold under $50,000, 133 for the purchase price between $50,000-$100,000, 26 between $100,000 -$150,000, 9 between $150,000-$200,000 and 8 for the price of $200,000 and over.
In October, there were 191 properties with land parcels sold made under $50,000, 22 sales made for the price between $50,000 -$100,000, 10 sales for the price between $100,000 -$150,000, 4 between $150,000 -$200,000, and 13 for $200,000 and over.
In November, there were 273 properties with land parcels sold under $50,000, 30 sales made for the price between $50,000 -$100,000, 9 sales for the price between $100,000 -$150,000, 10 between $150,000 -$200,000, and 15 for $200,000 and over.
In December, there were 373 properties with land parcels sold under $50,000, 36 sales made for the price between $50,000 -$100,000, 8 sales for the price between $100,000 -$150,000, 6 between $150,000 -$200,000, and 25 for $200,000 and over.
As for the investments made for the price of 500,000 USD and over, there were only 3 transactions made in October, 5 in November and 10 in December 2010. Below is the description of the properties purchased in the last 3 months along with the prices and buyer information.
Total turnover of sales in October represented 50 million USD, in November 62 million USD and 99 million USD in December. December showed the highest turnover of sales over the last 2 years.
Summing up the results, the year 2010 was a positive year for the real estate market. Real estate sales activity increased by 16% over the year. The most increase in demand was evident for non-residential (78%) and under construction residential properties (30%). Though the number of transactions increased only by 16%, the turnover of sales in USD increased by 32% which could be the sign of improvement in the purchasing power of buyers and tendency of making larger sum investments.
Taking the real estate sale trends of the last years into account, at the end of January we shall expect the loss in sales due to holidays in January and then again rise in sales throughout the year with an exception of the holiday seasons.
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