Property Prices Down Almost 3% Year-on-Year
Data from the National Bank of Slovakia (NBS) point to a year-on-year drop of 2.9% in property prices for 2Q 2011, with the decline being put down mostly to the large number of empty flats in new-build developments.
It is the new-builds that are bringing the average price down, according to Unicredit analyst David Derenik, who feels that the prices of older flats have stabilised and will not fall.
The average price of one square metre of residential premises in Slovakia comes to EUR 1,256 now, which is EUR 8 less than in the previous quarter. In the Bratislava region the average price according to the NBS is EUR 1,682/m2.
Just like everywhere else, the property market in Slovakia was hit hard by the economic crisis, but prices are still high in comparison to those in neighbouring countries. Property developers have recently started picking up the pace again, with the restart of many projects that were put on hold in the wake of the crisis.