In 2021, the elite segment saw a decline in demand year-on-year is facing a shortage of supply. Demand for elite-class housing increased by 3% year-on-year.
Supply and demand in Moscow’s market of new elite-class housing, thousand sqm
Sources: newly built housing database, Rosreestr, Company’s proprietary databases
The share of mortgage transactions in the segment remained at the 2020 level of 18%. The mortgage rate fluctuations have little impact on demand for elite-class housing.
The share of demand for properties of 120–150 and 150–200 sqm in the overall supply and demand structure (44.7%) is higher than that of similar properties in supply (38.4%). There is still a strong demand for large properties, despite a 36.3% growth in price per sqm, which is much more than in any other segment.
According to our forecasts, there is no risk of decreased demand due to low supply in this segment. About 60–70 thous sqm of new housing is expected to hit the market in 2022, which may affect the demand.
Share of mortgage transactions in the sales of new elite-class housing, %
Sources: newly built housing database, Rosreestr, Company’s proprietary databases
Average selling price per sqm of new elite-class housing in Moscow, RUB thousand
Sources: newly built housing database, Rosreestr, Company’s proprietary databases