YEREVAN, September 26. /ARKA/. Armenia’s real estate market faced a 8.5-percent decline in Jan-Aug 2013, Prime Minister Tigran Sargsyan said Thursday at a regular meeting of the Cabinet.
He said alarming things at the market due first of all to the fallen demand for elite housing give grounds for concern.
“There is demand for inexpensive housing, but it is higher than supply,” he said. “The government ought to foster construction of economy class housing.”
The premier also said that to make real estate in Armenia attractive for foreigners, it would be reasonable to provide resident cards to them.
Tatul Manaseryan, an economist and the head of Aleternative think tank, said earlier that the market is oversupplied now as construction continues in the country. “But prices are paradoxically high,” he said. “That is why a very undesirable situation may emerge here, and prices will plunge.”
The average price for one square meter in apartment blocks in Yerevan reached 272,100 drams in this year’s July after rising 0.04% since the same month a year before.
One square meter in detached houses in Yerevan cost 286,600 drams, on average, in July 2013 against 275,600 in July 2012. ($1 – AMD 405.86). ---0---