Risk of 30% price correction in Armenia's real estate market has not materialized – Central Bank Governor
05.06.2026,
18:02
The risk of a price correction of up to 30% in Armenia's real estate market, which the Central Bank of Armenia mentioned several quarters ago, has not materialized, stated regulator Chairman Martin Galstyan.
YEREVAN, June 5. /ARKA/. The risk of a price correction of up to 30% in Armenia's real estate market, which the Central Bank of Armenia mentioned several quarters ago, has not materialized, stated regulator Chairman Martin Galstyan.
"Currently, market data suggests that even if there is some kind of correction, it is very moderate, which is likely the best-case scenario for the country," he said on the Rearrange podcast.
According to Galstyan, if people buy real estate with the intention of reselling it at a higher price in a market economy, they may fail, incur losses, learn a lesson, and not do it again.
"Is there a better way? You can't prohibit people from making the investments they want. In a capitalist society, people learn from their mistakes," he said. Responding to the comment that some countries still intervene in such cases, the head of the Central Bank noted that Armenia had chosen a different path.
"We once passed a law in the National Assembly requiring mortgages to be issued in drams. Because people took out dollar loans because the interest rate was lower, bought apartments, and if problems arose due to exchange rate fluctuations, they wouldn't be able to service their obligations. So at least we removed the currency risk from this equation," he said.
"Currently, market data suggests that even if there is some kind of correction, it is very moderate, which is likely the best-case scenario for the country," he said on the Rearrange podcast.
According to Galstyan, if people buy real estate with the intention of reselling it at a higher price in a market economy, they may fail, incur losses, learn a lesson, and not do it again.
"Is there a better way? You can't prohibit people from making the investments they want. In a capitalist society, people learn from their mistakes," he said. Responding to the comment that some countries still intervene in such cases, the head of the Central Bank noted that Armenia had chosen a different path.
"We once passed a law in the National Assembly requiring mortgages to be issued in drams. Because people took out dollar loans because the interest rate was lower, bought apartments, and if problems arose due to exchange rate fluctuations, they wouldn't be able to service their obligations. So at least we removed the currency risk from this equation," he said.
