A collapse in housing prices has begun in Russia, as evidenced by a study by the consulting company SRG, cited by RBC. The agency analyzed the dynamics of prices for one-room apartments throughout the country. Moscow became the drop leader, where the average cost of a one-room apartment in June fell by 7.16% and amounted to 10 million rubles.
The dynamics in Moscow turned out to be the strongest among all Russian cities, in second place is the city of Ivanovo, where prices fell by 5.94% over the month to 2.77 million rubles. Ryazan closes the top three with a drop of 5.71%, to 3.3 million rubles. The top five also included St. Petersburg (-5.07%, to 7.2 million) and Kazan (-5%, to 5.7 million rubles).
The agency claims that it calculated the cost of housing using an automated assessment system based on artificial intelligence and mathematical machine learning algorithms. The rating presents the dynamics of the cost of secondary housing in the 50 largest cities of Russia. The top 10 also included: Bryansk, where prices fell by 4.55% and amounted to 3.15 million rubles, Vladivostok (-4.38%, to 5.848 million), Kaliningrad (-4.13%, to 4.79 million), Volgograd (-3.36%, to 2.889 million), Tomsk (-3.33%, to 2.9 million) and Perm (-3.22% to 3 million).
Makhachkala became the leader in the growth of prices for odnushki, prices in the capital of Dagestan increased by 16.2% and reached 2.5 million rubles. In second place was Magnitogorsk with a rise in prices by 10.13%, to 1.79 million rubles, Lipetsk closes the top three, where prices rose by 7.73%, to 3 million rubles. The top 5 also included Kirov (+5.75%, to 2.5 million) and Izhevsk (+4.54%, to 2.6 million).
The Russian housing market has been growing at a record pace for several years thanks to low mortgage rates and preferential programs, but after the start of the war in Ukraine, and the subsequent increase in the key rate, the mortgage market shrank to an anti-record, falling by the end of May by 79%. Against this background, the demand for the purchase of housing has fallen sharply , which creates pressure on prices.