Fewer homes under construction in Bp, prices still rising
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The number of available new-build apartments in the capital has never been so low since the surveys were conducted, analysis by Otthon Centrum shows: the decline is more than 10%, while the average price of a square meter is now HUF 1.4 million, a 27.55% increase compared to a year ago.
According to Otthon Centrum's survey of June 2022, there are currently 354 new housing projects under construction in Budapest, with 28,000 apartments under construction. The number of projects is 16.5% lower and the number of apartments 12.5% lower than a year earlier.
In the current quarter, 33 new projects and roughly 1,700 apartments appeared on online advertising platforms, which is significantly lower than a year ago, when 37 projects with 2,500 apartments were launched at this time last year.
Fewer homes have further increased the already elevated price level. However, as usual, there is a wide variation between districts, with the price per square meter offered ranging between HUF 835,000 and HUF 2.435 million. The difference between projects is even more dramatic: the average price of the lowest project is 669,000 HUF and the most expensive is 3.67 million HUF. The former occurred in the XXIII district, the latter in the XII district.
The ranking of the most expensive districts is in line with the previous months, with District XII leading the list with HUF 2.44 million, followed by District I with HUF 2.38 million and District II with HUF 1.26 million. The most affordable districts are the XXIII district with 835,000 HUF, the XVI district with 942,000 HUF, and the XIX district with 954,000 HUF. In absolute terms, however, the South Pest districts are still the cheapest.
As in previous years, the most expensive and the least expensive districts have the lowest number of dwellings being built this year. In the districts where thousands of new apartments have started construction (Districts IX, XI, XIII), the median price per sqm varies between HUF 1 and 1.5 million. This price level is typical for most districts. District III and District V are slightly more expensive, while some outer Pest districts are cheaper.
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