No Sign of Recovery in Baltic Property Markets

Despite some positive signs, there are no major indicators to suggest that the Baltic property markets are fully on the road to recovery, new figures have suggested....

Despite some positive signs, there are no major indicators to suggest that the Baltic property markets are fully on the road to recovery, new figures have suggested. Indeed, while residential property prices in some parts of the Baltics are rising, values in other regions are still negative.

This is according to the latest Ober-Haus Baltic Apartment Price Index, which highlighted the fact that prices in some locations such as Riga and Tallin are 60 per cent and 40 per cent depressed respectively when compared to the market's peak in 2007.

However, there were some positive signs, with apartment prices in Vilnius increasing by 0.2 per cent in May 2011. The index noted that the annual price change in the city climbed to 4.2 per cent.

Elsewhere, apartment prices in Riga did not change in May and have remained stable for two months in a row - the average price now stands at EUR 937 per square metre.

According to the report, local buyers have shown interest in small two and three room apartments and it noted that there is a strong interest in bank seized apartments because they are usually offered at bargain prices.

- Friday 10 June 2011

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