The cost of housing  in the city outskirts  increased  by $ 200 in 2021

The cost of housing in the city outskirts increased by $ 200 in 2021

access_time2022-01-25 13:00:41

The pandemic has resulted in changes to  the Georgian real estate market.


Construction companies say that  the cost of construction increased by 35-40%  automatically affecting the housing cost. At the same time, the market is experiencing  new trend - more and more projects are carried out on the outskirts and less and less - in the city center, in prestigious districts.


According to Director of the Iverioni construction company Archil Jakeli, if a square meter of housing in one of the sleeping districts  of Tbilisi cost $500, now the price increased to  $700.


“Demand is growing for the most outlying districts of Tbilisi, especially for small private houses,  that was not observed  before the pandemic. The cost of construction, mainly due to materials, increased by 35-40%. For example, rebar has risen in price by 100%, other materials - by 50%. But the housing cost has not increased adequately to the growth of the cost  price - if prices had risen adequately, no one would have  bought the real estate,” Archil Jakeli  stresses.


He adds that it’s  difficult to sell housing, large projects with low cost of work can be carried out only  by large companies.


Commenting on the current tends on the market, Jakeli says that  the demand for real estate has grown both in the outskirts and in the city center.


 Sakstat reports that in the 4th quarter of 2021 the cost  of housing  increased by 1.2% compared to the same period in 2020.


Currently, a square meter of housing in the center of Tbilisi costs $1,280, in the outskirts -  $770.


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