"The real estate purchase boom in Jurmala what everybody was waiting was not succeeded. The number of transactions this year has dropped by 20%. People have heard that the prices of real estate in Jurmala have increased improperly and nobody wants to pay that kind of amount. The real estate prices next to the seaside raised by up to 30%, which also discourages customers from buying it. It should be noted that the most of real estate buyers in Jurmala are foreigners. 90% of property purchasers are non-resident. It also explains the sharp price increasing," says real estate market BALSTS Chairman of the Board Aigars Zarins.
During recent period there is bigger interest in bank repossessed properties. Number of transactions is constantly rising. Approximately 15% of this year’s transactions are entered directly on the bank repossessed properties, and the number continues to grow in July as well, that means that the costumers are interested this real estate segment.
"There is advantage to buy Bank repossessed properties, because buyers are offered more favorable conditions. There are advantages in both - buying an apartment by taking loan or paying in cash. The loan interest rates for this kind of apartments are lower, which nowadays is a very important factor. Also, the prices are more adequate for this kind of properties, because priority for banks is to sell the property, not to earn profit from that," says Aigars Zarins.
Aigars Zarins also claims that this is good moment for buying property, because prices are adequate and banks are granting loans for purchasing these apartments.
"It is interesting, that there appear buyers who previously have not been taken loans. This means that they are people who do not have damaged credit history, and they are also more likely to buy apartments with a help of the bank. Also "BALSTS" started to focus on bank assets, because demand is currently rising," says A. Zarins.
More information you will get: