Where will rates go this summer
After some lull in the national rental housing market, experts have recorded a new wave of rate increases. In which Russian cities have removable apartments become more expensive the most?
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“In April, rental rates were driven up by the increasing unaffordability of buying an apartment for the majority of the country’s population, as well as the change of seasons. People have become more mobile. On the eve of summer, many city residents who have the opportunity to work remotely are thinking about moving, sometimes to another region of residence,” explained Pavel Lutsenko, general director of World of Apartments.
According to his assessment, during last April “odnushka” prices increased in 44 cities out of 70 major cities in the country. Rates jumped the most in Chita (+12.8%), Grozny (+11.6%), Sochi (+10%), Ulyanovsk (+8.5%) and Saransk (+7.5%). The largest noticeable drop was recorded in Novosibirsk (-11.2%), Kirov (-10.6%), Belgorod (-7.6%), Stavropol (-4%) and Makhachkala (-3%).
In Moscow, one-room apartments fell in price by an average of 0.8%, to 47,154 rubles/month, in the Moscow region — by 0.7%, to 30,488 rubles/month, in St. Petersburg — by 1. 6%, up to RUB 30,308/month. On average, in all cities, “odnushki” increased by 1% in April and cost 21,420 rubles/month.
Over the past month, two-room apartments have become more expensive to rent in 46 cities, cheaper — in 24. Homeowners most actively raised rates in Penza (+7.7%), Vladimir (+7.6%), Sochi (+7.2% ), Vladikavkaz (+7%) and Tomsk (+7%). Owners of “squares” in Belgorod (-7.8%), Novosibirsk (-7.7%), Volzhsky (-4.2%), Cheboksary (-3.9%) and Saratov (-3.2%) reduced rates ).
Metropolitan two-room apartments fell in price by 0.6%, to 58,624 rubles/month, Moscow region — by 1.1%, to 37,631 rubles/month, St. Petersburg — by 2, 3%, up to RUB 39,859/month. On average in Russia, rented two-room apartments have increased by 1.1% and are now rented out for 27,521 rubles/month. Apartments of this type increased in price in 43 cities, fell in price in 26 cities, and in one city the rates did not change.
“Treshki” increased in price the most over the past month in Ulan-Ude (+15.8%), Smolensk (+10.3%), Arkhangelsk (+10.1%), Makhachkala (+9.8%) and Novokuznetsk ( +8.9%). Most significantly, landlords reduced rates for three-room apartments in Yakutsk (-17%), Astrakhan (-9%), Belgorod (-8.8%), Ivanovo (-5.6%) and Penza (-5.5%).
The country's average three-ruble note rose in price by 1.4% in April, to 33,974 rubles/month. In St. Petersburg, tariffs increased by 0.9%, to 50,634 rubles/month. There were no changes in the Moscow region over the month. Three-room apartments there cost 45,059 rubles/month. But in Moscow, removable “squares” fell in price by 0.5%, to 70,851 rubles/month.
“In the capital’s rental housing market, an imbalance of supply and demand remains: there are not enough liquid properties on the mass market. And in general, there are 20.5% fewer such lots today than there were a year ago,” said Oksana Polyakova, deputy director of the apartment rental department at INCOM-Real Estate. In April, according to her, the exhibition began to expand. First of all, due to the apartments, which are rented for six months — from May to October, when the owners can go to the country. “Also, the expansion of the hiring range was influenced by the reduction in demand in the sales segment: some owner-sellers are transferring their properties to double exposure. According to our data, currently 17% of the lots from the rental base are simultaneously put up for sale,” added Polyakova. Now, according to her estimates, 34.8% of the total supply on the Moscow mass rental market is occupied by 1-room apartments; 30.7% — 2-room apartments. Three-room apartments and multi-room apartments account for 27.5%. Another 7% is for rooms.
According to Pavel Lutsenko, if in the first quarter the supply of rented apartments grew, then at the moment it has begun to fall again. The number of available one-room apartments in April decreased by 5%, two-room apartments by 8%, and three-room apartments by 12%. “Thus, a change in the balance of supply and demand encourages homeowners to raise prices for new tenants,” the analyst concluded.