By Maria-Jose Morote
+44 (0)1270 539 582
www.i-PropertyAssets.com
i-PA Asset Disposal Manager
So far in 2009 across Poland, Czech and Slovakia viewings by the local market looking to purchase our investors units slowed but did not freeze and working with a range of partners we have been able to close a number of successful sales
The local markets in Poland, Czech and Slovakia are improving as are a number of the agents. Interestingly, larger agents with high web presence tend to have excellent offices in some cities or some areas of cities but rarely offer a high quality service across all cities or all areas.
For this reason we have been working with an increasingly large number of partners who have the skills to achieve sales at acceptable prices for different developments in different cities across this region.
For best results, you need to have the right agent or agents in the right area!
The market for selling units to the local people in Romania and Bulgaria remain very difficult and most estate agents have either closed up or converted to letting agents as they seek to ride out the current difficulties.
However, we are seeing increased signs of activity in Romania as units complete and become available for purchase by local residents as completed units.
In all markets we have seen a marked shift away from off-plan. Neither will the banks fund off plan developments nor is there the local demand.
As a result the supply of property is shrinking rapidly and those people with the capacity to buy are now making their move. This is already happening in Poland, Czech and Slovakia and beginning to take place in Bucharest. We have also seen signs in Sofia of interest in the completed units with many developer's sales offices commenting on the increase in enquiries.
We are constantly asked to give some indications of prices, particularly in Poland, so here are a few examples of sales completed recently for units which have been held for between 2 and 3 years:
| Unit | Internal Sqm | Original Price | Extra Costs | Selling Price | Growth |
|---|---|---|---|---|---|
| 1 | 51.80 | 309,058 | 70,000 | 535,000 | 41% |
| 2 | 69.70 | 368,560 | 70,000 | 620,000 | 41% |
| 3 | 71.20 | 361,520 | 70,000 | 650,000 | 51% |
| 4 | 74.30 | 404,014 | 70,000 | 700,000 | 48% |
N.B - All prices are in PLN. The extra costs have been estimated to give a standardized measure for capital growth calculations. This does not include the costs of finance.
If you would like to sell your CEE property, please call María José Morote - the i-PropertyAssets Resales Manager - on +44 (0)1270 539582 or email maria.morote@i-propertyassets.com
Alternatively, leave your property details with i-PropertyAssets by completing this online form.
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