Elite new buildings in Moscow: demand is growing, while prices are falling.

In February 2018, the luxury real estate market in the capital saw a 20% increase in transactions compared to the same period in 2017. However, the average price and size of these properties decreased.

According to Kalinka Group's calculations, at the beginning of March, there were 2,130 new properties available in the luxury segment of Moscow's real estate market, which is similar to the level of supply at the beginning of this year. The total area of the properties being sold is approximately 260,000 square meters.

The average price per square meter for properties sold in the luxury segment in the last month of winter was 553,000 rubles, which is 7% lower than in February 2017. The average size of apartments in Moscow's luxury new developments has also decreased. Currently, it is at 100 square meters, which is 18% smaller than the February 2017 figure.

«The stocks and discounts that were in effect in the Moscow real estate market from December to February have ended, and we are witnessing a gradual price increase of 10% for primary market properties, ” said Roman Popov, Director of the Strategic Consulting Department at Kalinka Group. “At the moment, the weighted average cost of listings has already reached 703 thousand rubles per square meter, matching the February 2017 figure. Additionally, we are aware of some developers' plans to increase prices in March. However, the price growth is primarily driven by the increase in the construction completion stage of the properties”.