Everyone who has ever been on a search for a property, knows the struggle of doing the market research, comparing the possible neighbourhoods, their pros and cons to make the right decision. However, not everyone has thought to use the big data to understand the approximate market value of the properties they're interested in. It's amazing how much information you can actually get online to fully understand which areas and house projects are more or less expensive and available, so our team created a few charts to show the current state of real estate market and give you an insight on what's available right now!
The basic theory of economics suggest that the demand is what drives the increase in price. It applies to the real estate offers too - the more transactions are made in one area, the more expensive properties will get. However, that will not necessarily bother those interested in specific neighbourhoods. The data we gathered public services shows that apartments in the center of Riga are still among the most popular choices and, evidently, the most expensive ones. The highest prices are for the renovated buildings and new projects, followed by the pre-war projects, which are still among favourites for many people due to their history and elegant, authentic looks. It's believed that the pre-war buildings, even after renovation, still have a unique story and, as many say, a soul - a fact that undoubtedly increases the price. The center is and will always remain among the most expensive areas in any city, as it's the most perfect location for traveling within and outside the city, close to most of the big company offices etc.
Recently, there's been a boost in interest in apartments a bit outside of the center in calm areas with parks and good public transportation options nearby. A good example is Grīziņkalns/Avotu street neighbourhood, where there has been a significant amount of flat offers in the past few months. Especially popular are pre-war houses. Same goes for Pļavnieki which is an area quite outside the center but with a good infrastructure and many new houses built in the past few years. The flat offer is the third biggest in the city, and the most of the listings are for new constructions and 602 and 467 series projects, which are a bit older, but considered a long lasting ones - a fact that lets these projects fall into the top choices for acquiring.
The Jugla and Šķirotava districts are also included in the list of the most popular neighborhoods. Although these neighborhoods are farther off from the center, there are very affordable offers for pre-war, new and small family projects.
Whether you take a mortgage or have been saving for years, our budgets are not unlimited. You know how much you're willing to pay for an apartment, and you want to know which type of houses fall within your financial capabilities. That’s what makes it essential to know in which direction to look, to get more value for your money. Recently Vartus came up with a statistics on the listing prices per square meter for various home projects, from new to Soviet ones. We took the median value of each type of the project and also showed the price for 25% of the lowest and highest-valued listings to provide an actual price range for each of the projects. It may come as a surprise for some of you, but the highest price wasn't for the new, freshly built projects. In fact, the most valuable, thus the most expensive ones, are flats in renovated buildings which is mostly due to their location, historic background and the fact that the buildings are refurbished and prepared for living in the modern age. The median price for such projects is a bit under 1800 euros per square meter, while the median price for apartments in new projects is a bit more than 1500 euros per square meter. A slightly more affordable projects are the ones in pre-war buildings, which vary from around 700 to 1600 euros per square meter.
Dzīvokļu piedāvājumi Rīgā Infogram
The cheapest projects in the market are currently the small-family projects (mostly 5 to 9 storey buildings), private projects and Lithuanian projects. The median price for each is from around 750 to 850 euros per square meter.
Each of these projects can have their advantages and disadvantages you need to take into account when making the purchase or rental decision. Many center-located properties don't have a parking lot by the building and leaving the car on the street can cost you extra money, but the buildings are mostly well taken care of and in very good living conditions. New projects will be perfect for those who want to be the first ones to live in the property and furnish it as they wish. The parking space is a thought-through issue in new projects, but the main con could be the fact that each problem that will occur will be a new one and may take a longer time to solve than in the old projects where all the possible scenarios have already been tested.
There are also things to consider and take into account, if you're looking at the more affordable options. Lithuanian projects, for example, won't have an elevator which is quite important for families with small children. Small-family projects may face various issues too, but in most cases Soviet time projects are considered one of the most long-lasting ones because of the way they were constructed. These and many other factors influence the final price of the apartment, and sometimes it shows that the property value has been set taking into account more emotional factors, not just the physical condition of the property. Nevertheless, it's important to be aware of the current state of the market and approximate prices to evaluate your options and choose the best fit for your budget. Fortunately, there are many data available for you to be able to evaluate the offers yourself, and Vartus is one of them, so come and visit our page or contact us whenever you have any real estate related questions. We'll be happy to help!