Serbia, Great growth in demand for real estate

Published on 1. March 2023., News

In Serbia, in 2022, for the fourth year in a row, the demand for real estate continued to grow, and the most expensive residential square was sold in Belgrade on the water at a price of 10,400 euros, according to the report of the Republic Geodetic Institute.

The most expensive paid apartment in Belgrade on the water, with a total area of 383 square meters, for 2,469,888 euros. According to the RGZ report for 2022, the total value of the real estate market in 2022 reached 7.5 billion euros, which is 22 percent more compared to 2021.

In contrast to the real estate market in European countries, where, under the influence of primarily rising interest rates, there was a significant slowdown in growth or even a drop in prices and the volume of transactions, the level of real estate prices in Serbia recorded a strong growth in the past year.

The value of transactions in certain segments of the market by type of real estate in 2022 compared to 2021 increased by 26 percent when it comes to apartments, and 56 percent for garage spaces, the RGZ announced. The market of business premises grew by 28 percent, construction land by 23 percent, while the value of traded houses recorded an increase of 11 percent.

The sale of apartments increased by three percent, garage spaces by 23 percent, business spaces by two percent, while the number of houses sold remained at the same level as last year. The purchase and sale of agricultural land increased by five percent, while the sale of construction land recorded a decrease of six percent annually.

The highest number of real estate sales was realized in Vojvodina 35 percent, Šumadija and Western Serbia 25 percent, the City of Belgrade 24 percent, while Southern and Eastern Serbia recorded the lowest number of transactions at 16 percent.

The highest year-on-year growth in the number of sales was recorded in the region of Southern and Eastern Serbia by 4.7 percent, followed by the City of Belgrade by 4.4 percent, Šumadija and Western Serbia by 0.2 percent, while in the region of Vojvodina there was no change compared to the year 2021.

The use of credit funds to finance the purchase of real estate in 2022 was reduced by two percent compared to the previous period. In 2022, 11 percent of all real estate in Serbia was purchased with the participation of a loan, compared to 13 percent in 2021.

Apartments were most often purchased from loans, 26 percent of all apartment sales in 2022, which is five percent less than in 2021. The number of realized transactions at the level of the entire country is still increasing, reports Tanjug.

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