Real Estate Prices

“There is reason to believe that on the long term, property prices have noteworthy growth potential, even from today’s standing.” - Rasmus Pikkani, Sampo Bank’s analyst, 30.05.2005 Äripäev. The above can be explained by:
• Small amount of living space per capita (25 m2 each).
• Economic growth (GDP approximately 6% - The Statistical Office of Estonia).
• Low-interest loans (3 % - HansaBank).

TARTU

The demand for property in Tartu has been consistantly increasing, which explains why in the last few years the average property prices have risen by 10-15%. The highest demand is for 2-roomed apartments sized 40-50 m2.

The properties in the centre has risen much faster than those in the suburbs, with Ülikooli street reaching €1300 (Spring 2005 report by the Ober-Haus Real Estate Company: www.ober-haus.ee).
Property prices (central Tartu) in 2005, per m2 incl. VAT:
- Ülikooli St. € 1100-1300 (sold before commencement of construction)
- Tähe St. € 1100 (sold before commencement of construction)
- Vanemuise St. € 1400 (sold during construction)
- Vallikravi St. € 1100
- Lille St . € 1200

TALLINN

The overall growth of demand has increased the purchasing and letting prices of residential real estate, whereas the avarage vacancy in central Tallinn has fallen to approx. 5-6%.

There is a high demand for small office premises (20-70 m2) in new and modern buildings. The letting prices of class A offices reach even 14,7 €/m2/month. The supply of class A office buildings for sale is very limited, although demand is constantly exceeding offer.

Due to unsatisfied demand, residential real estate prices in Tallinn are on a constant rise, which in the last year has been about 10-15%. The price increase in downtown has been the fastest, reaching 20%. Avarage apartment prices in central Tallinn are about 1,250-1,429 €/m2, the highest square metre prices reach 2,051-2,243 €/m2 in dowtown and most of the projects are pre-sold.
The prices are expected to grow 10% in a year.



		Economy Growth & Investments Main reasons to invest in Estonia: International Credit Rating agencies mark Estonia as a strong emerging market. Low production costs (labour, energy e...
		EST Kinnisvara EST Kinnisvara, is a real estate company founded in January 2003 by Eva Kams to offer a professional service in the Estonia’s increasingly copetitive property market, including full-scale real e...