Filenews 22 April 2021
WiRE FS, a company that combines know-how in the real estate sector with the use of technology, has presented for the first time a new Index of Sales and Rental Prices.
Speaking on the Insider radio show on Active and Socrates Joachim, the company's CEO, Pavlos Loizou, said that the Index has been created retroactively since the 4th quarter of 2009 and records the quarterly change in sales and rental prices per province of all types of properties, i.e. apartments, houses, shops, offices, holiday apartments and holiday homes.
In total, prices and rents are recorded for 54 regions and sub-regions and aggregated data by province and property type are listed.
The latest data processed by Wire relate to Q1 2021. As 2020 and the first months of 2021 were largely affected by the coronavirus pandemic and related restrictive measures, there is a drop in sales prices for all categories of properties and in most of the rental prices.
Detail:
Sales Price Index:
Category, 1st quarter 2020 1st quarter 2021 Annual % change
Above - apartments, houses, commercial real estate, warehouses, office space, holiday apartments and holiday homes.
In more detail, apartment sales prices decreased by 0.5% in the first quarter of 2021 compared to the first quarter of 2020, house prices by 1.5%, commercial real estate by 5.3%, warehouses by 4.5%, office space by 1.0%, holiday apartments by 1.2% and holiday homes by 3.2%.
As WiRE FS CEO Pavlos Loizou explained, the relatively large drop in prices for storage may be transitory as there has been an increase in demand from transport management companies and other commercial companies that have developed their online sales channels in recent times. "We also expect that prices for holiday properties will recover soon as the pandemic subsides, so will the demand for these properties from foreign buyers who find it difficult to visit the island." It seems more difficult to return the prices of commercial properties (shops) to positive signs since the market needs more time to recover as consumers go through a period of redefining purchasing priorities, lifestyle and the way purchases are made, adds Paul Loizou.
WiRE Index - Rental Price Index
Above - apartments, houses, commercial real estate, warehouses, office space, holiday apartments and holiday homes.
As regards rents, apartments (-0.6%), shops (-6.4%), offices (-3.2%), and holiday homes (-5.4%).
"And in the case of rents, the findings are relatively expected due to the conditions of economic instability. The slight increase in rents for houses may be due to the fact that any tenants, after a year of restrictions, prefer to rent houses rather than apartments in order to have outdoor space. It is noted, however, that the effects of the pandemic have not yet become visible everywhere, due to the relatively short period of time," explains P. Loizou.
The WiRE Index will be published on a quarterly basis and its main findings will be communicated to the media and all stakeholders.
WiRE FS - Insight, then click on WiRE Index
