TASS: rental rates in Russian cities with a population of over one million increased in October by an average of 6 percent in October by an average of six percent compared to September. The head of “Cyan.Analytika” Alexey Popov told TASS about it.
According to the expert, this is a record growth over the past five years. In turn, Daria Khlystova, director of the department of lease of residential and commercial real estate of the Etazhi company, noted that in the most popular areas of large cities in the Russian Federation, rent increased by 25-30 percent, and some owners renewed the rental price of their real estate almost weekly.
According to CIAN, rent of a one-room apartment in Moscow in October rose by six percent – up to 42 thousand rubles on average per month. In St. Petersburg and Kazan, rental rates increased by nine percent – to 30.1 and 20.8 thousand rubles, respectively. In Yekaterinburg, the growth was four percent – up to 21.5 thousand rubles, in Novosibirsk and Nizhny Novgorod, the rent increased by six percent – up to 20.6 and 19.1 thousand rubles.
The rise in rental prices in large cities experts associate it with a shortage of supply on the market. The volume of supply in most cities with a population of over one million in October was 35-50 percent lower than at the beginning of the year. At the same time, Popov noted that in November the activity of tenants usually decreases. Interest in rent began to subside compared to October and September levels, but it still remains 20 percent higher than in the same period in 2020.
According to Khlystova, the balance in the rental market should not be expected earlier than in spring-summer 2022. According to the expert's forecasts, the rates established in October will remain unchanged until the end of 2021. Rent may fall in price in the spring of 2022, subject to the restoration of the balance of supply and demand.
On November 16, it was reported that at the end of the summer of 2021, almost all available supply was “washed away” from the Moscow rental market. Due to the lack of supply, the cost of renting economy-class apartments has grown by about 20 percent.