was surfing the net and found this article.
would be nice!
Wednesday 4th August, 2004Russian real estate market set to collapse
Big News Network.com Saturday 10th April, 2004The Moscow real estate market could collapse if rising prices flatten out and apartments are immediately put up for sale, RosBusinessConsulting.com reported.
Soaring real estate prices have made Moscow apartments a good investment. In 2003 alone, prices escalated 30 percent to 40 percent, and in some cases more than 50 percent. Thirty percent of Moscow apartments were bought as investments in 2003; analysts expect the percentage to rise to 35 percent to 45 percent in 2004. But if prices stop rising, owners will be put on the market, and prices will collapse.
In 2000-2001, such real estate investment purchases comprised only 1 percent to 2 percent of sales. By last year, the weak dollar motivated people to invest in safer investments like real estate.
Finnish newspaper Finansovye Izvestia predicts Moscow’s real estate prices will rise at least 20 percent to 25 percent in 2004, and by 15 percent in 2005 and 2006.
To prevent a market catastrophe, the percentage of investment purchases on the housing market must correspond to the pace of housing construction, said analysts.
cheers
shaunLead, Follow or get out of the bloody way
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