BANKS NEED TO MAKE FINANCING MORE ACCESSIBLE
Real estate experts say, that the banks must facilitate the financing terms to raise the sale of the apartments, while they were analyzing the market in the first half of the 2014.
"The prices of the apartments dropped by 2.4% in the last six months (H1 2014), and this trend, will also continue in the rest of the year with a slower pace.
The unfavorable credit or bank strict criteria contribute to inlarge the illiquidity of the real estate market. The prices are in steady fall for more than 2, 5 years. The actual buyers are with great confidence, that this trend of price-fall will continue and that now is not the real time to buy an apartment. Therefore, we have a stagnation that lasts for a longer period now", says Vlatko Bogoevski, general manager of Forton Macedonia.
Macedonian real estate buyers put the price in the first place, the location on the second, the functionality at the third, and the quality at the fourth place. The investors which are adopting to these factors are still operating successfully, and the rest, survive, thanks to the tolerance of the banks.
- "On a long term, this situation is unsustainable. The banks need to make the financing more accessible to the customers. The idea is how to increase the market liquidity. In Skopje there are about 1800 transactions, yearly, for both - old and new apartments. If we compare to Belgrade or Sofia, the number of transactions is 7-8 times lower. This is a huge difference, and Skopje is not that low compared to the liquidity in the terms of these cities", says Bogoevski.
The biggest number of unsold apartments is in the municipalities: Aerodrom, Karposh and Chair, where the apartment construction is very high.
In Bulgaria and Macedonia Forton is leading provider of commercial real estate services for investors, corporates and banks. Forton is an independently owned and operated member of the Cushman & Wakefield Alliance in the two countries and part of AG Capital, the largest Bulgarian real estate service group which also includes Address, Facility Optimum, BLD and Unique Estates, among others. Forton offers end to end solutions for office, retail and logistics developments, hotels, resorts, residential and specialized projects and properties. Its experts can help with investment planning and consultancy, leasing of office, retail and industrial space, sales and acquisitions, business consulting, valuation, property and asset management. As a company regulated by the Royal Institution of Chartered Surveyors, Forton works in accordance with the highest international real estate service standards. Its partnership with Cushman & Wakefield allows it to serve as a gateway between the Bulgarian and the global economy.
Cushman & Wakefield is the world’s largest privately-held commercial real estate services firm. The company advises and represents clients on all aspects of property occupancy and investment, and has established a preeminent position in the world’s major markets, as evidenced by its frequent involvement in many of the most significant property leases, sales and assignments. Founded in 1917, it has 253 offices in 60 countries and more than 14,000 employees. It offers a complete range of services for all property types, including leasing, sales and acquisitions, equity, debt and structured finance, corporate finance and investment banking, corporate services, property management, facilities management, project management, consulting and appraisal. The firm has more than $4 billion in assets under management globally. A recognized leader in local and global real estate research, the firm publishes its market information and studies online at www.cushmanwakefield.com/knowledge.