Statistical Sensation: Apartment Prices Record Growth for the First Time in 3 Years

Here the word sensation is completely appropriate to use, as a real refraction in official statistics on real estate has been recorded. Small, but in any case, refraction.

We have repeatedly stated, that statistics of prices for real estate (particularly apartments in the capital’s apartment buildings) throughout recent 3 years seems to be out of the logic.

Until April 2013 prices for apartments had some logic, prices were changing, rising and falling. From April 2013 prices for apartments weren’t changing. Even by 1 dram.

For instance, price per 1 m² in Kentron administrative district has varied until April 2016. Average price in April comprised AMD 428 thousand and remained on the same level until May 2016.

Nothing has impacted on prices—neither change in the number of the population, nor income change, nor reduction of money transfers from abroad, nor collapse of prices in December 2014.

In other administrative districts prices have changed slightly, however, if we take average of prices in Yerevan, the snapshot won’t change.

Data for June haven’t been enshrined in the previous report.

And today National Statistical Service issued real estate statistics for January-July 2016. Average price for 1m² has grown by AMD 250, thus, comprising AMD 428250. For the first time in three years.

What has changed in June in the economic life, which affected the index, constant for 3 years ? More probably the approach of statisticians has changed, supposedly they started to dislike the static snapshot.