Rate of real estate purchases in Uzbekistan decreased

In August 2024, Uzbekistan's real estate market saw a slight decline, as reported by the Center for Economic Research and Reforms.

According to the analysis, sales in August were 3.5% lower than in July, with a total of 23,000 transactions, of which 22,200 were registered. Every year, there was a significant decline in activity: housing sales dropped by 20.8%, indicating reduced interest in purchasing properties.

The most substantial decrease in real estate transactions in August was recorded in Syrdarya (22.6%) and Khorezm regions (13.2%), as well as in Tashkent City (9.7%).

Similarly, a year-on-year decline was observed in real estate activity. Sales in Navoi, Namangan, and Tashkent regions decreased by over 30% in each region.

The rental market in Tashkent stabilized in August, with the average rent price for 1 sq.m. at $8.3, consistent with the previous month. Compared to prior months, rent prices decreased by 0.6% in July and 1.2% in June, showing stability after two months of decline. This could be due to seasonal fluctuations in tenant activity, particularly the increased demand for rentals at the beginning of the academic year.

Differences in rental prices by district also remained stable. Rent prices stayed high in the Mirabad, Shaikhantohur, and Yakkasaray districts, where the average price is around $10 per square meter. In contrast, areas like Bektemir and Sergeli offered more affordable options for budget-conscious tenants, including students, with average rents of $6 per square meter.

Compared to August last year, when the average rent price per square meter in Tashkent was $9, there was a 7.3% decrease over the year, signaling a general downward trend in the rental market. The most significant decreases were observed in Yakkasaray (-14.8%), Yashnabad (-13.3%), Shaikhantohur (-11.5%), and Yunusabad (-10%).

The Secondary Real Estate Market

In August 2024, the price of secondary housing in Uzbekistan increased by 0.7%, with a 9.7% rise in the average price per square meter compared to the same period last year.

The most notable increases were in Khorezm (21.4%), Surkhandarya (14.6%), Bukhara (13.4%), and Kashkadarya (13.3%).

In Tashkent's secondary housing market, after a slight decline, stability was observed in August. Prices increased by only 0.2%, reaching $1,128 per square meter.

Most districts of the capital saw little change in prices, except for Mirabad and Almazar, where prices rose by 1.7% and 1.3%, respectively.

Prices fell in three districts of Tashkent: Shaikhantohur (-1.1%), Sergeli (-0.9%), and Chilanzar (-0.6%). Over the past year, the average price of secondary housing in Tashkent increased by 4.2%.

It should be noted that in late August 2024, for the first time in several months, rental prices in Tashkent increased.