At the end of the first quarter of 2019, the average price of mass-segment apartments on the Moscow new-building market was RUB 165,700. for 1 sq. m, which is 2.2% more than in December 2018, was calculated by the Metrium company. These data coincide with the calculations of Best-Novostroy experts, according to which in the first three months the average cost of 1 sq. m. m in new buildings in the capital increased by 2% to 165,500 rubles.

The most noticeable increase in prices occurred in the Northern and Eastern districts, where new buildings rose in price by 8.1 and 6.3%. As a result, in these districts the average prices of the mass segment turned out to be the highest - 175,210 rubles. and 175,670 rub. for 1 sq. m accordingly, follows from the Metrium data.

On average, a new comfort-class building can now be purchased for 11.429 million rubles, which is 2.3% more than at the end of 2018, as calculated by Best-New Building.

“In addition, the market has seen a decrease in discounts. If at the beginning of the year there were significant New Year promotions (up to 7–10–15% and higher), which in many projects were extended into February, then by the end of the quarter the discount was reduced to 2–5%. The reason for rising prices and decreasing discounts is the increase in VAT and changes in legislation,” says Maria Litinetskaya, managing partner of Metrium. Roman Rodiontsev, director of the project consulting department at Est-a-Tet, associates the increase in prices for new buildings in the capital with the transition to project financing and an increase in the VATI. “By the beginning of summer, prices for new buildings may rise by 5–7%,” the expert concludes (quote from Interfax).

Let us remind you that from July 1, Russian developers will be required to work using escrow accounts in which citizens’ funds will be accumulated. Construction companies will not be able to use this money until the work is completed; banks will lend them. As borrowed funds become more expensive, developers are talking about a significant increase in housing costs after switching to a new financing system. People are frightened by the predicted rise in prices after the abandonment of shared-equity construction, and those who were planning to make a purchase are trying to do it now, according to the Best-Novostroya study.

New buildings in Moscow have risen in price due to expectations of changes in the law