Rental prices fall in Russian million-plus cities
For the first time in six years, rental prices for apartments in Russian million-population cities began to fall. In August of this year, the cost of renting apartments in these cities decreased for the first time since 2020, according to Elena Bobrovskaya, a leading analyst at the CIAN agency, who told Kommersant.
Consensus
- Rental prices for apartments in Russian cities with over one million residents have declined for the first time since 2019.
- The year-on-year increase in the number of apartments offered for rent in these cities reached 27%.
- The decline in rental prices is linked to an increase in supply, particularly from investment properties acquired during the 2020–2023 period.
- Landlords are offering discounts, with the average discount rate rising from 9% to 10.6% between January and August.
- In August, average rental prices for one-bedroom apartments fell by 3% year-on-year, and for two-bedroom apartments by 6%.
Points of divergence
- In September, one-bedroom apartments were on average 2.2% cheaper than a year ago, and two-bedroom apartments were 5.7% cheaper. — tg_theinsider
- The largest price drops for one-bedroom apartments occurred in Samara (13.3%), Rostov-on-Don (9.3%), and Saint Petersburg (8.4%). — tg_theinsider
- For two-bedroom apartments, the largest price drops occurred in Moscow (18.6%), Yekaterinburg (13.8%), Rostov-on-Don (10%), Saint Petersburg (9.9%), and Perm (9.3%). — tg_theinsider
- In Kazan and Krasnoyarsk, two-bedroom apartment prices increased by 4.5% and 2.2% respectively. — tg_theinsider
- In January–August, 24% of property owners in million-plus cities reduced their rental rates, with the average discount reaching 10.6%. — kommersant
- In Moscow, 28.1% of landlords reduced rates; in Saint Petersburg, 31.3%; in Yekaterinburg, 37.7%; and in Kazan, the highest average discount was 12.9%. — kommersant
Coverage (3 sources)
- In Russian million-city capitals, apartment rental prices have begun to fall for the first time in six years — The Moscow Times
- Rental of apartments in Russian million-plus cities has become cheaper for the first time since 2020. Supply has increased by 27% — The Insider
- Average discount on the market for long-term apartment rentals increased from 9% to 10.6% — Коммерсантъ