Housing price drops in JanuaryEconomy
Ulaanbaatar /MONTSAME/ Housing Price Index (HPI) stood at 5.7 percent in January, reports “Tenkhleg Zuuch Properties”. The company has been conducting the HPI study considering the prices of 5,062 housing apartments.
Reportedly, sales of new and used apartments decreased 30 percent last month, mainly due to the poor paying ability and people’s expectations of decrease in mortgage loan interest.
Annual growth of housing price decreased 10.4 percent against the same period of the previous year. The HPI for new apartments was 18.2 percent, which also indicates a 0.7 percent decrease over the previous month. An average price of one square meter was 2.28 million MNT in January.
As for used apartments, the HPI went down 0.4 percent over the previous month and by 14.2 percent compared to January of 2015. Average old apartment cost 83 million 460 thousand Togrog, which shows a one percent decrease from last December and 14.9 percent decrease from the same period of 2015. For example, in Bayan Mongol microdistrict, one square meter was 2.187 million MNT in January of 2015, dropping to 1.901 million MNT in January of 2016.