The cost of new buildings in Ukraine may increase by 20-25% in 2025 due to several main factors, including inflation, currency fluctuations, and increased construction costs, according to Marianna Bighunets, sales director of the construction company Gazda.
According to her, the key factor for the price increase is the growing demand for real estate, especially in the western regions of Ukraine. At the same time, the reduction of risks for buyers and stable demand for objects that are actively being built have become the basis for the "planned increase" in housing prices.
The main factors driving the growth of real estate prices:
- Inflation : Rising prices for goods and services lead to increased construction costs, which in turn increases the cost of apartments.
- Exchange rate fluctuations : Changes in the hryvnia exchange rate against the dollar and euro can increase the cost of imported building materials, which make up a significant portion of construction costs.
- Rising construction costs : Rising prices for materials, transportation, and labor contribute to increased costs for the construction of new facilities.
In addition to these objective reasons, there are also hidden factors, such as the cost of connecting facilities to utility networks, investments in landscaping, and costs for permits.
Forecast for 2025:
In 2024, the average growth in the cost of new buildings in Ukraine was from 10% to 15%. However, these figures may increase significantly in 2025, which will ultimately lead to a 20-25% increase in the price of a square meter. For example, a two-room comfort-class apartment in Uzhgorod, which at the beginning of construction cost 2-2.5 million hryvnias, may increase in price to 2.8 million hryvnias by the end of 2025.
Demand for real estate in the western regions:
Demand for housing in the western regions of Ukraine, in particular in Kyiv, Lviv and Uzhhorod, is growing rapidly. This is due to the development of the primary real estate market and the increase in the number of investors who consider real estate as a reliable way to preserve capital.
In particular, high demand is observed in the suburbs of large cities, where buyers seek to find housing in environmentally friendly areas with well-developed infrastructure.
Investing in real estate:
As experts note, investors are increasingly choosing real estate as one of the most reliable ways to preserve capital in conditions of economic instability and devaluation of the hryvnia. Buying apartments in the early stages of construction makes it possible not only to save money, but also to multiply it, since the price per square meter increases with the completion of the construction of the facility.
