Housing prices set to climb

The prices for housing in Azerbaijan are predicted to grow 25% by the year-end. Those working in the construction sector explain the hike by the 36% increase in the cost of construction materials registered in January-March 2007.

Contractors say that the prices for metal fittings and concrete have risen the most of late. The cost of a ton of fittings has increased $400 compared to early March.

987 of the 1,987 buildings commissioned last year were residential buildings. Industry experts say that despite a high demand for housing in the country, domestic production is lagging behind, which is driving up prices.

Entrepreneurs predict that the average price per square meter of dwelling space will reach 2,000 manats (about $2,400).

Reports say that since the first quarter of 2008, sales of space in new and fashionable buildings have increased, with foreign nationals among potential buyers.*