World rental market: seasonal trends

World rental market: seasonal trends
Prices for apartments in Moscow, Kiev and the UK this autumn are higher

What is happening in the world real estate rental market today? It is impossible to imagine a single planetary tendency. In some countries rental market is booming, in others is in decline.

Among the unexpected outsiders is the tallest building in the world - Burj Caliph in Dubai. “Arabian Business” reported about significant fall in prices for the rental of apartments in this masterpiece of modern architecture. Due to the fact that the administration of Burj Caliph has been unable to find enough customers for the vacant rooms, rental rates in the 828-meter skyscraper fell by 40%. At present, the cost of renting a very simple studio "Burj Caliph" is about $ 1800 per month.

While luxury property in the UAE is experiencing hard times, the rental market in Moscow, seems, to be on the rise. Metropolitan realtors say the overall rise in prices for apartments in September is more than 2-7% compared with August. 3-room flats were the most popular - the rise in prices for the rental of 3-room apartments in Moscow in September amounted to over 7%, according to RIA Novosti. The largest number of rental proposals in Moscow in the segment of 750-1000 dollars. Its share in total number is 40%.

Apartment rentals in Kiev, the capital of Ukraine, also do not stand still. Price for the rent of 1-room apartments - the main market indicator of leased real estate property in Kiev - has risen over the last week of October for 5%. As of October 18, 2010 the average price of 1-room flat in Kiev was 578 dollars per month.

As previously reported by datscha-booking, the rental market in the U.S. is also booming. But the growth dynamics of prices in American real estate market is much more modest. For the third quarter of 2010 prices for rental of housing in the United States was from 0.5% to 3%, depending on the region. The highest level of average rates for housing rental in the U.S. is in the "apple of the world", New York.

At the same time, rental market in UK makes new records. Average cost of rented residential property on the islands in September was amounted to 698 pounds, which is for 3.1% higher than in September 2009. And in some areas of London the rent increased by 5%. As noted in the LSL Property Services agency report – it is the highest cost in Britain for all time of observation. Last record growth in prices was recorded in the British rental market in September 2008.

Date: 20/10/2010

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