What are the trends in the real estate market in Kazakhstan in 2023?

Introduction

In this material, we will highlight the main characteristics of the real estate market in Kazakhstan and analyze the key trends observed in major cities such as Almaty and Nur-Sultan. We will also pay attention to the impact of foreign investments in this sector of the economy.

Geographical features of Kazakhstan

Kazakhstan occupies a vast area, ranking ninth in the world by territory. The majority of this land is located in Asia, but there is also a piece of Europe that belongs to Kazakhstan. This unusual geographical position opens up numerous opportunities for multifaceted development, which ultimately creates diverse prospects for both local residents and foreign investors.

Population and culture

The capital of the country is Nur-Sultan, which until recently was named Astana. The population of this city exceeds one million people, while around two million citizens live in Almaty. Until 1997, Almaty remained the central city of the country, and the relocation of the capital to Nur-Sultan helped balance the population between the two largest cities, contributing to a more even distribution of people across the territory of Kazakhstan.

About 80% of the population are Kazakhs, but it is worth noting the significant presence of the Russian-speaking community, which makes up about 15% of the total number of citizens.Many Kazakhs speak Russian.This makes communication more accessible for both Russian-speaking tourists and local residents.

The nature of Kazakhstan

The nature in Kazakhstan impresses with its diversity: from endless steppes to majestic mountains with numerous lakes and rivers. The country's climate is highly continental, which attracts those who prefer hot summers and cold winters. Kazakhstan also holds an important position in the global energy market, possessing about 3.2% of the world's oil reserves.

Real estate market

As for the current state of the real estate market in Kazakhstan, it is showing active development despite the changes in the political sphere following the resignation of long-term president Nursultan Nazarbayev. Few expected such growth, as analysts had predicted a possible decline in sales volumes and prices.

However, this growth was the result of not only political processes but also the start of a new construction season, which usually begins at the end of February.

Housing prices

As for prices in the secondary housing market, they have remained at last year's level, while in the primary market many developers have reduced apartment prices by about 10%. Experts suggest that this trend will continue until the end of May, after which there will likely be another price surge, and they will return to the initial figures of the year.

Prospects for development

The real estate market in Kazakhstan continues to be active and attractive for investors, creating new opportunities for growth and development.Kazakh real estateThere is increasing interest from both local buyers and foreigners, which could lead to new investment opportunities and the creation of new residential complexes in the near future.

Analysis of the real estate market in Kazakhstan

Experts in the analysis of the Kazakh real estate market point out that a challenging phase began in this sector in mid-2018. One of the main factors affecting the situation was the sharp decline in the exchange rate of the tenge against the US dollar, which led to financial difficulties for a significant number of citizens in the country. It is urgent to note that more than 50% of all residential properties continue to be sold in the informal sector, remaining directly tied to fluctuations in the exchange rate.

Price category of housing

Currently, the average price category for housing in the primary and secondary markets is approximately $1,000, which at the current exchange rate equals 380,000 tenge. The highest real estate prices can be observed in major cities of Kazakhstan, such as Almaty and Nur-Sultan (formerly known as Astana).

Conclusion

In conclusion, it can be said that the real estate market in Kazakhstan demonstrates notable resilience and adaptation to the changing political and economic environment of the country. Your opportunity as an investor or potential buyer to explore this market could open up new horizons.

As I noted in this article, the capitals Nur-Sultan and Almaty not only attract with high real estate prices but also serve as major financial centers, offering their citizens excellent living and working conditions. In the context of the changed political situation and economic fluctuations, the stability of prices in the secondary housing market, as well as certain declines in the primary market, can serve as good signals for those looking for investment opportunities.

It's important to consider

When purchasing real estate in Kazakhstan, it is important to consider:

• Cost and location of the properties;
• The overall socio-economic situation that will impact the future of the market.

It's interesting that Kazakh culture and its population, which includes a significant number of Russian-speaking citizens, create a comfortable environment for southern and Eastern European newcomers, which also affects the demand.

Prospects

In conclusion, Kazakhstan, as a state, continues to attract attention due to its rich natural heritage and cultural diversity. As the real estate market continues to develop, we have every reason to believe that this is just the beginning of a new phase, full of opportunities for investors and residents of the country.

Main findings

• Market Sustainability:The real estate market is adapting to changes.
• Housing prices:Certain changes in prices can create opportunities for buyers.
• Cultural diversity:It simplifies life for foreign citizens and attracts them to the market.

We can only watch how the economy will develop and how this will affect the housing market in the future.