Residential housing price indices, Slovenia, 2nd quarter 2017

Prices of newly built dwellings much higher than in the previous quarter; the number of transactions at a record low

In the 2^nd quarter of 2017 the prices of newly built dwellings (new flats and family houses together) increased on average by 9.4% over the previous quarter.

In the past two years the prices of newly built flats were changing rapidly. In contrast to the previous quarter, when they decreased by 4.6%, in this quarter they went up by 11.3%. However, the number of transactions was extremely low, only 77, which is the fewest in the ten years of conducting the survey. The prices increased even though 10% of flats were sold from bankruptcy proceedings and even though newly built flats were on average rather old (5.3 years). The increase was largely the result of the sale of flats in Ljubljana at very high prices. Twenty flats were sold in Ljubljana; in the entire Osrednjeslovenska statistical region only 36. As regards the number of transactions, the Obalno-kraška statistical region was next with 17.

The prices of newly built family houses were the same as in the previous quarter. The number of transactions was still very low (33).

Prices of existing dwellings on average 3.4% higher; the number of transactions still high

At the level of Slovenia, in the 2^nd quarter of 2017 the prices of existing dwellings (existing flats and family houses together) increased on average by 3.4% over the previous quarter. The prices of existing flats went up by 3.0% and of existing family houses by 4.2%. The number of transactions was still very high.

In the 2^nd quarter of 2017 the prices of existing flats increased the most in Ljubljana, by 3.7% over the previous quarter. This was the sixth consecutive price increase in the nation’s capital. Compared to the average prices in 2015, the prices of existing flats in Ljubljana were 17.7% higher. The number of transactions (543) was at the record high in the past ten years.

The prices of existing flats outside Ljubljana increased by 2.6% over the previous quarter. This was the sixth consecutive price increase. The number of existing flats sold outside Ljubljana (1,476) was again the highest in the past ten years.

In the 2^nd quarter of 2017 trading with existing family houses was at the record high since we started to statistically monitor this type of real estate. This time 738 existing family houses were sold and their average price was 4.2% higher than in the previous quarter. This was the third consecutive quarter of price increase, so that the average prices in 2015 were exceeded by 10.1%.

In the 2^nd quarter of 2017 the total value of dwellings sold in Slovenia taken into account in calculating price indices was EUR 285 million. This was the highest quartrly value since 2010.

On the SI-STAT data portal on SURS’s website we started to publish quarterly price indices of owner-occupied housing. They are composed of expenditure for acquiring real estate, i.e. purchase, own account construction and renovation of flats/family houses, and expenditure related to living in owner-occupied housing, i.e. major repair and maintenance, insurance and other costs related to real estate ownership.