Interest wanes on real estate

TALLINN - According to a study commissioned by the Estonian Real Estate Companies’ Union (RECU), an increasing number of people look at buying real estate as an unfavorable activity, due to the low purchasing power of Estonians, reports Postimees Online.

According to the study, the share of people who plan to buy real estate in the next 2-3 years has fallen to 8 percent (in March, the share was 11 percent). Twenty-eight percent of the polled consider buying real estate a favorable activity. In June the share was 29 percent and in March 3 percent; in December last year it was 37 percent.

RECU CEO Tonis Ruutel said that opinions differ depending on incomes. “Just 18 percent of representatives of the first quartile considered the real estate market favorable, while in the 4th, or wealthier, quartile 42 percent of people estimated that the market was favorable,” he said, adding that the big gap shows how inaccessible real estate is for the majority of people.