An apartment can be purchased in this Lithuanian city for only 6 thousand. euro: as soon as a better home is available, it is bought immediately
Apartment prices – from six to tens of thousands of euros
Ad portal alio.lt one of the cheapest apartments for sale in Utena costs 6.2 thousand. euros. True, it is quite small – only 17.56 square meters. road, in addition, it is a dormitory-type apartment. The photos show that it needs to be updated, furniture purchased.
When you sort your ads by most popular, the prices are much higher. For example, one of the most popular apartments for sale costs 32 thousand. euros. Two-room apartment occupies 43 sq. M. meters, sold with all furniture. The ad states that the apartment is of old construction, but the advantage is that it is in the city center.
One of the most expensive apartments in Utena costs 86.5 thousand. euros. It is really spacious – occupies 70 sq. M. watch, fully equipped 3 rooms. The ad says that the apartment is new construction, but the years are not named.
Homes can also be found very expensive
Among the houses for sale in Utena, one of the cheapest prices is 12.3 thousand. euros. The house itself is very small, occupies only 20 square meters. meters, plot area – 5.6 acres. The ad states that this is a summer house with one room and a storage room for tools. However, there is a facility for sewerage, water supply, electricity. The advantage of this object is that just a kilometer away – a lake.
The prices of the most popular objects are such skirts that it would be difficult to derive the average. Here – houses that will cost between 14 and even 160 thousand. euros.
One of the most popular offers is 87 sqm. road residential house for sale for 60 thousand. euros. On the first floor there is a kitchen, three rooms and a toilet, on the second floor there are also three rooms. There is a large basement and a sauna under the house.
Among the most expensive offers is 211 sq. M. number smart home for 289 thousand. euros. The house also owns a 12 acre plot.
The advertisement states that on the first floor of the house there is a communication space connected to the kitchen and dining room, there is an additional room, toilet and corridor. The ground floor is surrounded by a spacious terrace. On the second floor there are 4 separate bedrooms, next to them there are bathroom and sauna areas, a cozy terrace with a glass partition.
There are almost no new apartments here in the city
Valentinas Karvelis, “In Reality” Real estate broker, states that, assessing 2019, there has been no activity in the Utena real estate market since the beginning of the year – the market pulse has remained at a similar pace.
According to him, here in the city the prices of old construction apartments range from 600 to 800 euros per sq. Km. m, completely from the year of construction, location, installation, floor. In very rare cases, the price of an apartment can rise to 850 euros per sq. Km. m.
“There are almost no new apartments in Utena, then it is not necessary to summarize them. When it comes to detached houses, the biggest supply is old buildings. They are often poorly planned and the areas large. The cost of such a square meter – about 400 euros.
The cost per square meter of new individual houses is about 800 euros. Older houses can be sold for a similar price, but in this case they should be completely renovated, modernized their heating system, redesigned interior. If the houses are in a good location, small area (about 90 sq. M), their price can rise up to 900 euros per sq. Km. m ”, – V. Karvelis names the prices.
According to the broker, apartment rental prices in Utena range from 120 to 300 euros per month. The monthly rent of a 1-room non-renovated apartment can cost 120-130 euros. The rent of a well-arranged 2-3 room apartment will cost up to 300 euros per month. The interviewee notes that there is practically no house rental in Utena – only isolated cases.
The most active – the apartment market
V. Karvelis claims that currently the most active action in Utena is taking place in the apartment market, here – an intensive change of supply. As soon as an object appears, it is bought immediately, reappears – bought again.
“The most demanded are 1-3 room apartments. The most difficult thing to “catch” is to sell a 1-room apartment, because there are fewer of them in old residential buildings. The need for 4-room apartments is not so great. There is a considerable supply of old construction of individual houses, but demand is low, even if the price is good. This is probably the only real estate segment in Utena, where the supply is increasing and the demand is decreasing, ”the broker explains.
He assures that new apartment projects in Utena are not currently being developed. “There are builders who work on the principles of individual activity, they” confuse “, build one or two individual residential houses and sell them. However, I would not call it “new projects”, says V. Karvelis.
How much does a person need to earn to buy a home?
According to the broker’s calculation, in order to buy a home in Utena, one person should earn at least 650 euros “in hand”. Earning both, you can buy a 2-room apartment in the old name, taking out a loan for twenty years.
In the case of a family with a small child, according to V. Karvelis, both adult family members should earn at least 600 euros each “on hand” in order to be able to buy this type of housing with a loan for the same period.
Last year, a support program came into force in Lithuania, which should help young families to buy housing in the region. However, according to V. Karvelis, this program is taken in a city with minimal possibilities, because most of the city does not pass the filter of the program methodology, like other large and resort cities of the country.
“It is true that there were young families in Utena district who took advantage of the support and bought housing near the city limits. I have no doubt that if Utena had had the opportunity to purchase housing under this program, we would have seen a much more active housing market, ”says V. Karvelis.
Before investing, you need to evaluate the possibilities well
The broker says that the most promising real estate investment in Utena is commercial premises in the city center. For the residential segment, all opportunities and risks need to be weighed before investing.
“On the one hand, apartment rental prices in Utena are quite high, although the property itself is relatively inexpensive, especially when compared to the capital or Kaunas. Investing in an apartment for rent could earn you money if you manage to rent it out for a long period of time. However, long-term rent of more expensive housing in Utena is a rare case, and renting for short periods, after several months, involves additional costs or downtime.
I would be skeptical about investing in housing for rent in Utena due to the stagnation of the city’s industry. Residential Real estate development, the potential to invest comes after commercial and industrial development, which has not been the case in Utena for several years. Having a FEZ (free economic zone – DELFI) or a business park may want to attract investment. This would increase the attractiveness of the city for all opportunities, as well as real estate, ”says V. Karvelis.
Residents actively use support programs
Utena district municipality DELFI states that the situation regarding the future acquisition is quite complicated here, banks are very difficult to provide loans for housing construction.
“It is effective and useful from 2019. The Family Strengthening Program in the district provides municipal support (up to EUR 7,000) for young families purchasing or building their first home. It is worth mentioning that this is an additional incentive to the state-approved subsidies for the purchase of first housing in the regions, then young families can expect up to 20 thousand. financial assistance for the acquisition or construction of housing in Utena district. In order to encourage young families to actively use the support provided by Utena District Municipality, the easiest conditions for compliance with the Family Strengthening Program are promised in the near future, ”it is written in the comment sent by Utena District Municipality.
The municipality also provides compensation to those families who rent a home. One person can currently receive 30 euros in compensation, and in Utena district – 40 euros in housing rent.
A young family wishing to receive compensation must declare their place of residence in the municipality and live there for at least 3 months. For the same period, the family pretending to support the purchase of the first home must be declared, only in this case it is necessary to declare not the whole person, but the whole family. The municipality checks that “older” families, one of the members who has reached the age of 40, can also receive compensation.
If the family does not raise children, they can receive up to 5 percent. funds the municipality will partially reimburse the housing loan for the purchase of the first home or purchased without the loan amount.
Families raising one, two, three children or a child with permanent custody will receive so much more – 8, 10 or 15 percent. municipal partially reimbursed housing loan for the purchase of the first home or purchased without the loan amount.
According to Danutė Šimonėlienė, Head of the Property Management Division of the Utena District Municipality Administration, there is no shortage of interested young families interested in the procedure of granting financial assistance and consultation: over 200 families have already applied to the department. Young people are interested in rent compensation – more than 50 families have already applied for the procedure.
The municipality in Utena intends to renovate blocks of flats, which will be maintained with internal roads, separate paths, parking lots – they need to be further expanded and new ones installed.
It is planned to renovate and expand the recreational and recreation areas and green areas of the quarter to meet their condition and meet the needs of the population, facilities less than 5.5 m privacy, to provide apartment buildings to facilitate the privatization of special purpose vehicles, modernize the streets and parking electric lighting networks, encourage complexes to renovate apartment buildings.
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