Is it worth the risk when starting construction in 2022: expert opinion
Today the rate of growth of the cost of housing is outstripping the rate of inflation. According to Sergey Kaistryukov, Director for Economics of RBI Group, in 2021 the cost of construction of all types of real estate increased by 18-20%. At the same time, the inflation rate for the current year is only 8%. On average, the cost of construction rises in price by 5-6% per year. According to the specialist's forecasts, in 2022 this growth will increase and amount to 8-10%.
Why did large developers not influence the decrease in prices in low-rise construction?
People planning to move from apartments to private houses were hoping for big developers, who, in their opinion, were supposed to occupy the niche of individual housing construction, develop it at an accelerated pace, and, thanks to mass development, reduce prices for private Houses. But this did not happen: large companies look at the IZhS market with apprehension.
General Director of RASK Nikolay Alekseenko explained that large players in the real estate market prefer fast, liquid and profitable projects, which are not the construction of cottage settlements, in particular, and low-rise construction in the whole. For developers, this is difficult and expensive, since engineering and road networks cost a lot of money, and the margin from low-rise construction is scanty. So those who wish to join the suburban life should rely only on their own strength.
But here, too, everything is far from simple. Economists and analysts at large companies believe that prices for building materials, as they were in 2020, have remained in history forever. Now there is a trend towards a stable rise in price, and this will continue until the complete victory over COVID-19. At the same time, a shortage of some building materials is also possible, which will also negatively affect prices. In general, analysts' forecasts for 2022 do not give cause for joy.
What do the experts advise?
But even with such disappointing forecasts, construction industry experts do not recommend people to wait for better times. According to them, the relatively easy times of the construction industry are long gone. The upward trend in prices for building materials and construction services will continue. This means that the longer you postpone the construction, the more it will cost! Times will be difficult, but the time factor here does not play into the hands of a private developer, since prices are growing, and incomes of the population are not increasing.
Expert advice: if you are going to build in 2022, buy materials in the winter and budget for + 20% of its cost. In this way, unpleasant surprises can be avoided if, for some reason, prices increase further.