The NBU has characterized the Ukrainian real estate market’s main trends and warn of a possible shortage of new housing.

Prices for residential real estate are rising in Ukraine, although demand for it is still low, the National Bank reported. The number of completed deals is much smaller than before the full-scale war. However, in the first quarter of 2024 notaries certified 33% more housing purchase agreements than in the first quarter of 2023.

The demand driver remains the desire to purchase ready-made housing for personal needs, mainly through the secondary market. As such, developers are in no hurry to start new projects, and in the long term, the current pause in housing construction could lead to insufficient new housing supply.

The National Bank indicates that housing prices in the secondary market are increasing in line with the exchange rate, while growth is also being recorded in the primary market. Since the beginning of the year, housing prices have risen most noticeably in Uzhhorod, by 15%, and in the Lviv region by 14%, while in Kyiv prices have risen by 2%.