Realtor: Tallinn's Residential Property Boom Expected to Continue
The rise in apartment prices that Tallinn saw in 2013 is expected to continue, or even escalate, this year as lack of construction has seen supply decline, says an expert.
Peep Sooman, board member of Pindi Kinnisvara, told Postimees today that in 2013, sales prices increased 20 percent - even up to 30 percent in the suburbs.
“The fact that the number of apartments on sale in Tallinn has halved in the past three years while the number of transactions has nearly doubled clearly points to a deficit,” Sooman said, adding that the prices are still far off the "bubble" levels of 2006 and 2007.
Last year, construction companies focused mainly on large, state projects, as EU funding for the previous budget period was coming to an end and new funding is expected only in 2015.