The Demand for Residential Real Estate Keeps Rapidly Growing in Slovenia – Data Provided by the Geodesy Department

The year 2017 became a record year for the real estate market in Slovenia. About 36 thousand purchase and sale contracts were concluded for a total of 2.3 billion euros. This is evidenced through the report for 2017 published by the Geodesy Department.

According to experts of the Geodesy Department, the improving socio-economic conditions, household loan growth and low interest rates define the high demand for residential real estate. The cost of contracts for the sale of apartments amounted to 975 million euros (42.3% of total turnover), houses – 563 million euros (24.4%), and land plots for construction – 234 million euros (10.1%).

The greatest increase in turnover in 2015–2017 accounted for land plots used for construction purposes (about 36%) and for residential houses (33%). This indicates a significant demand of buyers for private houses and development plots, which are mostly located outside the city.

In 2015–2017, the volume of apartment sales depending on the municipality increased by 6–40%. The most noticeable growth was recorded in Novo Mesto, Krško, and Brežice, while the lowest indicators are recorded in the Obalno Kraška region and Murska Sobota.

In 2015–2017, prices for apartments increased most in Ljubljana (+18%), Koper (+17%) and in the suburbs of Ljubljana (+12%). Last year, the average prices for apartments in Ljubljana were about 2,400 euros per 1 m², in the Obalno Kraška region (without Koper) – about 2,300 euros per 1 m², in Koper – 2,100 euros per 1 m². The lowest average price values were recorded in Murska Sobota, Krško and Brežice – about 950 euros per 1 m².

Sales of houses increased most significantly in the suburbs of Ljubljana (by 35%) and in Maribor (by 18%). The price for private houses increased most in Ljubljana (+19%), in the Obalno Kraška region (without Koper, +15%) and in the suburbs of Ljubljana (+9%). The average cost of houses last year was from 70–90 thousand euros (in Murska Sobota, Krško and Brežice) to 300 thousand euros (in the Obalno Kraška region without Koper). In 2017, the average cost of houses in Ljubljana was 250 thousand euros.

The turnover of commercial real estate (offices and tourist industry buildings) grew by about 7% for the reported period. Over the past three years, the cost of office space in Ljubljana has grown by 25%, while in other municipalities, prices have remained at the same level.

The most impressive indicator for the 2015–2017 period is recorded in the turnover of land plots for construction purposes in Ljubljana and the suburbs, which made more than 70%.

The most expensive land plots in Ljubljana are sold for 230 euros per 1 m², in the Obalno Kraška region (without Koper) and in Kranj – about 110 euros per 1 m², and in Maribor – about 80 euros per 1 m². In other municipalities, land plot prices fluctuate within the average statistical values (50–60 euros per 1 m²), except for Slovenj Gradec, Postojna, Krško and Brežice, where average prices are below 30 euros per 1 m².

Turnover of agricultural land plots increased by 24%. Significant changes in prices for this type of land plots have not been recorded in the past three years.