Housing market in Omsk projected for swift expansion in new constructions

A new study by Strategy Partners suggests that Russia's multi-family housing market is experiencing a significant shift in preference, with regional markets gaining momentum over Moscow and St. Petersburg.

Since 2020, the share of the Moscow and St. Petersburg markets in the total volume of multi-family housing construction has decreased. This trend is being replaced by a growing preference for regional markets, which have shown a steady increase in the construction of multi-family housing.

The study predicts that this trend could continue, with regional markets demonstrating faster growth than the capital markets by 2032 under an optimistic scenario. In fact, some regional markets are predicted to grow more than doubling by this date. Omsk, Nizhny Novgorod, Vladimir, Kazan, Murmansk, Yaroslavl, Volgograd, Krasnoyarsk, Samara, and Tolyatti are identified as cities with high potential for growth in the Russian multi-family housing market.

The growth of these regional markets can be attributed to several factors. The growth of purchasing power due to increasing wages and the greater affordability of family mortgages are key contributors. Additionally, the lack of quality housing supply in these regions is another factor driving the faster development of the multi-family housing market.

Federal developers are also strengthening their presence in the regions in response to this situation. The study predicts that the Russian primary multi-family housing market will grow by 1.7 times by 2032, with capital markets growing by 1.7 times and regional markets showing faster growth of more than 2.1 times under an optimistic scenario.

It's important to note that the company that conducted the study on the growth rate of the Russian residential real estate market for multi-family houses was not explicitly mentioned in the provided search results. However, the study by Strategy Partners indicates a clear shift in preference from Moscow and St. Petersburg to regional markets in the construction of multi-family housing.

In conclusion, the Russian multi-family housing market is undergoing a significant transformation, with regional markets gaining prominence over the capital markets. This trend is expected to continue, with potential for rapid growth in certain regions.