Belgian housing boom is over

21st September 2006, Comments 0 comments

21 September 2006, BRUSSELS — The boom in the Belgian housing market has past its peak, a new report from real estate firm ERA indicated on Thursday.

21 September 2006

BRUSSELS — The boom in the Belgian housing market has past its peak, a new report from real estate firm ERA indicated on Thursday.

There are still higher prices for houses being recorded — which is keeping the average sale price high — but the number of transactions has declined by 16.5 percent in the past year.

Apartments are especially less popular for potential buyers, news agency Belga reported. ERA said the total number of transactions will decline again this year.

"Due to the very favourable mortgage conditions, buyers bought larger houses or in more expensive locations and there were fewer small and really cheap houses sold," ERA Belgium director Iain Cook said.

Consequently, the average transaction price was still a lot higher, but that does not mean that a row house with three bedrooms has also increased so much in price.
 
Unfortunately, sellers have not realised this, Cook said. It means that more and more houses are being put up for sale at an exaggerated price and are therefore difficult to sell.

[Copyright Expatica News 2006]

Subject: Belgian news

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