TIRANA, Sept 24 /ATA/ – Property prices in Albania saw a significant rise, particularly along the country’s coastal areas, in the second half of this year, Bank of Albania said on Wednesday.
The Bank of Albania’s latest Financial Stability Report reveals that the Fischer House Price Index for the country rose by 14.6% on a semi-annual basis and 41.7% compared to the previous year.
The most notable price increase was observed in Tirana, with the index having surged by 5.1% in the second half of 2024 and 32.6% compared to the same period last year.
Due to high prices, the time it takes to sell a property has increased by at least 12 months compared to previous years. The report also highlights a rise in construction costs during the first half of the year, although at a much slower pace than property prices.
Rental prices have also increased, with agents reporting higher demand compared to the previous six months. According to the real estate agencies, overall demand for rental properties is stronger than in the previous half-year.
Bank loans remain significant driver of property sales. Agents report that, similar to previous periods, 58% of residential and commercial properties sold were financed through bank loans. In 62% of these cases, the loan covered up to 60% of the property’s value.
Foreign buyers accounted for fewer property purchases in the first half of 2025. About 15% of properties sold were bought by non-residents, down from 18% in the previous six months.
/e.xh//r.e/a.f/u.sh/
