Oragir.News · 12 minutes

“If we look at the information on the real estate market in general over the past two years, the data is contradictory. According to the indicators published by the cadastre, from mid-2025 to 2026 we had a price freeze in the real estate market, but the latest indicators show that rental prices have increased significantly, and the real estate and construction market has become more active. The impetus mainly came from the Russian Federation, as was the case in 2022. In 2026, the growth began not at the opening of the season, that is, at the beginning of summer, but in August, mainly due to the news that mobilization will be announced again after the State Duma elections in Russia, which has not yet been announced. If we compare it with three months ago, a significant share of rental flats have raised their price: 41% in the center, 48% in Arabkir, and 71% in the Erebuni community. The further we move away from the center, the larger the share that raised the price, while the rise itself is about a fifth, around 20%, in almost every community. This is mainly because cheap houses sold out at once. Not all owners raised prices: 50% raised them, 50% left them the same, but the market immediately took their houses, and mainly high-priced apartments remained on the market.”

“This season, that is, in the third quarter, approximately 400,000 people came from the Russian Federation, and if we look at it on a daily basis, then this number currently reaches almost 100,000 people, which is at the same level as the peak season in 2023. In other words, we currently have to serve an additional 100,000 people per day, and these people will have to find additional housing. There are problems in agriculture, and agriculture is in decline, but the center of Yerevan provides growth, which means significant growth for the republic as a whole. The chain is as follows: due to changes in the world, a large number of people come to the Republic of Armenia as tourists, and capital comes from abroad. This enters the banking system, the banking system provides growth, which is one of the 20 branches of GDP, and the flow of people and capital also leads to an increase in real estate prices and construction. This brings economic growth, but for an ordinary citizen, everything becomes more expensive. We can expect that this will also be a temporary phenomenon, as it was in 2022. The state here cannot limit the price from above, but should rather understand who really needs it at the moment, ensure that corruption does not arise, and perhaps create some temporary support for these people.”

Topic Analysis: The Temporary Tourist: The Record Season and Its Impact on Yerevan’s Rental Market