Slovenia has called off the COVID-19 epidemic and became the first EU country to do so. The epidemic in the country has lasted less than two months and now we have started assessing its effects on the economy. Entrepreneurs who start their business in Europe by registering a company in Slovenia often decide to buy property for its business conduct. How did the epidemic and its end affect the real estate prices in Slovenia? What can we expect in the future?
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Price of property in Slovenia – how did the epidemic affect the property purchase prices?
In the assessment of Slovenian realtors, there is a prediction that the COVID-19 pandemic will affect property prices and that they will decrease. At this point, the prices are not yet decreasing, mostly due to construction in Slovenia. Construction was the only business activity which did not pause in the time of epidemic so many new buildings were constructed. Especially when buying luxury property, the realtors did not experience a decrease in prices. Currently the viewings have already resumed if the participants abide by the health guidelines. Before that, the realtors were able to do viewing through video calls. As far as the prices go, the decrease currently only affected real estate in Ljubljana. But it is a minor decrease at this point. Due to many new buildings there is a lot of choice of quality real estate waiting for purchase, especially as an investment.
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What about prices of rent in Slovenia?
Since purchasing property is still retaining its pre-pandemic prices, the realtors in Slovenia have experience the decrease of rent prices in Slovenia. Currently, the property owners have decrease rent prices by 10 to 20%. This is mainly due to decrease of short-term rent. It is a business scope most affected by the government measures as short-term accommodation was not possible during the epidemic. Now, property owners are awaiting the return of tourists but many still decided to offer their accommodation for long term instead of short term. This enabled the decrease in rent prices. It will probably change again once tourism will resume in full swing.
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