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Construction is the sector that has become the locomotive of the Albanian economy. During the last two years it has the largest contribution to the production of the country, while the number of new permits has reached record levels.
But the energy crisis and the war in Russia could slow the pace. The Institute of Statistics states that the costs of builders have increased by an average of 5% for the construction of a dwelling in the first quarter, where energy expenditures and material expenditures dominate.
Meanwhile, builders without yet digging the pit are facing added costs
“It starts with the owner of the land who has greatly increased the demand in the percentages they want to receive from investors. In my opinion, this is a mistake of development policies, because it is being built without criteria and the market is not prejudiced. “
Experts say that the inflation of prices per square meter makes the sector attractive, as costs are quite high
“Starting from the first moment that is negotiated to build a new entity, the share of landowners reaches up to 30-45%.”
The second influencing factor is the cost of tariffs, which occupies an average at the level of 10%. Even the most significant costs begin, raw material, construction, depending on the conditions this varies 30-40%.
For the builder it remains on average 10-15%. Where does the benefit lie? Comes to the opportunity to play the selling price. We have heard cases that in Tirana another 2 thousand euros, 1 thousand and 500 euros are sold. “
Housing prices have increased rapidly in recent years in our country, mainly in Tirana and the coast. According to the Bank of Albania, the price of housing marked an annual increase of 9% in the second half of 2021, while the growth did not stop even during the pandemic.
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