Shio Khetsuriani, general director of Archi declares that an additional price increase for the real estate is no longer expected, as the price rise for construction materials, as well as the wages of the employees, have stopped.
The head of the company also notes that the profit margin is within "reasonable" limits unlike the year 2008, which guarantees stability in the market.
"As for the price growth, we are significantly dependent on the increase in the expenditures of construction material or labor force. There have been no changes in this direction for the last few months, and if this continues, there is no plan to increase the price. If it has increased and if the market has given us the precondition for it, then we will increase the selling price accordingly.
We think that the profit margin is reasonable and not conventionally like in 2008 when it was very high. Today, price growth is not a reality, nor the supply is increased enough to threaten the market. From the permits issued, it can be seen that there is no radical increase, and given that supply and margins are reasonable, we can assume that the market is not at any risk of being "closed". This gives us a prerequisite for stability, which we imagine the real estate market will have in the future," Khetsuriani said.
