Average price of one square meter in the capital at the end of the first half of 2021 reached 1102 euros / square meter, according to the index of "Keydata Albania".

Compared to 2005, the earliest year when the calculation started, this index has increased by about 70%. The increase has continued in the first 6 months of 2021, where the other trader, that of the average real selling prices of apartments in Tirana (calculated in proportion to the number of apartments for sale in a given period) increased by 4.22%, compared to the end of 2020.

According to the index, the real selling prices of apartments increased rapidly until 2009, rising by about 50%, compared to the first year under consideration. Subsequently, the market matured and prices marked a downward trend until 2015 and remained stable until 2017. After this period, another wave of price growth started, which culminated in 2019, with an increase of about 20% in a year. In the first half of 2020, when the country was closing due to the pandemic, there was a slight decline only in the second quarter, but it lasted at all and then prices marked a slight upward trend.

According to the report, which accompanies the publication of the index, Graph 1 shows the time evolution curve of the real sale price index of apartments in Tirana for the period 2005-2021 * with annual frequency for the period 2005-2019 and quarterly frequency for 2020 and 2021. The value of the index for 2005 is set at 100.

In the first and second quarter of 2021, average and median prices are estimated at 1,095 euro / m2 and 991 euro / m2 and 1,102 euro / m2 and 1,016 euro / m2, respectively. Compared to the fourth quarter of 2020, in the first half of the year, the average real selling prices of apartments in Tirana increased by 4.22%, while the median prices increased by 1.95%.

Average prices, in contrast to the price index, are calculated in proportion to the number of apartments that are for sale in a given period. Thus, an increase or decrease in average prices should not necessarily be interpreted as a phenomenon that may have occurred in the real estate market. It can be interpreted by the fact that at some point, the supply of apartments has increased or decreased.

In the first quarter 2021, the quarterly frequency index of apartment sales in Tirana is estimated at 170.29, while in the second quarter the index is estimated at 171.45 which compared to the first quarter 2021 has increased by 0.69%. The first half of 2021 compared to the fourth quarter of 2020 has marked an increase of 0.75%. An increase in this value is related to the current situation of the pandemic in which the country is going, which shows some recovery, albeit slow, of the real estate market and in particular of the sale of apartments in Tirana.