The global financial crisis, which we all came across, had great influence and affect on the global real estate market all around the world. The financial crisis had an impact on the economic crisis. The deterioration of economic activity, which ensures prosperity at the global level and the life quality of the population, leaves consequences in the economy. The result of lesser economy activity can be deterioration of economic growth, increasing of unemployment, wage reduction and others. The world felt the first effect of the crisis with tightening the loan conditions and rising interest rates. At that time, there was panic, so the banks became cautious and began to restrict interbank lending.
The purpose of the diploma work was to examine the basic characteristics of the real estate market or the most active part of the market - residential real estate market and how the global financial and economic crisis was reflected in the housing market in the Republic of Slovenia. I focused on specific regions of Slovenia and with the help of the statistical data through analysis I tried to clarify the status of affordability of second-hand housing real estate after the beginning of the global crisis from 2007 to 2015.
The main objective was based on the acquired data, to determine the difference between average prices of residential real estate at the regional level in Slovenia. The focus was to determine if the prices fell down or went up after 2007 and how did this affect the supply and affordability of residential real estate by an individual region. I came to the conclusion that the world crisis had high influence on the real estate market. After the crisis started, both prices and the demand for housing after the onset of the crisis fell across the whole of Slovenia, while affordability increased.
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