Central Bank notes sharp rise in real estate deals ahead of escrow system launch

The sharp surge in transactions in March was due to market participants preparing for the introduction of a new escrow system for real estate transactions, which was set to come into force on April 1, 2026. Market players hastily finalized contracts before the new regulations took effect. Mortgage programs and rising household incomes also supported the growth in demand. In the first quarter of 2026, the volume of issued mortgage loans reached 5.7 trillion soums, which is 29% more than the previous year. Furthermore, real household incomes increased by 7.8%, positively affecting housing consumption.

Construction and Pricing

Activity was also observed in the construction sector and offerings. The total area of housing commissioned in the first quarter amounted to 3.3 million square meters, which is 6.6% higher than in the corresponding period last year. The individual housing segment contributed the most to the growth in housing construction, and the share of capital investments directed to the construction sector also increased. Concurrently, against the backdrop of overall activity, the cost of housing accelerated its growth. In March, prices in the primary market rose by 1.8% in soums and by 8.1% in dollars. In the secondary market, the growth was 3% in soums and 9.4% in dollar equivalent.