Country LB Real Estate Analytics

Property market metrics including price-to-income ratio, rental yields, and price trends

Price to Income

27.4x

Ratio of property prices to annual income

Rental Yield

4.8%

Average annual rental return

Price to Rent

20.8

Ratio of property prices to annual rent

Price to Income Ratio

Ratio of median house price to median annual household income

Rental Yield

Annual rental income as percentage of property value

Price to Rent Ratio

Ratio of property price to annual rental income

Apartment Rent (City Centre)

Monthly rent for 1-bedroom apartment in city centre

Apartment Price (City Centre)

Price per square meter to buy apartment in city centre

Apartment Price (Outside Centre)

Price per square meter to buy apartment outside city centre

1BR Rent (Outside Centre)

Monthly rent for 1-bedroom apartment outside city centre

3BR Rent (City Centre)

Monthly rent for 3-bedroom apartment in city centre

3BR Rent (Outside Centre)

Monthly rent for 3-bedroom apartment outside city centre

Mortgage Interest Rate (20Y)

Average mortgage interest rate for 20-year fixed loan

Additional Insights

Expert analysis of Country LB Real Estate trends and investment implications

Market Overview

Country LB's property market shows signs of moderate affordability improvement with a price-to-income ratio decrease, yet rental yields have declined slightly. The price-to-rent ratio suggests a tilt towards renting over buying, indicating a cautious approach for new acquisitions. The market appears to be in a mature cycle, requiring strategic investment decisions.

Key Findings

Data-driven insights

•The price-to-income ratio is 27.4, a 19.4% decrease since 2011, indicating improved affordability.
•Rental yields stand at 4.8%, down by 4.0% since 2011, which may not outpace interest rates.
•The price-to-rent ratio has risen by 4.0% to 20.8, suggesting renting is more economically rational than buying.
•Property prices have experienced a steady increase, but momentum may be slowing as indicated by yield compression.

Market Trends

Historical patterns

•The price-to-income ratio has decreased consistently over 13 years, enhancing theoretical affordability.
•Rental yields have seen a slight decline, reflecting possible market saturation or increased property costs.
•The price-to-rent ratio suggests a long-term trend favoring renting over homeownership.

For Investors

Actionable takeaways

•Consider waiting for further market corrections before making large-scale purchases due to high price-to-rent ratios.
•Target rental yields of at least 5% to remain competitive against alternative investments.
•Monitor the interest rate environment closely; rising rates could further compress yields.
•Focus on properties in high-demand rental areas to mitigate risks associated with potential market corrections.

Market Context

Country LB's property market has matured significantly over the past decade, with signs of cooling as affordability and yield metrics signal caution. The market's development indicates a shift towards more stable, long-term investments rather than speculative opportunities.

💡 Insights based on historical data. Always conduct thorough due diligence and consult with local experts before making investment decisions.