Country LK Real Estate Analytics

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

Price to Income

36.0x

Ratio of property prices to annual income

Rental Yield

3.6%

Average annual rental return

Price to Rent

27.4

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 LK Real Estate trends and investment implications

Market Overview

Country LK's property market exhibits signs of being overheated with a high price-to-income ratio and modest rental yields. Despite historical price growth, current metrics suggest potential for market correction. Investors should carefully assess timing and rental yield opportunities against interest rates before making commitments.

Key Findings

Data-driven insights

•The price-to-income ratio is 36, indicating a significant affordability challenge for local buyers.
•Rental yields stand at 3.6%, which may not be attractive compared to prevailing interest rates.
•The price-to-rent ratio is 27.4, suggesting that renting may be more economically viable than buying.
•Historically, property prices have appreciated significantly, but current metrics point to a possible market peak.

Market Trends

Historical patterns

•The price-to-income ratio has consistently increased over the last two decades, indicating reduced affordability.
•Rental yields have remained stable but low over the past decade, reflecting high property prices relative to rents.
•Property prices have shown strong historical growth, but recent stagnation suggests potential for a correction.

For Investors

Actionable takeaways

•Consider waiting for a potential price correction before purchasing, as current prices are elevated.
•Focus on properties with rental yields that exceed local interest rates to ensure positive cash flow.
•Evaluate buy-to-let opportunities cautiously, as the high price-to-rent ratio favors renting over buying.
•Monitor economic indicators closely for signs of a market correction before making significant investments.

Market Context

Country LK's property market is mature, characterized by high property prices and limited affordability. While it has experienced considerable growth, current indicators suggest it may be nearing a peak, with potential for future corrections.

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