The luxury property market, though having experienced a slowdown in the level of transactions in 2009-2010, is reacting very differently to the crisis, if compared with the general residential market. The past two years in many ways were the opposite, 2009 being full of uncertainty, cautious behaviour and modest spending, whereas in 2010 the perceived stability in business and economic environment in Lithuania has brought the luxury property market up on feet, with buyers more willing to buy and sellers more willing to sell. The level of transactions is thus expected to improve in 2011, whereas the price level will most likely fluctuate around the same level.
Nevertheless, we should see more of rent transactions in the luxury property market as well. Typical owners perceive luxury properties more as an investment, thus an option to “check-out” the property before buying something in a similar location is attractive.