Is there a housing bubble in Kazakhstan?
There is one aspect of the housing market in Kazakhstan, however, that could cause general concern--that is the incredible boom in housing construction, especially in Almaty and Astana. The question is whether the demand can meet the new supply. In Almaty, the answer is probably yes, given the already developed center of the city and the lack of open land for new development. In Astana, however, the jury is still out. While the demand for apartments in Almaty is still higher than in Astana, Almaty reportedly only has eight major new apartment building projects on going at the moment (more will need to await the mass removal of old construction). In Astana, however, there are now 139 major new apartment building projects being undertaken!!! Even with the city as the capital of the country, can we assume that the tough winters and mosquito-ridden summers can muster that demand?