BAKU, Azerbaijan, July 13. Uzbekistan's
residential real estate market expanded sharply in the first
quarter of 2026, with housing transactions rising nearly 50% year
on year, supported by stronger mortgage lending, rising household
incomes, and buyers rushing to complete deals ahead of new escrow
rules.
This was reflected in the Central Bank of Uzbekistan's latest
review of the housing market.
According to the review, a total of 110,100 residential property
transactions were completed between January and March 2026, up
48.4% compared to the same period of last year.
''The strongest growth in housing sales was recorded in the
Syrdarya region, where transactions surged 67% year on year.
Tashkent followed with a 64-percent increase, while the Andijan and
Navoi regions posted gains of 56% and 52%, respectively,'' the
review says.
"The increase in the number of transactions reflects continued
growth in economic activity and urbanization in the regions," the
statement said.
The market also received a temporary boost ahead of the
introduction of a new escrow account system for real estate
purchases, which took effect on April 1. Many buyers and sellers
accelerated transactions before the new regulations entered into
force, contributing to a sharp increase in sales during March.
Mortgage lending also continued to support housing demand.
Commercial banks issued 5.7 trillion soums (about $473 million)
in residential mortgage loans during the first quarter, an increase
of 29 percent compared with the same period in 2025.
At the same time, real household incomes increased 7.8% year on
year, further supporting demand for housing.
The stronger market activity was accompanied by rising property
prices.
In March, prices in the primary housing market increased 1.8%
month on month in local currency terms and 8.1% in U.S. dollar
terms.
Prices in the secondary housing market rose 3% in soum terms and
9.4% in dollar terms over the same period.
According to the Central Bank, Uzbekistan's housing market
continues to demonstrate resilience, supported by robust demand,
active residential construction, and expanding mortgage
financing.
According to Trend's analysis, Uzbekistan's residential real estate
market gained significant momentum in the first quarter of 2026 as
housing transactions climbed 48.4% year on year to 110,100,
substantially outpacing the 29% increase in mortgage lending. The
surge was driven by a combination of stronger household incomes,
continued urbanization, and a rush to finalize purchases before the
introduction of mandatory escrow accounts on April 1. At the same
time, rising prices in both the primary and secondary markets
indicate that demand continues to exceed supply, suggesting the
sector remains one of the country's strongest-performing segments
despite tighter regulatory requirements.
