CNI News
7 Mar 2023
As investment in houses, apartments, condominiums and residential complexes is likely to increase in Myanmar and property prices are likely to rise, developers are trying to attract buyers by organizing property fairs, according to the real estate market.
As local gold prices and US dollar exchange rates have increased by two to three folds at present and investment potentials in the real estate market is high, property fairs are being organized to attract investors, CEO Ko Zeya of the Yadanagiri Real Estate Agency told the CNI.
He told the CNI, "At present, showrooms have nothing to do. So, people are investing in land, condominium apartments and gold. Gold prices have skyrocketed. Commodity prices have increased significantly. Land prices are still relatively low. As US dollar exchange rates have tripled, land prices will increase to some extent. However, land prices have not increased as much as gold prices and US dollar exchange rates. So, people are likely to invest in the real estate market. Gold prices have tripled but land prices should follow suit. As a result, real estate agencies are asking for higher prices for land. So, they are organizing real estate fairs."
A real estate showroom.
Organizing real estate fairs will not have immediate effects on the market and the real estate market also relies on the ease of doing business and other hardships, according to real estate agents.
Real estate fairs are mainly organized in Yangon and at least 6 real estate fairs have been organized so far. Such fairs are also being held in Mandalay.
By organizing real estate fairs, companies that have large sums of money to advertise and employ large numbers of staff will be able to enjoy advantages, an official from the Myanmar Real Property Development Association told the CNI.
He said, "Real estate fairs are being organized. However, as real estate laws are not precise in Myanmar, there is no provision that sellers must sell their property through the agency from which they seek service from. Sellers may seek services from his agency as well as from others. Therefore, agencies try to attract customers through advertisements. Therefore, agencies that spend money on advertisements and employ a large number of staff have advantages.
A real estate showroom.
At present, land plots, apartments and condominiums are sold out steadily while the sales of high-end houses at housing complexes have slowed down.
The real estate market is likely to boom after the water festival until June, according to market observers.
However, the market will be likely to cool down before the elections, they said.
