The apartment price exceeds the affordability of the middle class
REHAB Winter Expo 2019
Yesterday, the five-day REHAB Winter Fair 2019 event was held at the Capital International Conference Center (BICC) in Bangabande.
The REHAB Winter Expo 2019 organized by the Real Estate and Housing Association of Bangladesh (REHAB) is in full swing. Strive to put customers, developers, building materials companies and financial institutions on a unified platform. Although the middle class accounts for the majority of the people participating in the fair, the price of the apartment is far beyond their affordability.
Babar Ali, an employee of a private company, came to the fair from Shyamoli with the purpose of booking an apartment in his own residential area to get rid of the trouble of renting a house. But the high apartment prices broke Ali's dream. "The price of the apartment is too high. The price starts at 7,500TK per square foot, which is unaffordable for a middle-income person like me. I have to spend Tk 9 million to buy a 1,200 square foot apartment. This is completely beyond me. Ability," Ali said.
He added: “When we went to a financial company and wanted to get a house loan, we couldn’t accept the high interest rate.” “If I borrow 5 million from a bank or financial institution, I have to repay 50,000 TK per month, totaling 20 Years. Instalments will account for nearly 70% of my monthly salary," he said.
At the five-day fair, the most common form of apartment (three-bedroom apartment) was priced between 9 million and 17 million, depending on the location and type of apartment. Taniya Islam is a worker who lives in a rental house in Mirpur-10 area. She came to the fair to buy an apartment. She said that the high prices of apartments, troublesome bank loans and high interest rates mean that these apartments are completely beyond the capacity of the middle-income class of society.
Shanta Properties is the "gold medal" sponsor of the expo and currently has 32 ongoing projects in different locations in the capital. Its condominium started at 14 million taka. Shihab Ahmed, General Manager (Sales and Customer Service) of Shanta Properties, said: “This is the lowest selling price for our apartment. He explained that using standard materials, maintaining quality and experience is the main reason for the high price of the apartment. In addition, , The price of building materials, land shortage and shortage of skilled workers are also reasons for the increase in apartment prices.
Oriental Housing Co., Ltd. is a well-known developer in the country and currently has 12 ongoing projects in different locations in the capital. They are The price of the apartment is 7,000TK-40000TK per square foot, and the smallest apartment will cost more than 1.1 million excluding registration fees. At the fair, many tourists and buyers asked for information about the apartment. Some buyers requested real estate The merchant builds apartments ranging from 4,000TK to 5,000TK per square foot.
Most of the 14 banks and non-bank financial institutions participating in the REHAB Winter Fair 2019 provide housing loan interest rates between 10% and 13%. Provided by IFIC Bank The housing loan interest rate is 10% to 13%. Customers can borrow up to 20 million takas, and the borrowing procedures are simple and fast. The Dutch-Bangladesh Bank Limited (DBBL) also provides housing loans at an interest rate of 9.5% to 13.5%. Lanka Bangla Finance The range of housing loans has been set at 11.5%.
Delta Brac, National Housing and other banks and non-bank financial institutions have set housing loan interest rates in the range of 9.5% to 13.5%. According to REHAB, as of yesterday, the Expo Attracted 13,000 visitors in the first three days of the opening. In this year’s fair, 230 real estate and housing booths, 30 building materials production companies and 14 financial institutions participated. Z2z
David probably did the math, 120 square meters apartment, It’s about RMB 700,000, which is still much cheaper than Chinese house prices.
