For ordinary people nowadays, owning a flat is a far stretched dream because of the price hike in the types of equipment needed to build a flat. The country's real estate business gained momentum again following a declining trend in the post-Covid-19 situation. But the momentum has recently declined. The sudden hike in the price of construction materials has been attributed to the diminishing momentum. The price hike has generated fears again in the sector.
Based on quality, the price of rod has gone up to Tk 7,000 per ton. At present to buy a 60-grade rod per ton a consumer has to pay at least Tk 80,000 which was Tk 55,000 at the corresponding period last year.
According to global market data, meted scrap, the main material of steel production has gone up to USD 630 per ton recently. This was USD 300 to USD 350 per ton last month.
Realtors who have been affected by Covid-19 should
get low-interest loans from the government’s stimulus
The government should now talk with other parties who are directly or indirectly involved in the house building industry. Discussing with stakeholders they should try to keep flat prices to an affordable level for the buyers.
In the government’s efforts to help and recover the real estate project, stimulus packages and other benefits should be allowed so that re-investing into real estate markets occur. Taking advantage of these measures, many new investors will enter the market.
Realtors who have been affected by Covid-19 should get a low-interest loan from the government’s stimulus package. This will significantly help complete their ongoing projects. Other benefits like untaxed income to purchase land or apartments, granting bank loans on the single-digit interest rates and reduction of flat registration tax will again boost this sector like never before.