MORE AFFORDABLE HOUSING BECOMING AVAILABLE IN YANGON
The Department of Urban Housing and Development (DUHD) under the Ministry of Construction will stop new housing projects but will allow the completion of projects currently underway, said Daw Mi Mi Tin, deputy director general of the Policy and Project Section of the department. DUHD is now selling completed flats this month as well as those meant for completion in 2018-19 fiscal year.
(Source: The Myanmar Times, December 17, 2018)
While we have likewise observed capable buyers and investors for upscale projects, the inventory is noticeably outpacing demand. Given such, few developers are now expanding their mass market. Early on this year, several developers announced that they are planning to expand beyond high-end and luxury properties in a bid to promote home ownership and growth in the country. This includes developing low-cost housing projects, backed by partnerships with private banks in the country. This will enable developers to work closely with the banks in bringing a larger pool of financing options to potential home buyers, helping them to better afford new homes. Overall, we continually advise developers to address issues around affordability by introducing competitively priced products, starting with looking at reasonably priced land. In particular, site selection can be geared towards alternative and accessible development sites in the immediate outskirts of Yangon. Generally, the market is seen to favorably improve in the coming years, on the back of the government's exertions in providing clearer sectorial reforms.