Property prices crash in Mandalay
October 11, 2018 - Mandalay
Real estate agents in Mandalay said property prices in some of the region’s less populated areas have fallen by half and transactions are almost non-existent.
Property prices in non-residential areas of Myanmar's second-largest city have plummeted by 50% since 2011, U Wanna Soe from the Phoe Lamin Real Estate Agency reported. “The market used to be very active in non-residential areas, especially in areas of Pyigyitagun township and some parts east of Myothit."
The dampening in demand is worse in sparsely populated areas than the inner city. “All types of transactions have dropped but there are at least a few deals in residential areas.”
Real estate agents have been compelled to market properties at price points of no more than MMK100 million (USD65,000), in line with prevailing laws that tax properties above this range by 30%.
Real estate prices in locations with sparse to little development can go as low as around MMK20 million, but buyers tend to steer clear of such offerings, said U Wunna Soe.
“People dare not buy land in unbuilt areas because they are afraid of squatters. The prices for such locations are always low.”
U Pyu, an agent from Pyigyitagon, confirmed that sales have been low in the township, especially in areas where no development has taken place yet.
“Sellers cannot ask too much for their properties in this situation,” he told the Times. "Although sales are quiet, this is the best time to buy property.
Photo : Teza Hlaing / Frontier
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