Kazi Zahidul Hasan :
Realtors have prepared their wish list in the upcoming budget that they believe necessary to revive the declining real estate sector.
Real Estate and Housing Association of Bangladesh (REHAB), the country’s apex trade body for realtors, has already finalized the wish list to be placed before the National Board of Revenue (NBR) in pre-budget discussion.
The wish list includes formation of a Tk 20,000 crore special housing fund, investment opportunity of undisclosed money in housing sector, reduction of registration fee, cut in taxes and other charges and long-term refinance fund for home buyers.
“The real estate sector is facing downturn due to unfavorable policy regime along with rising input cost. We need government’s policy support to revive the sector,” REHAB President Alamgir Shamsul Alamin told The New Nation yesterday.
He said REHAB has prepared budget proposals covering all issues to protect the real estate and housing sector. The proposals will be placed during the Association’s pre-budget discussion with the revenue board.
“The government should allow investment of undisclosed income in real estate sector without question besides forming a Tk 20,000 crore housing fund to pull the sector out of the woods. Budgetary measures are necessary to resolve the issues,” said Alamgir Shamsul Alamin.
Terming high registration cost is another barrier for the growth of the sector; the REHAB President also urged the government to reduce the cost immediately.
“A buyer is paying 14 per cent fees and taxes on property registration and it is the highest among the SAARC countries. The government should reduce the registration cost to 6-7 per cent to give a fresh boost in flat and plot sale. We want to see its’ reflection in the next budget,” he said.
The REHAB leader expressed concern over the sudden rise in bank interest rate and MS rod and cement prices saying this will push the sector to further volatility.
“Rising input cost due to sudden surge in steel, cement and other construction materials and bank lending rates would push up the property prices worsening the industry situation further. We hope the government would come forward to rescue the realtors from the adverse situation,” he added.
Alamgir Shamsul Alamin also stressed the need for re-introducing Bangladesh Bank’s refinancing scheme for the housing sector to make flats more affordable to the buyers.
Bangladesh Bank put the refinance scheme on hold since 2009.
“It will be possible to arrange home loans at affordable rates for low and mid income families if the refinance scheme rolls again,” he added.
Realtors have prepared their wish list in the upcoming budget that they believe necessary to revive the declining real estate sector.
Real Estate and Housing Association of Bangladesh (REHAB), the country’s apex trade body for realtors, has already finalized the wish list to be placed before the National Board of Revenue (NBR) in pre-budget discussion.
The wish list includes formation of a Tk 20,000 crore special housing fund, investment opportunity of undisclosed money in housing sector, reduction of registration fee, cut in taxes and other charges and long-term refinance fund for home buyers.
“The real estate sector is facing downturn due to unfavorable policy regime along with rising input cost. We need government’s policy support to revive the sector,” REHAB President Alamgir Shamsul Alamin told The New Nation yesterday.
He said REHAB has prepared budget proposals covering all issues to protect the real estate and housing sector. The proposals will be placed during the Association’s pre-budget discussion with the revenue board.
“The government should allow investment of undisclosed income in real estate sector without question besides forming a Tk 20,000 crore housing fund to pull the sector out of the woods. Budgetary measures are necessary to resolve the issues,” said Alamgir Shamsul Alamin.
Terming high registration cost is another barrier for the growth of the sector; the REHAB President also urged the government to reduce the cost immediately.
“A buyer is paying 14 per cent fees and taxes on property registration and it is the highest among the SAARC countries. The government should reduce the registration cost to 6-7 per cent to give a fresh boost in flat and plot sale. We want to see its’ reflection in the next budget,” he said.
The REHAB leader expressed concern over the sudden rise in bank interest rate and MS rod and cement prices saying this will push the sector to further volatility.
“Rising input cost due to sudden surge in steel, cement and other construction materials and bank lending rates would push up the property prices worsening the industry situation further. We hope the government would come forward to rescue the realtors from the adverse situation,” he added.
Alamgir Shamsul Alamin also stressed the need for re-introducing Bangladesh Bank’s refinancing scheme for the housing sector to make flats more affordable to the buyers.
Bangladesh Bank put the refinance scheme on hold since 2009.
“It will be possible to arrange home loans at affordable rates for low and mid income families if the refinance scheme rolls again,” he added.
