As the dollar and gold prices are high, the real estate transactions bounce back in the market, according to the real estate agents.
On 31 August, pure gold was priced at K3.7 million pertical and the opening price was K3 million per tical on 1 September, according to the gold market.
The gold and dollar prices hit record highs and it affected the property market.
“The gold and dollar prices are increasing drastically. It is K4,500 per dollar in the market. The gold price was K3.7 million yesterday. As the Myanmar kyat depreciates against the dollar, the people who have gold and dollars in hand intend to purchase real estate. On the other hand, the property prices surge drastically,” real estate agent Ko Ye Win Aung told the Global New Light of Myanmar (GNLM).
The property and apartment prices become stronger than before, depending on the exchange rate and gold prices, he continued.
“The flat that was priced K40 million before is sold at K50/60 million now. The detached house worth K80 million reaches over K100 million. The prices are on the steep rise. The people who have gold resell and buy apartments and real estate. The gold purchased at K1 or 1.2 million fetches over K3 million now and so the people can get K10 million worth of apartment or yard by selling just five ticals of gold despite the sale of K15 or 20 ticals of gold in the past,” real estate agent Daw Yi Swe told the GNLM.
Depending on the daily prices of dollars and gold, the buyers and sellers make direct sales in the market.
“The transactions are good in suburban townships and satellite towns. The 20 by 60 feet of land worth K9 or 10 million can get nearly K20 million now. The price of 80 by 80 feet of land near Nay Pyi Taw railway station project area was not over K10 million. Now, we have to pay nearly K40 million for 40 by 80 feet of land. The 10 square feet wide land price in the centre of Yangon is valued at K70 or 80 million,” said Ko Ye Win Aung.
The numbers of people who settle in Nay Pyi Taw are on the rise and the property prices have doubled, said the chairman of the Myanmar Real Estate Development Association (Nay Pyi Taw).
“Some move to Mandalay, PyinOoLwin and Nay Pyi Taw from Yangon after selling the property in Yangon as they want to stay peacefully in the wide compound. Therefore, they sell real estate in Yangon to buy cheap ones in the countryside. Some buy real estate in the countryside just to relax. The property transitions are normal in Yangon and other regions,” real estate agent Ko Yan Naung Oo. — TWA/GNLM
