Real

Estate:
Perspectives from
BANGLADESH

The basic human needs:

Residence

Fast growth
rate

Migration

Urbanizatio
n

Why

Crisis!

Real Estate in
Bangladesh

Started in 1970s:
Five companies

Flourish after
1980s:
Inception of
Eastern Housing

Fastest growth:
Residential &
commercial

Significance in
2014:
About 1250
companies

Residential:
42%
Commercial:
31%
Residential
cum
Commercial:
27%

Use of
Real
Estate
Propert
y

Problems & Prospects:

Real Estate in
Bangladesh

Urbanization

20-25%
Urban population is concentrated
at Dhaka

High
Population
Growth

Lower land
utilization

Rural-urban
Migration

Lack of
proper
policy &
planning

Limited
Land Supply

Demand for
space

Types of
Income groups

High Income group

Low Income group

Reasons:

Increase in Land value

Lack of
Investment
opportunity

Uncontrolle
d Land
market

Lack of
policy

High rate of
Inflation

Land
speculation

Land
ownership:
social
prestige

Documents:

To check before buying

1. Sellers power to transfer of ownership

2. Deeds & documents of sellers ownership
3. Test Ownership Title
4. Sellers possessory right/ occupancy right/ use of the land property
5. Preemptory right on the land property
6. Government property (Khas land)
7. land Mortgaged property
8. BS and RS Sheet
9. Right to use of roads or way out (easement)
10. Whether any suit is running on the name of the land property

Evaluation:

Findings through
survey

% of Preference Level
13%
6%

Transportation

Utilities

Healthcare

Environment

Educational facilities

Others

38%

31%
13%

Most preferred facility:

Transportation-37%

% of Easement

20%
47%

0-20%

20-30%

33%

Highest rate of easement(020%): 43.80%

Above 30%

% in Total
6%
31%

Less than 1 month

1-3 Month

3-6 Month

44%
19%

More than 6 month

Highest time length in registration(1-3 month):

43.80%

Source of Financing
56.30%

37.50%

6.30%

Bank loan

Personal financing

Others

Methods of Payment
37.50%

31.30%

One time down payment

31.30%

Installment

Both

Time to complete full payment

31.30%
25.00%
12.50%

31.30%

Time length to handover the Land

More than 1 year

Less than 1 year

Less than 6 month

25.00%

12.50%

62.50%

Amount of Land TAX

More than Tk. 1000

43.80%

Tk. 501-1000

43.80%

Tk. 0-500

12.50%

Channels for purchasing

Middle man/ Broker

37.50%

Personal network/ Individual

Real estate company

56.30%

6.30%

% of Future Plans for land

36%

43%

Develop the land further

Wait for change

21%

Most preferred future plan:

Develop the land-43%

Sell it

Types of
Purposes

Residential: 87%
Commercial: 13%

Political
Disturbance

69%
Faced political disturbance

RS,CA,SA drafts

69%
Checked those drafts

Detailed area
planning

56%
Lands not included under DAP