Login Register
feel free to call 09056000005

Poor data transparency hurting Africa’s real estate – Experts

Data transparency has continued to constitute a bane to Africa’s real estate market. This was the resolution of experts at the recently concluded African Real Estate Society conference in Accra themed, “Redefining the future of Real Estate In Africa.”
According to an estate intel report, the conference brought together real estate professionals, university professors, and postgraduate real estate students who explored different areas of research around the African real estate market. The conference hosted discussions with topics centered on how real estate market participants in Africa could advance the African market.
 
The experts noted that while several major real estate transactions had occurred in Africa, the data transparency problem was still one that had persisted. The report partly read, “The opaque nature of African real estate shown by the limited number of real estate research companies in Africa is a key characteristic of an immature market. Markets that possess a wealth of data have a competitive advantage and are more likely to attract private sector investment funds.”
Also, politics is a major trend identified as important in the African real estate market's macroeconomic and political regimes.
 
“With a number of African countries facing either recently concluded or planned elections, their economies are being closely watched. The social rest or unrest of the country and possible new laws being enacted are likely to affect the real estate economy.
“These political issues coupled with the general global rising inflation rates, declining economic growth and high cost of capital are all currently weighing on the real estate market. All of which would have an impact on the future of the African real estate market,” the report read further.
Another key point noted was the rate of urbanization within all African cities. It was seen that more than 50 percent of the world’s population lived in cities, and by 2030, 60 percent would be urbanized. With the increasing population growth rate, issues such as human capital accumulation, housing deficit, land use disorder, unplanned expansion, and weak rural-urban line are important in determining if Africa is going to be involved in this urbanization, according to the report.
 
Africa’s young population was seen to be the major driver for the current and future real estate market and emerging niches of real estate (like student housing and shortlet markets). By 2030, Nigeria alone adds 7.6m middle-class households, Ghana with 1.6m, and Angola and Sudan, with 1.0m each.
 
Foreign direct investments have also been growing in the past years, according to the speaker. Prior to Covid-19, Africa was on the verge of achieving an overall economic growth of 3.8 percent slightly above the global target of 3.7 percent. This growth and other factors present a strong signal in Special Service Areas for FDIs to impact the real estate markets in Africa.
 
 
 
Source: Punchng.com

Similar Topics

Event Set to Celebrate Managers Who Shape Careers and Drive Organizational Growth   Business...

10 days ago Read More

Global Leaders to Converge in Lagos for Landmark Event Driving Urban Innovation and...

10 days ago Read More

In a bold move to redefine affordable luxury housing, Nigerian real estate giant Gtext Holdings has...

18 days ago Read More

Industry Experts Urge Anti-Corruption Measures, Innovative Financing to Address Crisis By: Oche...

23 days ago Read More

LAGOS, NIGERIA – Global real estate consultancy Knight Frank and UK developer Mount Anvil...

25 days ago Read More

By Oche Onum Lagos, Nigeria As Nigeria’s real estate sector braces for 2025, rapid...

a month ago Read More

By Oche Onum Abuja, Nigeria In a landmark move to combat climate vulnerabilities in urban...

a month ago Read More

LAGOS, NIGERIA The Federal Government announced plans Wednesday to establish a Real Estate...

a month ago Read More

According to The Guardian's investigation, 70% of Nigerian states rely on manual land...

a month ago Read More

What is the Initiative? The Federal Government of Nigeria has unveiled an N100 billion private...

a month ago Read More

Abuja, Nigeria’s gleaming administrative capital, has long symbolized hope for migrants...

a month ago Read More

Abuja, Nigeria The Federal Housing Authority (FHA) has suspended all ongoing construction projects...

a month ago Read More

Lagos, Nigeria  Amid Nigeria’s escalating housing affordability crisis, real estate...

a month ago Read More

Renowned Nigerian gospel artist Mercy Chinwo has broken her silence in an emotional video...

a month ago Read More

The Nigerian real estate market is projected to hit $2.25 trillion by the end of 2025, according to...

a month ago Read More

Nigeria’s Minister of Housing and Urban Development, Ahmed Dangiwa, has called on...

2 months ago Read More

Affordable Housing and Luxury Properties Set to Propel Nigeria's Real Estate Market Over the Next...

2 months ago Read More

Hope for improved housing supply in Nigeria may remain unfulfilled, as the 2025 fiscal budget...

2 months ago Read More

Nigeria commemorated its annual Armed Forces Remembrance Day on January 15, honoring military...

2 months ago Read More

Nigeria’s ongoing GDP and CPI rebasing reveal real estate has overtaken oil and gas as the...

2 months ago Read More