Economic Outlook Top Constraint On Property Market: Report

JAKARTA, Indonesia, Nov. 26, 2014 /PRNewswire/ -- Indonesia's economic outlook is seen as the key constraint on the country's property market, trumping other factors such as political change and price fluctuations, according to a recent survey of local real estate brokers.

The findings are contained in new research from global property website Lamudi, which today released its first annual report on real estate in the emerging markets. The report, Real Estate in the Emerging Markets, provides a comprehensive overview of the property sector in 16 emerging countries, including Indonesia.

The report is based on a series of online surveys conducted with house-hunters and real estate agents in each country, as well as onsite data from Lamudi's global network of websites. The research examines the habits of online property-seekers, while offering insights into the future of the property sector based on interviews and surveys with local property experts.

According to the real estate agents survey, the country's economic outlook is seen as the top constraint on the property market, ahead of factors including price fluctuations and changes to the political environment. Nearly 65 percent of agents have a positive view of the future of the market, while 35 percent described their outlook for the next 12 months as average.

The survey reveals the extent to which the property market has moved online, with 96 percent of agents saying the Internet is now often used to find real estate to buy or rent. Three-quarters of agents said they advertise their properties online, compared to just 14 percent who use newspaper classifieds or three percent using magazines.

Lamudi's Global Co-Founder, Kian Moini, said: "The primary conclusion that we have drawn from our research is that the future for the Indonesian property sector is extremely bright.

In fact, about three-quarters of the real estate agents we surveyed said they expect to see the sector grow by eight percent or more during 2014. Unsurprisingly, the country's real estate market has emerged as one of the most promising in the Asia Pacific region."

The second survey targeting Lamudi customers examined house-hunting habits among buyers and renters. The survey found that owning property is a priority for many Indonesians, as 95 percent of renters were currently saving to buy a home. The survey also revealed that very few Indonesians live alone, with the majority of respondents either sharing their home with a significant other (56.1 percent) or with their parents (29.8 percent).

Each country covered in the report offers an in-depth interview with key figures from the local property industry. For Indonesia, Summarecon President Director Johanes Mardjuki discussed the outlook for the real estate market, nominating the large middle income market as a key opportunity for the sector.

"There is very little opportunity to find growth in Jakarta. However, we find that the greater Jakarta area is very promising, for example Bekasi and Bogor. We also see that cities like Medan and Balikpapan have a lot of potential, and are looking at opportunities outside Java," Mr Mardjuki told Lamudi.

The 16 countries covered in the report are: Indonesia, the Philippines, Myanmar, Bangladesh, Pakistan, Sri Lanka, Jordan, Saudi Arabia, Nigeria, Kenya, Tanzania, Morocco, Ghana, Ivory Coast, Mexico and Colombia.

The full report is presented in an easy-to-read online format, available for viewing on the Lamudi website. Visit www.lamudi.co.id/research.

ABOUT LAMUDI

Launched in 2013, Lamudi is a global property portal focusing exclusively on emerging markets. The fast-growing platform is currently available in 28 countries in Asia, the Middle East, Africa and Latin America, with more than 700,000 real estate listings across its global network. The leading real estate marketplace offers sellers, buyers, landlords and renters a secure and easy-to-use platform to find or list properties online.

MEDIA CONTACT

Anissa Rara
Public Relations I Lamudi.co.id

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Mail: anissa.rara@lamudi.co.id
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