UGANDA, Kampala | Real Muloodi News | Associations of Real Estate Agents stated during the second Uganda Revenue Authority ‘Bomba ya Business’ initiative that Uganda requires about 300,000 housing units per year to reduce the growing deficit and rising cost of housing.
The real estate sector in Uganda is one of the most promising and vital areas of business, fuelled by the growing population and attracting significant investment.
Apartments in Garuga, Munyonyo, Muyenga, and Butabika are reportedly more expensive than those in Dubai, costing an estimated US$400,000. A four-bedroom apartment in Mbuya costs an estimate of Shs650m (approximately US$185,000).
According to Habitat for Humanity, Uganda has a 2.4 million unit housing deficit, with 210,000 units in urban areas and approximately 1.395 million units in rural areas. However, about 900,000 units are substandard and need replacement.
Shirley Kongai, president of the Association of Real Estate Agents, shared that Uganda requires an adequately developed plan to see the construction of at least 300,000 housing units, particularly in urban areas, to match population growth. She also stated a need to support the real estate sector because of rapid population growth.
Besides Shirley Kongai’s remarks, Sudhir Ruparelia, chairperson of the Ruparelia Group of companies, spoke about the real estate sector, highlighting how demand for rental and commercial space has increased over time, threatening to outstrip supply.
“There is a demand for real estate in all sectors of the economy such as agriculture, warehousing, industry and manufacturing, hospitals and homes, among others,” Sudhir Ruparelia stated.
Shirley Kongai also emphasised the importance of allowing the real estate sector to mature, warning the government against piling taxes on the industry, which is currently underdeveloped.
She states, “We are uncomfortable with the taxes that have been put on real estate. We feel unfairly treated.”
In response to the tax issue, Uganda Revenue Authority assistant commissioner research and innovation, Irene Irumba Mbabazi, highlighted that the government had waived several taxes in the sector during the COVID-19 outbreak.
The real estate sector in Uganda is promising and significant as it is attracting considerable investment fuelled by the increasing population.
If you have a real estate press release or any other information on real estate that you would like featured on Real Muloodi News Network, do reach out to us via email at support@realmuloodi.co.ug
READ MORE LIKE THIS:
Why Isn’t Real Estate Development Alleviating Uganda’s Housing Crisis?
Banking and Empty Buildings: 6 Ways to Curb the Real Estate Crisis
