How the real estate industry can be used as a vehicle for economic change
October 9, 2022, 1:23 pm Blog Naija Real Estate Seen: 3501
Housing experts are optimistic that the real estate sector might be a real tool for economic transformation if the right conditions are put in place and synergies between the public and private sectors are built to maximize value creation in the sector.
The operatives made the case that efforts to harness land, infrastructure development, technology, data, and property taxation for overall development are all related.
The managing director/chief executive officer of Global Property and Facilities International Limited, Dr MKO Balogun, said that despite the sector's opportunities, real estate hasn't changed much in the last two years in terms of its contributions to the GDP. The forum was organized by the Alumni Association of Lagos Business School and was titled "Real Estate as Tool for Economic Transformation" GDP. In comparison to other nations in Nigeria's category, he continued, Nigeria's real estate had single-digit growth.
Nigeria hasn't truly exploited the sector's potential, according to Balogun. Real estate was a significant part of the Federal Government's economic sustainability plan after COVID-19. The economy will change as a result of the increased housing construction work.
Before building housing projects, we need to discuss the government's infrastructure strategy. Most of the time, the infrastructure we envision when starting a project cannot support it.
According to Mrs Uzo Oshogiwe, Managing Director/Chief Executive Officer of Afriland Properties Plc, real estate is a significant source of value in both developed and developing nations. She emphasized that households in the US had $9.6 trillion, or 16% of their wealth, in real estate.
She contends that land and property taxes are crucial to the development of any nation's infrastructure and should be regarded seriously.
"Efforts should be made to further harness this because land, infrastructure development, and property taxation cannot be separated from one another. To avoid discouraging investors and developers from participating in connected operations, care should, nonetheless, serve as the fundamental guideline. Real estate is a major component of about half of the global economy. Therefore, if correctly and appropriately utilized, it continues to be a real source of income and a spur for economic progress, she said.
Oshogiwe recommended tax breaks to mitigate the sector's economic effects. She claims that this will encourage more investment, propel projects for affordable housing, and establish stability in the sector.
She encouraged the government to create a centralized, digital system that will be in charge of handling all real estate payments to close all gaps in the tax collecting process.
The lack of tax rebates, coupled with inflation and unstable currencies, is a major factor in the high cost of housing, which is a militating factor against affordable housing, according to the official. "Real estate is weighed down by too many contentious taxes and charges with ambiguous applications that the government needs to align for the good of the nation’s economy," she said.
She encouraged the government to create a centralized, digital system that will be in charge of handling all real estate payments to close all gaps in the tax collecting process.
The lack of tax rebates, coupled with inflation and unstable currencies, is a major factor in the high cost of housing, which is a militating factor against affordable housing, according to the official. "Real estate is weighed down by too many contentious taxes and charges with ambiguous applications that the government needs to align for the good of the nation’s economy," she said.
Dolapo Omidire, the founder and CEO of Estate Intel, claimed that the industry has a profound effect on all economies, assisting individuals in increasing their wealth. He added that purchasing a home can even be the biggest investment a person will ever make.
According to Omidire, if the business is properly organized, it will be a real source of income for the nation. He emphasized that the use of technology in housing will increase access to and the effectiveness of investment opportunities, and that data is essential to the industry since it enables consumers and investors to make better decisions.
The operatives made the case that efforts to harness land, infrastructure development, technology, data, and property taxation for overall development are all related.
The managing director/chief executive officer of Global Property and Facilities International Limited, Dr MKO Balogun, said that despite the sector's opportunities, real estate hasn't changed much in the last two years in terms of its contributions to the GDP. The forum was organized by the Alumni Association of Lagos Business School and was titled "Real Estate as Tool for Economic Transformation" GDP. In comparison to other nations in Nigeria's category, he continued, Nigeria's real estate had single-digit growth.
Nigeria hasn't truly exploited the sector's potential, according to Balogun. Real estate was a significant part of the Federal Government's economic sustainability plan after COVID-19. The economy will change as a result of the increased housing construction work.
Before building housing projects, we need to discuss the government's infrastructure strategy. Most of the time, the infrastructure we envision when starting a project cannot support it.
According to Mrs Uzo Oshogiwe, Managing Director/Chief Executive Officer of Afriland Properties Plc, real estate is a significant source of value in both developed and developing nations. She emphasized that households in the US had $9.6 trillion, or 16% of their wealth, in real estate.
She contends that land and property taxes are crucial to the development of any nation's infrastructure and should be regarded seriously.
"Efforts should be made to further harness this because land, infrastructure development, and property taxation cannot be separated from one another. To avoid discouraging investors and developers from participating in connected operations, care should, nonetheless, serve as the fundamental guideline. Real estate is a major component of about half of the global economy. Therefore, if correctly and appropriately utilized, it continues to be a real source of income and a spur for economic progress, she said.
Oshogiwe recommended tax breaks to mitigate the sector's economic effects. She claims that this will encourage more investment, propel projects for affordable housing, and establish stability in the sector.
She encouraged the government to create a centralized, digital system that will be in charge of handling all real estate payments to close all gaps in the tax collecting process.
The lack of tax rebates, coupled with inflation and unstable currencies, is a major factor in the high cost of housing, which is a militating factor against affordable housing, according to the official. "Real estate is weighed down by too many contentious taxes and charges with ambiguous applications that the government needs to align for the good of the nation’s economy," she said.
She encouraged the government to create a centralized, digital system that will be in charge of handling all real estate payments to close all gaps in the tax collecting process.
The lack of tax rebates, coupled with inflation and unstable currencies, is a major factor in the high cost of housing, which is a militating factor against affordable housing, according to the official. "Real estate is weighed down by too many contentious taxes and charges with ambiguous applications that the government needs to align for the good of the nation’s economy," she said.
Dolapo Omidire, the founder and CEO of Estate Intel, claimed that the industry has a profound effect on all economies, assisting individuals in increasing their wealth. He added that purchasing a home can even be the biggest investment a person will ever make.
According to Omidire, if the business is properly organized, it will be a real source of income for the nation. He emphasized that the use of technology in housing will increase access to and the effectiveness of investment opportunities, and that data is essential to the industry since it enables consumers and investors to make better decisions.
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