Maghreb Arabe Presse: Morocco to build 130k low-cost housing units
Rabat, Mar. 30 - Morocco is set to build 130,000 low-cost housing units in the coming four years both in urban and, for the first time, in rural areas across the north African country for a total budget of MAD 15.5Bn (USD 2.13Bn).
The budget is totally exempted from taxes, and will be directed to families whose monthly income is less than MAD 2,500 (about 344). They should be either working in the police, civil servants, living in houses due for demolition, or employees in the private or handicraft sectors.
The government aims also to diversify offer in the housing sector, fight insalubrious housing, and involve small and middle-scale real estate developers in the operation.
The prices of houses and flats built in the project will not exceed MAD 140,000 (USD 19,300).
Besides cities and towns, the project provides for the first time for constructing low-cost housing units in rural areas. 22,353 one-storey houses are programmed part of the project, and they will respect the architectural cachet and the construction materials used in the countryside.
Low-income families will be able to obtain housing loans through the guaranteed loans program, known as FOGARIM, and set up by the government in 2005 to ease access to descent housing to individuals with low or irregular income.
The signing ceremony of the convention related to this nationwide program was chaired by king Mohammed VI in the royal palace here.
Speaking on the occasion, Housing and Equipment Minister, Ahmed Taoufiq Hejira said the yearly output of low-cost housing has for the third year exceeded 100,000 units, noting that housing credits went beyond the threshold of MAD 100Bn (over USD 13.7Bn), thrice the amount granted in 2002.
He said the government has taken a panel of measures to contain the unprecedented upsurge in land prices, and the rareness of labor due to the number of projects.
The executive’s strategy relies on feeding up housing offers, through launching new urbanization areas, which is expected to step up the yearly output of low-income houses to 150,000 by 2012.
The minister said the sector of housing has generated, during recent years, 30% of the job opportunities.
31 March 2008
Maghreb Arabe Presse: Morocco to build 130k low-cost housing units
22 March 2008
NIGERIAN TRIBUNE - Property and Environment
NIGERIAN TRIBUNE - Property and Environment
Why private developers cannot build for low income groupDayo Ayeyemi, Lagos
A luxury apartment in Port HarcourtHousing in its entire ramification is more than mere shelter according to different scholars who have expressed concerns over the shortage of housing industry in the country.
As stated by them, housing encompasses all the necessary facilities such as circulation, infrastructure such as electricity, water and paved roads that make life enjoyable and that it must be close to workplace.
Despite the enormous contribution of the private developers who have constructed different housing units across the state following the current housing policy that encourages such, investigation by Nigerian Tribune revealed that most of the houses constructed by the private developers are geared towards the high income earners in Nigeria. In a twist, Chairman, Grant Properties Limited, Reverend Olajide Awosedo, in a brief interview stated that construction of housing units for the high income earners in Nigeria would continue if government fails to create an enabling environment for the private sector to thrive.
Speaking exclusively to Nigerian Tribune in Lagos, the developer, whose firm pioneered the popular Goshen Beach estate, Victory Park, Havillah Vila estate among others, said he had no apology for concentrating on the development of housing units for the high networth in the society.
He pointed out that he operated in a system that has no sympathy for people who want to provide service at cheaper rate, saying that some of the problems facing the housing industry in the country ranged from financial, environmental, institutional to societal problems.
He listed high cost of borrowing and interest rate; high cost of land, bureaucratic bottlenecks, corruption in the system, and lack of long-term fund among other factors that limits private developers to built low income houses in the country.
“This is a capitalist society and I am a private sector man, I operate within a system that has no sympathy for people who want to provide this service at cheaper rate. There is no encouragement, nor concession from government and banks when I borrowed the money. When I built Goshen estate I borrowed money at 39 percent interest rate. The cheapest money I had when I built Goshen was at 35 percent. There is no way I will borrow money at these rates and build for the low income class of the society. I have to look for the people who can buy the houses at a rate that I will make my profit. I borrowed money just like any other person, just like an importer in Alaba or Aba. There is no preferential rate giving to me and my entire loans are not of long terms, they are of short terms,” he declared. He said he is ready to build low income houses if government could give him free land and exempt him from paying tax for five years and stipulated the amount he must sell the house for him to recoup his investment.
He added, “The truth of the matter is that the way we are going, in years to come we still may not be able to meet the housing needs of Nigerians. For example the World Health Organization report in 1999 put the housing need of Lagos alone as 170,000 units per annum. Same goes for other cities like Port Harcourt, Abuja, Kano ,kaduna and Ibadan. So we are not there and that means as long as you have a good vision and you do it right, your house will always be sold.”Despite the challenges, he expressed optimism for the housing and mortgage industry, saying the potentials of housing industry in the country are huge. He stated that there has been some elements of improvement in the mortgage sector, saying some banks that could give mortgage for 10, 15 and 20 years owing to the consolidation exercise.
“The interest rate is still in double digit but it has been improved. Yes, they still expect you to pay interest of about 30 and 35 percent but we never had that before. It would get better and that shows that the future of mortgage and housing in the country is bright,” the estate developer said.
To house the low income people, the developer challenged the local government to live up to expectations by constructing housing for the low cadres within their community.
Expressing disgust over the local government administration in the country, he stated, “I dare say that we don’t have a local government system in this country, anytime I see the contest for local government chairmanship, I say to myself that the only reason for the contest is selfishness and not service. Local government system is the government of the people and as a government of the people; I see no reason why they cannot have local government housing”.
He also urged the state governments to provide houses in a mass nature for the people.
£8bn promise for low-cost housing means it’s boom time for builders - Times Online
£8bn promise for low-cost housing means it’s boom time for builders - Times Online
Yvette Cooper announced a huge £8 billion building programme yesterday to help first-time buyers and families on low incomes. An extra 210,000 affordable homes will be built over the next three years.
Council building will get a big boost and the Housing Minister unveiled a range of reforms to help young families get on the property ladder, including an equity scheme for those earning less than £60,000 a year.
Under the scheme the Government will give first-time buyers and key workers 17.5 per cent of the cost of a new home in return for a share in the profits when they sell.
The proposals in the Green Paper include grants for local authorities that provide detailed five-year building plans. They will also be allowed to borrow money from the private sector and keep rental income. Town halls will be encouraged to build council homes for the first time in nearly 30 years, and social rented housing is expected to increase by 50 per cent from 30,000 to 45,000 a year.
Good houses don’t just happen at the click of a Prime Minister’s fingers - they will take time
But housing bodies and council chiefs complained that the Government had not provided enough money and that they would need at least £11 billion to fund the programme. There were also concerns that the extra £300 million announced by Ms Cooper to kickstart infrastructure was not enough.
Sir Simon Milton, chairman of the Local Government Association, welcomed the new council powers that would help to cut waiting lists. But he added: “To turn rhetoric into reality, the LGA estimates that the Government needs to invest around £11.6 billion in new, affordable housing over the next three years, rather than the £8 billion announced.
“Councils will be far from convinced that enough money is being made available for infrastructure. Sufficient funding for the roads, schools and hospitals needed to turn desolate dormitories into places where people can live and work is vital.”
In a Commons statement Ms Cooper made clear that the proposals would include a mix of social, private and council housing and that there would be no return to 1950s-style high-rise blocks.
Although a few of the growth areas are expected to be in the North, there were fears that many of the extra homes would be built in parts of the country that are already crowded.
Altogether three million homes should be built by 2020, 60 per cent of them on brownfield land. Restrictions on greenbelt land will not be relaxed, although there could be more building on greenfield sites. About 200,000 homes will be built on surplus land owned by the MoD, NHS, councils and other agencies by 2016. But there were no signs that the Government was prepared to subsidise public sector land for housing associations or private developers, as many experts had demanded.
Housing associations argued that as they are expected to match any funding allocated by the Government they would not be able to raise £8 billion in the three years to 2010.
The National Housing Federation said: “Attempting to meet the Government’s house-building targets with this flawed financial modelling could bankrupt the housing association sector within five years, and could easily lead to us making the same mistakes of the 60s and 70s all over again.”
Private builders will be discouraged from building up land banks and will be required to put up most of the infrastructure for a site within three years of gaining planning permission. Their accounts will also be open to scrutiny to uncover any hidden banks of land.
Roger Humber, housing spokesman for the National Federation of Builders, said: “The gap between the Government’s aspiration for more homes and the actual delivery seems as wide as ever. Little new money and nothing to improve the delivery of land through the planning system has been provided � and without more land, output simply can’t increase.”
Ms Cooper said: “Taken together, these proposals represent not just the most significant programme of house-building for decades, but an ambitious, positive response to the growing challenges that many people face in their day-to-day lives.”
Alan Ritchie, general secretary of Ucatt, the building workers’ union, said: “The Government’s commitment to build a far higher number of affordable homes is warmly welcomed and is long overdue. Hundreds of thousands of families in dire housing need will be relieved.”
Gulfnews: Low-cost housing urged as solution to soaring prices
Gulfnews: Low-cost housing urged as solution to soaring prices
By Cleofe Maceda, Staff ReporterPublished: March 20, 2008, 23:54
Dubai: Governments in the GCC should flood the property market with low-cost homes and impose price controls to help curb inflation, a senior bank official said on Thursday.
Doha Bank Group chief executive officer R. Seeth-araman said depegging from the US dollar is not likely to happen, as GCC governments have already started to adapt fiscal or policy measures to arrest soaring prices.
"Depegging is not going to happen. It's not in the cards as I see it now. Governments have resorted to low-cost housing construction. That's the solution that most governments are doing. They're also looking at the Rent Control Act. There are policy and fiscal measures taken," Seetharaman told Gulf News.
He said imposing a cap on food prices and housing rents, as well as building more affordable homes, is an effective way to cut inflation. Eventually, he added, housing rates will fall and food prices will be rationalised.
"You can put controls on rent and essential goods, which have already been attempted. It's just a question of time when the right kind of balance is achieved," Seetharaman said.
Outlook
"As far as the property market is concerned, the immediate prospect is to build many low-cost houses for the middle level. When supply outpaces demand, prices will be corrected. I foresee the supply of real estate rising over the next year. By then, housing prices will come down. When it comes to food, rationalisation of prices of some essentials is important," he added.
Inflation has been rising across the Gulf, raising government spending and threatening the competitiveness of the GCC region for migrant workers who seek to maximise their savings.
"Inflation is an integration of the economy into the globalisation mode. There are two main [factors] contributing to this. One is rent. Fuel is another. Then, there is the [dollar's decline], which is the essential resource for migrant labour. That is why migrant labour is now a costly proposition."
Tibet to allocate $62 mln for low-cost housing_English_Xinhua
Tibet to allocate $62 mln for low-cost housing_English_Xinhua
LHASA, March 22 (Xinhua) -- The government of China's Tibet Autonomous Region plans to allocate 465 million yuan (62 million U.S. dollars) for low-cost housing starting this year to improve living standards, especially for low-income households.
The money will be used to build 4,560 houses, which are to be completed by the end of this year, with floor space totaling 200,000 square meters, said Chen Jin, head of the Tibet construction department.
"Increasing investment in real estate has given people varied choices, such as low-rent houses, apartments, condos and townhouses," Chen said.
The per capita housing space for urban residents stands at 25.5 sq m. The area for farmers and herdsmen has reached 36.4 sq m, compared with 16.8 sq m before 2006, according to statistics from the department.
In a neighborhood in the northern part of Lhasa, Gaesang Namgyae, a company employee, lives with his family in a 160-square-meter two-story house. "My problem is, cleaning the 11 rooms is really tiring," he said.
In the county of Gongbo'Gyamda, Nyingchi, the local authority is carrying out a project to build brick houses for farmers and herdsmen who now live in rundown wood-and-earth structures.
Tibet plans to provide housing for 52,000 farmers and herders this year, as part of a project that began in 2006 to build homes for 220,000 households. The project, once finished, would mean housing for 80 percent of the region's farmers and herders by the end of 2010, Chen said.
Since 2006, the regional government has invested 6.6 billion yuan in the housing project, which benefited 570,000 farmers and herders from 112,000 households.
This year, the government will earmark 676.5 million yuan to help 52,000 farming and herding households move into brick houses or settle down from their nomadic existence.
07 March 2008
Housing construction costs in Yemen: Affordability & Purchasing Power - Middle East News
Housing construction costs in Yemen: Affordability & Purchasing Power - Middle East News:
The substantial problem of a housing shortage is becoming an enduring feature in Yemen. All the same, the response to housing needs was hasty. Construction projects were executed using inappropriate and costly construction and design practices resulting in low-quality housing, causing further escalation in construction and housing costs to prices beyond the financial reach of the majority of the population in Yemen. A report by Dr. Basel Sultan.Improving the construction and housing sector is essential for several reasons. First for economic reasons, the performance of the construction & housing sector has a considerable influence on the overall economy where it contributes seven to 15 percent of the Gross National Product (GNP). Secondly, for social reasons, because housing is a basic human need. Third, for environmental reasons in order to reduce the consumption of resources, especially energy, water and natural space, and lastly for political reasons, because success or failure in housing policy is directly felt by the majority of the population who tend to blame the new economic and political system for the lack of infrastructure, shortage of services and the failure of housing production. The production performance of the housing construction industry is determined, first of all, by demand, which is influenced by the following factors: housing prices, household income, housing subsidies, types of the finance or mortgage and tax systems.The construction industry in Yemen is playing its socio-economic role poorly and inadequately performing its role as a provider for suitable housing units and their associated infrastructure. Some noticeable activities and indications have demonstrated the difficulties that the Yemeni construction industry is having in coping with the rapid urban population growth, which has occurred over the last two decades, as well as the inability to provide substantial housing for low and middle income earners. Taken into consideration with the absence of housing subsidies, housing finance (mortgages) and indefinable housing policies, this has all led to the continuous deterioration of housing investments and conditions.Even though the income levels of the people are on the whole balanced with the rate of inflation through a rise in salaries, housing construction costs and time rents were moving beyond reach of the majority of the people, where housing rents have increased in a comparable growth rates. Given that the United Nations considers housing rent as unaffordable if it exceeds 30 percent of the average income, it can then be stated here that the cost of renting a house in Yemen has gone beyond the affordable limit of the average Yemeni's income. Owners and housing investors in Yemen justify this increase as a normal response to compensate for rising prices and construction costs. Construction indicators in YemenThe problem of the growing construction costs in Yemen is can be fully understood by observing the behaviour of the main construction and material costs along with the purchasing power and other economic indicators over the last two decades.World Bank statistics on Yemen reported that the contribution of the construction industry to the economy was only 4.2 percent in the year 2000, indicating that, if this low construction output continued to stabilize over the next few years, the construction industry's contribution will continue to be ineffective in terms of its support to the economy and the average standard of living. In nearly thirty years Yemen's economy has failed to change significantly, as the GNP per capita only increased from US $215 in 1975 to US $420 in 2000, an average annual increase rate of approximately two to four percent. This is considered very slow when compared to the local and international growth in prices.Since 1990, the prices of essential input construction materials such as steel, cement, cement blocks and ready mixed concrete as delivered to the site in the Sana'a area and as incurred by contractors increased by over 13 times. Similarly, the construction costs per unit area (i.e. cost of one square metre for normal type of housing units as incurred by the contractors in the Sana'a area) have increased from around 3,400 YR/m2 in 1990 to as high as 52,000 YR/m2 in 2007, clearly demonstrating that construction prices have increased by nearly 15.2 times. Equally, the exchange r ate increased by 14.8 fold in an analogous relation with prices, particularly during the period from 1990 to 2001. Conversely, it can be found that the daily rates of the unskilled labour for the same period have increased by only five times. Purchasing power per capita has changed slightly, still hovering around US $800. Local construction prices have therefore grown at a faster rate than the average income.In conclusion, the development of the construction industry is crucial for leading efficient construction activities and affordable housing, which in return should allow the construction industry to contribute positively to the economy and simultaneously raise living standards and purchasing power. Hence it is essential to stress that the current situation of inefficiency and un-affordability in Yemen imposes the urgent need to use appropriate economic solutions, cost-effective technologies and appropriate construction practices to bring the cost of construction down a level of affordability for the people. Furthermore, there is a need for regeneration in housing policies based on market information, culture and income to provide a sheltered environment for households, instead of succumbing to market forces. If development complications remain unresolved and no solutions are offered to tackle them, the approaches to achieving sustainable and affordable housing construction are expected to become increasingly difficult and the quality of housing will continue to deteriorate. The Construction Industry and EconomyInternational reports always state that the more developed the construction industry, the greater the contribution to the economy. Likewise, an increase in construction projects and higher purchasing power means affordable projects. Any reduction in purchasing power will correspondingly affect the construction industry; moreover, if the output of the industry falls, the total investment will decrease. In countries where construction contributes three to five percent to the Gross Domestic Product (GDP), the implication is that unless the construction industry grows faster than the economy as a whole, it might constrain national socio-economic development. This relationship between the construction industry and the economy makes it clear that the development of one sector cannot occur without the other, although a growing construction industry does not necessarily ensure a developing industry or economy. The increase in construction prices could, in fact, cause an artificial indication of the contribution of the construction industry to the GDP and economy. Given that the trends in construction prices influence the construction investment strategy of a variety of interested parties, ranging from private and public clients to construction contractors, property investors, financial institutions, and construction professionals, it is essential to have knowledge of extant pricing issues. For the general assessment of the construction and housing sectors in relation to economic development, knowledge and data are needed for key indicators such as per capita GDP, per capita Purchasing Power Parity (PPP), annual rate of increase in household's income, annual rate of consumer price increases, increase in construction costs, and other related indicators. Such knowledge and data can be used as a tool to compare and monitor the progress made according to the specific solutions required. Moreover, the obtainable data can be helpful to assess various options of policy formulation in the development process.Dr. Basel Sultan is a professor at Sana'a University's Civil Engineering Department in the Faculty of Engineering.
allAfrica.com: Rwanda: Housing - BCR Launches Mortgage Financing (Page 1 of 1)
Kabona EsiaraKigali
Rwanda Commercial Bank (BCR) has launched mortgage financing, paving the way for many Rwandans to generate individual wealth and own homes.
The funding comes at a time a World Bank study has discovered that Rwanda is short of houses by 25,000 units annually.
GA_googleFillSlot("AllAfrica_Story_Inset");
The study also discovered that only 20 per cent of the housing units in the country are planned, meaning 80 per cent of the structures are illegal.
The product: "Own your home mortgage finance" is the first of its kind in the country and is targeting all income groups, including; the low, middle and big income earners.
David Kuwana, BCR managing director said investing in modern housing is helping government in its development campaign.
04 March 2008
Property24.com :: Full Article
Cheap housing maker opens PE office2008/03/04
A company specialising in inexpensive construction technology for mass housing schemes has just established a new factory in Port Elizabeth.The inventor, Hennie Botes, said that the decision to open the factory was based on reducing production costs, in order to capture the affordable and low-income housing market. According to Botes this is achieved by consolidating the supply chain involved in the construction of a whole house, and to offer a comprehensive supply entity.Botes said that the concept came to him in 1986 while building a wall around his first home. The building process took up quite a bit of time and he investigated alternatives to reduce the construction time and still create a good quality wall.According to Botes Moladi is a low construction cost technology and has nothing to do with low-cost housing systems. The principle can be applied to any house, whether low-cost housing or for up market developments.The concept is unique in that it forms all the walls in a building simultaneously. It is can be adapted to various design specifications, whether they are schools, homes, clinics or factories whist maintaining design aesthetics for social acceptability. For more information contact Hennie Botes on 041 372 2152 or send an email. Click here to visit the website.
03 March 2008
Property24.com :: Affordable Housing Full Article
Property24.com :: Affordable Housing Full Article: "It will 'require a miracle' if the eThekwini municipality - which embraces Durban and its surrounding areas - is to meet its 'far-fetched' target of eradicating Durban's housing backlog by 2010, says the council's housing committee chairman S'bu Gumede."
moladi is your miracle - just contact us and be proactive - we have presented moladi to you on numerous occasions
allAfrica.com: Ghana: Affordable Housing (Page 1 of 4)
allAfrica.com: Ghana: Affordable Housing (Page 1 of 4): "Ghana has for the last three decades faced a severe national housing deficit. According to the available evidence there is a housing stock shortage of between 500,000 to 950,000 units in Ghana. We are not the only country in this crisis, but we are deeply affected by it."
Peter and Moses, this is what we have established moladiGHANA for!
19 February 2008
Developers to play key role in providing low-cost housing ->Emirates Business 24|7
Developers to play key role in providing low-cost housing ->Emirates Business 247
JUNAID: There is an influx of immigrants in the country, and most of them fall in the middle-income segment.
These people need houses and availability of easy mortgages will fuel growth.
JAVAHERI: Absolutely, there is demand for such housing as supply is absolutely non-existent.
There is a great deal of business potential out there that can be capitalised on.
SHROFF: There is a huge demand for affordable housing worldwide. And a section of population in every part of the world needs low-cost housing.
Time to invest in moladi!
