Property Price Rise By 30% In 6 Months

Jakarta - The average price property in general in Indonesia has increased over thelast 6 months in 2011 to 30%. Factors that did not offset the high demand for an adequate supply becomes a major factor this price increase.


This was conveyed CEO Property Leads to detikFinance Hendra Hartono, Thursday((16/06/2011)

"Property prices rose rapidly exceeded (expectations) per year 10-20%, is now up to 30%, imagine in a two-quarter," he said.

Hendra explain this increase applies generally to all property market sectors such asretail to residential, office, commercial and industrial land such as conservation of land. The highest increase occurred in the retail segment in particular residentialapartment sector's 30%.

"The economy is growing too, that happens there is a high purchasing power of the community. Developers to raise the price was reasonable," he said.

According to Hendra with an increase of up to 30% during the first and secondquarter 2011 then if the calculated average increase in property prices have risen15% per three months. This condition, continued Hendra, could be positive if thepeople's purchasing power continues to develop in line menggeliatnya domesticeconomy.
 
Regarding the chances of a bubble in the property sector today, according to theHendra is very much depending on government policy that did not happen like in the U.S. a few years ago. Hendra added the most important thing government can control the balance between the interest rate with the demand and supply, includingoverseeing the high potential for bad credit housing.

"This is related to control government policy, if prices keep rising but if the economy improves okay," he said.

It is said Hendra, Indonesia's macroeconomic condition is currently very good,underpinned by political stability, increased purchasing power. So no wonder thatover the last two quarters of this no matter what the existing supply of property is stillabsorbed.
(hen / dnl)


from: www.detik.com