Myanmar and Sri Lanka are highlighted as untapped investment hotspots by a new study.
Asian destinations such as Singapore and China tend to dominate investor lists of top real estate markets, but as concerns surround China’s cooling economy, investors are looking to other opportunities in the Asia-Pacific region.
According to property portal Lamudi, which specialises in emerging markets, Myanmar and Sri Lanka should be on their shopping lists for 2016.
As Myanmar has opened up to the outside world, prices in the country’s real estate market have surged, says Lamudi’s research, which names Yangong, the Southeast Asian nation’s commercial hub, as a major beneficiary.
“Changes are afoot in this frontier market, with a new Condominium Law allowing for foreign ownership of high-rise buildings passed in January,” explains Lamudi. “Moreover, after recent elections saw the National League for Democracy claim victory, hopes are high that the new democratic government will take further measures to stimulate real estate growth.”
Gampaha in Sri Lanka is another major recommendation, as many investors tend to target the country’s largest city, Colombo. Gampaha, though, is the second most searched-for Sri Lankan city on Lamudi, with searches rising during 2015. With low prices in the face of high demand, it has emerged as a commuter favourite for those working in Colombo.
Chittagong in Bangladesh is highlighted for its strategic location, booming infrastructure and overall economic growth. Development is well underway in the seaport city, with infrastructure projects in the Chittagong region now totalling more than $7 billion.
“Chief among them is the proposal to build a road linking Chittagong to Kunming in southwest China, via Cox’s Bazar and Myanmar. It comes as no surprise, then, that the city’s property market has shown rapid growth in recent years, with this expected to continue into 2016,” adds the report.
Lamudi also singles out Boracay in the Philippines and Surabaya in Indonesia are two promising choices.