Current Situation of Real Estate Post-earthquake in Nepal

Current Situation of Real Estate Post-earthquake in Nepal

On the 25th April, an earthquake of 7.9 magnitudes struck central Nepal. More than 8000 people died, about 23 thousand people were injured, 5 lakhs physical properties were damaged. More properties were damaged in Kathmandu Valley and in villages of central Nepal.  Most of the properties collapsed due to the unmanaged construction and old ancient buildings in Kathmandu. Kathmandu also lost its valuable ancient architecture such as major durbar squares and temple structures due to the earthquake, which is now under construction and some structures are almost back to their form.

The real estate scenario in Nepal has been emerging since the 1980s. Due to rapid urbanization of cities and due to the trend of migrating from rural to urban areas, real estate in cities is getting new height post-earthquake. Because of the destruction of old and weak buildings during the earthquake, builders and developers got the opportunities to expand their business, and now people also have a reason to move to new construction such as housing and apartments.

People believe pre-earthquake buildings and houses have become weak so they are in search of newly constructed houses and even land to build new construction which has increased the investment in the real estate business. The Nepal government banned new construction in the earlier stage after the earthquake but later the government formulated different policies regarding earthquake resistance re-construction.

Likewise, apartments are constructed under international technology which is earthquake resistance in nature. Developers are using house design firms, structural firms, geotechnical analysis division as their backbone. It’s smarter to invest in apartments than an individual house with more facilities and security, so people who are looking to invest need to have open options for apartments and colony houses. 

Investing in real estates such as land, house and apartment is growing not only for self-consumption but also as another stream of income. Despite the strict NRB policy 2016/17, the real estate market is still flourishing. Just like tourism in Nepal, real-estate investment has also been one of the massive business opportunities in Nepal. There are three main ways to make money from real estate. Since the price of real estate is increasing day by day you can make money with an increase in value. You can earn from rent by leasing your real estate. Likewise, you can stand your own business on your real estate and can earn benefits from that business.

In conclusion, real estate after the earthquake is upgrading day by day. Due to the earthquake,  people got the reason to move into new areas or in new construction. With an increase in migration, people started to search for new land and houses. Construction and real estate companies are considering “earthquake” as an opportunity to expand their business. Since real estate business is not stable because ups and downs are the common factors in real estate business.

If you are thinking of entering the real estate business, you should seek some advice from experts who have been in this business for a long time.

You can always contact Basobaas.com for consultation.

Hope you like this article. Please share this on your social media.

Thank you for reading.

Related Posts
article-image
article-image
article-image
article-image
article-image