Urbanisation Affects Property Prices

Oct. 3, 2017, 6:22 a.m.


MOUNTING pressure on urban areas continues to hike property prices, saturating the property market in the past five years, particularly the Suva to Nausori corridor.

While opening the recent Fiji Institute of Valuation and Estate Management (FIVEM) conference in Lami, President Jioji Konrote said this trend was affecting the affordability of housing for average and low income earners.

And he added that while Government was finding ways to address this, the FIVEM had to play its part, especially as Fiji’s urban population was projected to swell from 51 to 60 percent of its total population by 2030.

“How the property and housing market plays out depends largely on the integration of Government, landowners or landlords, property developers, the financial sector and property professionals like you,” President Konrote told FIVEM members, adding that with the current situation, it was imperative all stakeholders focused on creating a healthy environment, conducive to affordable housing at equitable prices.

“Whilst the National Housing Policy has been drafted to create a framework with a vision to provide “Affordable and Decent Housing for All”, the pressure on issues of market saturation and polarization of house prices is an equally real and imminent threat to socio-economic cohesion and prosperity that needs to be dealt with holistically.”

Legislations to protect municipal boundaries have also been designed to stabilize and land and property market by avoiding a housing bubble and providing opportunities to grow based on economic strengths.