Mirpur, Uttara most sought-after areas for residence in 2023

Due to the convenience of communication and relatively lower prices, Mirpur and Uttara stood out as the most sought after areas for residence in Dhaka in 2023, according to an analysis.

Demand for these areas is primarily attributed to the improved transportation system, particularly the metro rail, say experts.

Although the prices are higher, demand for flats in the Bashundhara Residential Area is in third place on the list of preferences due to the good living environment in Mirpur and Uttara, the analysis shows.

According to the analysis conducted by Bproperty.com, a leading real estate portal in the country, highest 26.68% of people searching for residences in Dhaka are looking for flats at Mirpur, followed by 12% at Uttara, 8.36% at Bashundhara, 7.48% at Dhanmondi, and 6.24% at Mohammadpur.

Bproperty shared the analysis with The Business Standard.

From January to December 2023, Bproperty received demand from 65,000 customers. Based on the database, it conducted the analysis.

More than 60% of these people are looking for flats to buy while the other 40% preferred these areas for renting.

According to another analysis conducted during the middle of the year, Bproperty finds that 54% of the most demanded flats in Dhaka city are 1,500 square feet in size while 27% of customers are searching for flats for flats of 1,000 square feet in size. In the category of smaller-sized flats, the popular areas are Mirpur and Mohammadpur.

In 2023, alongside the demand for new flats, Mirpur also emerged as a preferred choice for those seeking old apartments. Among customers searching for old flats, 24% prefer Mirpur.

Bproperty Director (sales and business operations) Monir Ahmed Khan told TBS, the country's real estate market in 2023 faced many challenges, mostly due to a significant increase in construction material prices, casting a shadow over the industry.

Monir Ahmed Khan said the surge in construction material costs has led to a more challenging environment for both developers and prospective homeowners. "This has, in turn, created a silver lining for savvy buyers, as second-hand properties now present a compelling opportunity."

With prices relatively lower compared to primary properties, those who are looking to invest or secure a home can explore this avenue as an alternative to navigate the current market dynamics, he observed.

Why Mirpur is most preferable

People are now giving priority to Mirpur due to the relatively well-planned urban system, affordable prices and ease of connectivity due to the metro rail, say experts in the housing sector.

Samiul Hasan, head of marketing at Rupayan Housing Estate Ltd, said the metro rail has acted as a booster in increasing demand in Mirpur. "Apart from this, Mirpur has progressed in civic facilities, including establishment of better educational institutions and hospitals. Due to the growing demand we are also undertaking new real estate projects at Mirpur."

Besides, flat prices are relatively lower in Mirpur, he said. "While flat prices per square feet start from Tk15,000 in many areas in the city, prices at some places of Mirpur begin from as low as Tk5,000."

The reason for that is that there are still significant open spaces in the Mirpur areas while most densely-populated areas are running short of land for construction of properties, Samiul Hasan explained.  

Alamgir Shamsul Alamin, president of the Real Estate and Housing Association of Bangladesh (Rehab), said the sale of overall apartments has decreased due to a reduction in the purchasing power of people caused by inflation. "People, facing a decrease in income, are now looking for relatively smaller flats at slightly lower prices. As a result, there has been an increased demand in Mirpur and Uttara," he said.

Due to higher land prices and registration costs, flats in areas like Gulshan, Banani, Baridhara, Eskaton and Dhanmondi are more expensive, the Rehab president said. On the other hand, despite good communication facilitated by the metro rail, Mirpur's flats still remain within the middle-income range, he added.