While housing developers are doing good business and Sri Lanka’s rich are buying and selling luxury condominiums for profit, most families can’t raise the money for even a basic house, according to the World Bank.
“Newspapers are full of real estate classified ads for both rental and purchase properties. At the same time, more than 80% of the households in Sri Lanka have no access to home financing, and about 7% are lacking homes. One third live in semi-permanent housing and 6% live in line room estates and shanties,” it says in a report on housing finance.
“Information on land prices for 2003 and 2006 obtained from finance companies showed that average land prices in 18 selected areas have increased by about 28%, with a growth range of 12% –71% annually,” says the report.
Source: Sunday Times