Property Recovers Faster, Now is the Best Time to Own Property
August 30, 2022
Property is a sector that can withstand various challenges. Even though it has gone through several crises, the property industry in Indonesia has shown that the industry can rise and recover. In fact, the COVID-19 pandemic that had just hit and weakened the economy did not dampen the property industry. This is evident, for example, since the second quarter of 2020 until now, as the average growth in home sales has always been in a positive trend.
Currently, the results of the Residential Property Price Survey (SHPR) of Bank Indonesia indicate that the price of residential property in the primary market on an annual basis increased in the second quarter of 2022 by 1.72% (yoy). With this growth, the leading, integrated, and trusted property developer Agung Podomoro Land is very optimistic to continue to be committed to supporting the national economic recovery by focusing on revitalizing the Indonesian property sector.
The commitment of leading property developer Agung Podomoro Land is proven by his continued enthusiasm to invite the people in Indonesia to revive the economy and invest in property. Investing in property is one of the right decisions that people can make, especially in an economic situation plagued by high inflation like today. Choosing to invest in property must also pay attention to the right time.
The property industry does have its own cycle. The property cycle can be understood more easily by imagining a wall clock that is divided into four quadrants. The first quadrant is the condition when the market slows down. The main characteristics of this quadrant include the affordability crisis, the abundance of supply, and the decline in the price of construction materials. The second quadrant is when property market conditions begin to fall. In this second quadrant, the characteristics include declining valuations and the lack of property buyers. Meanwhile, the third quadrant is when market conditions recover. This can be seen, among others, from the high demand for rent, strengthening stocks, and rising property prices. Next, the fourth quadrant is when the property value becomes even higher and the market is enthusiastically eyeing the property.
Director of ERA Indonesia Darmadi Darmawangsa explained that “For optimum profit, we can buy properties in the second quadrant. Buy when the price is low, then it will go up again. The third quadrant is also a good time because property growth is visible, but the price has not soared. Now, we are in the third quadrant. So, this is also a good time to buy property,” he said.
Indonesia's largest property developer Agung Podomoro Land always wants to provide the best value for its property owners. As an illustration, Agung Podomoro projects have an average property value development of 1 percent per month or 12 percent per year. Some examples that can be given are Podomoro Tenjo City, which is located west of Serpong city and was launched in 2020. Two years later, in August 2022, Podomoro Tenjo City managed to sell more than 4,200 housing units. Likewise, Bukit Podomoro Jakarta in East Jakarta, in just 8 months (phase I) has sold 90 percent of its houses.
In addition to landed houses, the largest property developer in Indonesia Agung Podomoro Land, also has strategically located apartment projects that are its mainstay. Podomoro Golf View in the Cimanggis area is building Tower Ekki, a new tower in the Cikeas area targeting the premium segment of consumers. This tower is the fourth tower at Podomoro Golf View, after the previous three towers were sold out. In addition to this apartment project in South Jakarta, Agung Podomoro Land also offers Soho Pancoran, Small Office and Home Office in a strategic area of Jalan MT Haryono and only 50 meters from Tugu Pancoran, South Jakarta. Investing in an apartment is one option to invest in a promising property. This is because in addition to the property being a relatively more stable option than other investments, having an apartment for rent can be a promising business alternative.
The recovery of the property sector in the country, of course, makes property a very promising choice in the midst of current economic uncertainty. Currently, global economic conditions are increasingly threatening, ranging from high inflation in several countries, interest rates, to recession. However, you need to be sure, property prices also have the potential to continue to increase. Invest in property with experienced and reputable developers like Agung Podomoro Land. As a leading, integrated, and trusted property developer for more than 50 years in Indonesia, Agung Podomoro Land builds and designs properties so that you can enjoy Living in Style, both now and in the future. As stated by an American entrepreneur Marshall Field, buying real estate is not only the best way, the quickest way, the safest way, but the only way to become wealthy.