Pricey property market but few sales in Sittwe: real estate agents

By DMG 10 Sep 2021

DMG Newsroom
10 September 2021, Sittwe 

Though property values in the Arakan State capital Sittwe have surged in recent years, few people are buying in a real estate market that has been described as pricing out would-be buyers. 

The prices of some mansions have exceeded K1 billion ($580,000), with the wards of Yupa (North), Yupa (South), Mi Zan, Pyi Taw Thar, Bauk Thee Su, Kyaung Tat Lan, Ta Yar Thee Su, Myo Thu Gyi, Maw Late and San Pya seeing particularly sharp rises in property values. 

But sales have decreased due to the rising property prices, said real estate agent U San Shar Maung.

“There are no sales. Most sales have stopped since 2020. Sellers are asking for the prices they want,” he said. 

A 40-ft-x-60-ft plot of land from Ta Yar Thee Su, Bauk Thee Su, San Pya and Myo Thu Gyi wards in Sittwe fetched more than K100 million in 2015, but prices have soared to more than K300 million since 2020. 

On the other hand, as more and more Arakanese living in other parts of Myanmar resettle in Arakan State due to the country’s volatile political situation, property prices might further increase, said U Khin Maung Gyi, manager of the Rakhine Economic Initiative Public Company. 

“Arakanese people living in other areas in Myanmar may buy property in Arakan State due to unrest there after the NUG [National Unity Government] declared a state of emergency. So, sellers can ask higher prices,” he said. 

Daw Khaing Thidar Saw from “Ah Saw” Real Estate Agency said as people offered to pay high prices for houses located on main roads, property prices had risen. 

“As buyers want houses located on main roads, they pay more than market price. So, sellers are asking higher prices and property prices have risen,” she explained. 

Only a few sales of lower-end properties have taken place recently in Sittwe’s Sat Yoe Kya and Kae Sae Yay wards, according to real estate agent U San Shar Maung. 

“A few properties worth around K10 million and K20 million have been sold. There is no sale for property with higher prices, such as property worth hundreds of millions [of kyats],” he said. 

The Arakan State municipal minister under the previous National League for Democracy (NLD) government told DMG that property prices in Arakan State had soared to more than three times the prices of five years ago, and that the state government had difficulties controlling prices. 

Further complicating matters, real estate businesses say the industry has been affected by difficulties withdrawing money due to banking issues, which have plagued much of the country following the military’s February 1 coup.