As more and more home buyers are looking for spacious flats, tenants are seeking more economical options – as if people are conserving their savings in order to attain something more
To rent or to buy – this is an age-old question that people, ever since the whole “home renting” concept was first introduced, have been asking.
Renting is more economical and allows a bit of flexibility in terms of changing needs, but it is also temporary and lacks the feel of ownership. On the other hand, buying can be costly, yet it provides that ownership we all long for, and the property becomes an asset for the buyer.
Both options have their own merits and both are fitting for different types of needs at different times. However, one might assume that the only major difference in buying and renting homes would be in terms of ownership status – but the numbers show otherwise. In fact, another major factor where renting and buying diverge on is the “demand” for different types of properties – i.e. size and room preference.
It is not far-fetched to assume that people who want to rent a particular type of property would also want to buy a similar type of property for themselves. However, as Bproperty found out from all the incoming property demands in 2019, people looking to rent and those looking to buy have quite different – almost inverse – preferences when it comes to buying or renting flats.
As more and more home buyers are looking for spacious flats, tenants are seeking more economical options – as if people are conserving their savings in order to attain something more.
Leaving the speculations behind, for now, it is clear that there is a schism between apartment buyers and tenants of Dhaka when it comes to preference. When the entire city is taken into account, more than half the total demand Bproperty received in 2019 was for apartments that are ranged between 1,001 sq-ft and 1,500 sq-ft in size. People are looking for roomier homes nowadays. And even with all the drawbacks, the builders, the developers and the individual property owners are responding to this need.
As it stands, there are over 3,500 active property listings on Bproperty’s website that match the preferred apartment size – although there is still quite a bit of deficit between the demand and the supply. On the other hand, when it comes to rental properties, the highest demand – about 56.93% – is for flats that are 1,000 sq-ft or less.
So, there lies the divergence: a bulk of buyers who want homes that are less than 1,500 sq-ft but over 1,000 sq-ft in size, while tenants who are looking for flats that are even smaller. The demand for these larger property size(s) among tenants is not low in any way either – around 29% or so.
Interestingly, when we expand the rental property demand data a bit and delve into room preferences, the numbers seem perplexing. Even though the majority of demand is for apartments that are 1,000 sq-ft or less, about 36.67% of all tenants want three-bedroom apartments. This results in a conundrum. “Do people want roomier space or more rooms in their homes?” The question is difficult to answer.
The numbers say that many tenants want an economical apartment that has quite a few rooms. However, a three-bedroom, 980 sq-ft home will not be as spacious as a 1,450 sq-ft flat after all – it may very well feel quite “congested” if they have the same number of rooms. However, the demand is there, as is the supply – to some extent. Places like Mirpur, Mohammadpur, Shyamoli, Dakkhinkhan, Nikunja, Rampura and even Dhanmondi have more than quite a few such homes available for rent at the moment. Such rental homes enable families to spend less every month, while still allowing for room to accommodate all their members.
But as mentioned previously, buying a home is more concrete and fixed than renting one. A buyer needs to consider and properly understand not only their current needs, but also their future needs. “How long will this property house the family?”, “Will it be enough as the family grows bigger?” – questions such as these need to be considered when buying, and that is why many are demanding larger spaces and more room to grow, which may fulfil any and all future needs.