JAMAICA REAL ESTATE -JAMAICA

[Holland]

Are housing prices going up in Jamaica or is it still pretty much unchanged the last 5 years? Furthermore, is it recommended building or buying a finished house?

I have been looking for houses in gated communities like St. Mary country club and in Orange bay country club, but will also consider buing a piece of land and build...

[maroon]

Now is the time to BUILD!
published: Jamaica Gleaner Sunday | June 12, 2005

Dennise Williams, Staff Reporter


VALERIE LEVY

WHILE MANY would- be homeowners feel a sense of despondency in this era of rising residential real estate prices, there is a ray of hope.

The key is to think build, not buy. A constructed home in the more desirable locations will cost you. Why? Because you have to pay not only for the good reputation of the area but for the developer's or the previous homeowner's mark up.

And, although not a new concept in the Jamaican context (who doesn't have a relative or friend that has built his or her dream house?) building one's own home must now be revisited as prices remain out of the reach of many.

Sunday Business visited realtor Valerie Levy and her team at a new development, Hidden Valley -- which has some 60 serviced lots -- in the Smokey Vale area.

Her advice to would-be homeowners is two-fold.

First, be realistic. "Jamaica is a mountainous country. In many other countries, the choice properties and lands are in the mountains. We have to get over the idea of being on the flat."

Next, Mrs. Levy says, the time to buy is now. "If you can't afford a house, buy land. As the available land space becomes less, land becomes more expensive. If you have capital, act now. You are not going to lose. All you have to do is pay the taxes on the land and if you buy in a good location, the land will continue to appreciate while you wait to have enough money to build."

SERVICED LOTS

She emphasises that prospective buyers should save themselves the headache by purchasing serviced lots which have amenities in place such as electricity, drainage, water connection, fire hydrants and so on. She notes that these amenities are already in place at Hidden Valley which has the potential to become a gated community.

The lots at Hidden Valley start at $2.8 million. This of course, is just one of the many land opportunities presented for far-sighted individuals.

BUY LOTS

A look in the newspaper will show opportunities to buy land and take time to build your dream home. There is also your friendly neighbour realtor that can point you to lots for sale.

And this strategy is one that must be adopted quickly, as in Jamaica, especially in Kingston 6, 8 and 10, the real estate prices tend to head in one direction ­ up. Many have confessed to wanting to give up when they realise that a property going for $9 million is a 'bargain'. But properties in the $5-$8 million price range are rare.

And for those still not convinced that buying lots and building your own home is the way to go, Mrs. Levy has this sobering piece of information. "The trend now is for square footage to be less. Three years ago, for $10 million you could get a new home-sized 1,700 square feet. Now, you are going to get an average of 1,200 square feet."

For those ready to build their own home, realtor Anya Levy gives the following advice. "Assemble a team. This team should include an architect, a quantity surveyor and a good contractor. Many people try to do things themselves and get into a heap of trouble. You are not going to save money by leaving out the experts."

For those who insist on buying constructed homes, Mrs. Levy has this advice. "if someone is determined to buy a finished house, piggyback on the National Housing Trust, building societies and the credit unions."