RE/MAX Jamaica upbeat on local property market ahead of first real estate confab in April

Entrepreneurs looking to tap into Jamaica’s real estate market or individuals wanting to purchase their first real estate property will get to network with experts in the field during the inaugural RE/MAX Jamaica Conference & Expo 2024 in April.

The three-day event, which will take place at the Jamaica Pegasus hotel in New Kingston from Sunday, April 14 to Tuesday, April 16, will provide a forum for professionals, stakeholders, investors and the public to engage and share a wealth of knowledge to utilise the opportunities provided by the industry.

Donalda Daley-Martin, Regional Sales & Relationship Manager at RE/MAX Elite Realty, who was speaking at the official launch of the event on Wednesday, January 17, said the revolutionary three-day event will also provide an opportunity for leading companies in partner industries to showcase their products, technology and services.

“Also on display will be some of our finest listings posted by our RE/MAX clients. From a spike in luxury real estate development to an increasing emphasis on environmentally friendly and energy-efficient construction, there are a variety of themes affecting people’s trends influencing the Jamaican real estate scene,” she said.

The event will also feature presentations by local and international real estate experts.

“It is also a real estate conference providing an opportunity for leading local and international real estate experts and practitioners to share some insights on the happenings and opportunities within the sector that may be an interest to local real estate practitioners and opportunity seekers to our investors or career seekers,” she added.

O’Neil Kirlew, Country Manager of RE/MAX, says the local real estate market remains a sure way to achieve financial stability and create generational wealth.

“With savings providing less than 1 per cent return per annum and low yields being offered by other financial instruments, real estate investing provides a more secure and higher return on investment. Average rental yields in Jamaica typically start at six per cent and can be easily surpassed. In addition to the continuous appreciation of the housing values as inflation eats away at savings and income in the Jamaican context, investors look to assets that will preserve the value of their money,” he explained.

Kirlew shared that the value of the real estate market is projected to reach US$93.95 billion this year.

“Residential real estate dominates the market with a projected market value of US$76.73 billion in 2024. The value is expected to show an annual growth rate between 2024 and 2028 of four per cent, resulting in a market volume of approximately US$109 billion by 2028,” Kirlew revealed.

He says Airbnb bookings increased by 55 per cent in 2021, moving from J$193 million in 2020 to J$300 million in 2021.

“Owning real estate in Jamaica can yield almost 60 per cent in revenue in any period over five years. This figure is evident based on the recent appreciation of Jamaican real estate. Purchasing properties in Jamaica is, therefore, one of the most profitable long-term investment options,” Kirlew added.

More water for Kingston and St Andrew

Matthew Samuda, minister without Portfolio in the Ministry of Economic Growth and Job Creation, says as the local real estate market continues to expand it requires continued investment in local infrastructure.

Acknowledging the current water challenges across the island, Samuda says plans are now in place to increase water supply in the corporate area with the construction of the new Rio Cobre Water Treatment Plant in St. Catherine.

“In February on the 16th, we will break ground formally, physically not the typical ceremony and you throw some dirt behind it, but with tractors, construction starting on a project that has been spoken about some 40 years ago in the Rio Cobre Water Treatment Plant,” Samuda said.

He underscores that the plant is set to provide 15.5 million gallons of water to Kingston and St Andrew daily.

“So in the worst of your droughts, you have already made the arrangements to ensure that within the 24 months or less you have 15.5 million of gallons available that deals with your current population size,” the minister stressed.

The minister says an additional two million gallons of water will be provided by a well near Marescaux Road in Kingston.

“Last year, we started the rehabilitation process and in testing the water I can tell you that the tests are excellent. The results are excellent coming from Ministry of Health that will provide some 2 million additional gallons of water largely from the area of KPH [Kingston Public Hospital] stretching into Vineyard Town another area that we know is prime for real estate,” Samuda said.

Courtesy of OUR TODAY.