Business

Gloomy forecast for residential real estate sector

A steep 6%-8% rise in the price of construction materials, land for development and labor costs on the one hand and flagging demand on the other will put residential real estate developers in a double whammy next year, market research company GKI Rt and industry sources concurred. As a result, several small market players are expected to go out of business or merge into large corporations. While stamp duties will increase from January and some buyers have therefore hastened to complete the transaction before the end of the year, the panic buying witnessed a year ago is not repeating itself. (Vg 1) P.P.