FCTA cautions property owners against patronizing touts in AGIS

The Federal Capital Territory Administration (FCTA) has called on all property owners in the territory that have any transaction with the Abuja Geographic Information Systems (AGIS) or the Land Administration Department of the FCTA to desist from patronising touts.

The FCTA Director of Land Administration, Adamu Jibrin Hussaini, made this call in his office after appraising the work of staff interfacing with the public.

In a statement from the AGIS, Hussaini observed that touts had been surreptitiously positioning themselves claiming to be serving as intermediaries between the office and the public.

Click here to watch weekly episodes of our Housing Development Programme on AIT

The director observed that the illegal activities of the touts were sending negative impression to the public and must be immediately stopped.

He advised the public to disregard any demand for money by anybody who claimed to be an agent to facilitate any kind of transaction; including application for Power of Attorney, Legal Search, Deeds Assignment, Deed of Release and or Legal Mortgage.

He emphasised that processing of applications in AGIS did not attract any other charge except the official processing fees stipulated by AGIS, and therefore, advised property owners and would-be property owners that had anything to with AGIS to be wary of activities of touts because they were impostors.

Source: Daily Trust

Should construction companies learn from their in-house data?

The construction industry involves a lot of data, from pre to post-construction. This involves construction data revolving around the planning stages, construction site information, accounting, workflow, job cost management, project management and much more.

However, while a lot of information exists that contractors could use to save time and money, this information remains underutilized because of the lack of the right tools to collect and analyze data in ways that would have significant project results. Fortunately, this is now all about to change.

Click here to watch weekly episodes of Housing Development Programme on AIT

How to get the best out of your construction data

Contractors are now discussing and considering different solutions and visiting construction software conferences, with the entire industry  looking for more efficient ways to get smart about data. So what factors are necessary for subcontractors to get involved in construction data analytics technology and software?
A better overview about your project will naturally save you both time and money on current projects. But it will also help in terms of your future projects. Here are some of the major advantages:

  • Contractors can obtain a comprehensive suite of solutions for the entire company, allowing you to control every step of the process. You can imagine how many project movements take place during the day. But you can reduce these moves to a minimum, saving yourself and others a lot of time in the process.
  • All contractors can benefit from data tracking analysis. True data analytics is more than simply tracking down job costs and cash flow. Data analysis can also prevent future problems and risks to your business, as it allows for far more accuracy in future projects with increased efficiencies. Analyzing data results in better plans and predictive analyses, and being on time and in total control over your budget lends you a good reputation, which in turn leads to a higher number of clients. In other words, while
  • data analytics can solve your project tasks and problems on a current project, it will likewise help to make predictive analyses with more and better insight for the same kind of projects in the future.

To take full advantage of data analytics software, you need to understand the right tools for the job as well as your bottleneck.

A construction management software or ERP solution could be essential in order to stream your data across the company.

From project management to accounting, all processes need to be in order. A software solution or internal ERP system can help to communicate with different parts of company units, thereby using collected and stored data more efficiently. From that data analysis, everyone can work with higher success and provide good values for business models. An ERP system and construction data analytics solution can demonstrate hidden values that remained previously unseen.

One important question remains: what can be done with that data and what can be done to improve overall effectiveness, saving your company time and money? This question is being answered by firms who are hiring professionals to get the most out of the business intelligence process.

These new and highly efficient software solutions and tools link all units with different, often complex operations into one integrated system. The solutions provide excellent support, from small building projects to large, with such an innovative approach ushering in a new era for the construction data industry.

Source: oilvoice.com

Japan: Construction sector tries to defy demographics with data

Blue-collar workers can afford to be picky when considering job prospects thanks to Japan’s historically tight labor market. That means few enter construction, where the hours are long and the pay is relatively low.

The Fund for Construction Industry Promotion, a trade association, has a plan to draw more laborers to the business. In April it will roll out a new database that will aggregate workers’ experience and qualifications to help match them with employers. In addition to smoothing out personnel transactions, the system’s creators believe it will lead to better pay and working conditions.

Click here to watch weekly episodes of Housing Development Programme on AIT

Construction has been particularly hard-hit by Japan’s labor shortage. Manufacturing, which offers higher pay and shorter working hours, attracts more workers.

The construction sector’s problem will only worsen as Japan’s population ages. A government study projects the country’s workforce to shrink 20% by 2040, and few young people are eager to join the trade.

The new database is expected to help workers employed by low-level subcontractors who are stuck with low pay and few benefits.

These laborers often sign up for temporary, irregular work, making it difficult for other employers to evaluate their expertise. With all of their experience accumulated in one place, companies will be able to actively recruit talented workers at higher pay. Better wages may also help attract younger recruits.

“This system is a great opportunity to get more young workers into the industry,” said Takashi Ueda, who overseas the construction site of an office building in Tokyo.

55 different specialties will be recorded in the system, so if there is a regional shortage of scaffolders, specialists from another area could look for jobs there.

“If we can gather a lot of data, benefits may emerge that we hadn’t even thought of,” said a manager of the database at the trade association.

The system, which is currently operating on a trial basis, has already registered about 17,000 workers. The association hopes to have 1 million registered within the first year of operation, and all of the industry’s roughly 3.3 million workers within 5 years.

Source: asia.nikkei.com

Is virtual reality the future of building construction?

40% of architects and designers say technology will have biggest impact on the  industry in next 18 months.In fact, technology was identified by 40% of research respondents as having the biggest impact on the design process in the next 18 months, followed by a renewed focus on fire safety (28%) and new regulations (23%).

The study surveyed 250 architects and designers across the UK to gauge their opinions on the use of technology in the design process, their use of flame in projects, and the overall challenges faced.

Click here to watch weekly episodes of Housing Development Programme on AIT

Three quarters (74%) of architects and designers are already using digital technology to visualise projects during the building process, while a further 20% don’t currently use it but seek to do so in future.

Just more than one-third (34%) believe smart technologies are already influencing the industry, 23% said they believed trends like virtual reality would impact in the next six months, and 24% said augmented reality would make its mark in the next 18 months.

“There’s little doubt that technology is making the lives of architects and interior designers easier. But what the research shows is that technology adoption isn’t slowing down, with respondents placing a strong focus on virtual reality, augmented reality, and other technologies such as robotics, 3D printing and modelling and even the use of drones in the short and longer-term future”

“This focus on technology, and indeed the appetite for it, is reflected in our own business, with a lot of demand for flame technology and flame effects as an alternative to real flame installations.”

The majority of respondents (78%) said they had concerns over including flame in their projects, but 53% noted if safer technology was available, they would reconsider.

Source: pbctoday.co.uk

FCTA gives property owners February deadline to pay ground rent

The Federal Capital Territory Administration (FCTA) has called on all property owners in the territory to pay all outstanding ground rents and sundry bills before the end of February, 2019.

The FCT Director of the Abuja Geographic Information Systems (AGIS), Dr. Isa Ibrahim Jalo, made this call in his office at the weekend.

In a statement from the Information and Customer Service of AGIS and signed by Sule Haruna, Dr. Jalo said the payment of ground rent was statutory for all land and property owners and must be respected or enforced.

Click here to watch weekly episodes of our Housing Development Programme on AIT

Dr. Jalo said there were stipulated sanctions spelt out by the law for all defaulters of such payment, including outright revocation of titles.

He warned that the law was blind and therefore not a respecter of anybody; stressing that all defaulters would face the full wrath of the law.

He said the FCTA had indeed given one month grace for all property owners in the FCT to pay all accrued ground rents and sundry bills, including arrears, to clear them forthwith.

“There is no basis for plot allottees, property owners, as well as beneficiaries of the sale of Federal Government houses in Abuja not to pay their bills because such payments are being used for infrastructural development and provision of services,” he added.


Source: Daily Trust

Just 9.1% of America’s construction workers are women— Report

Sinade Caroll was on her way home from nursing school one evening six years ago when she saw an ad on the New York City subway for Non traditional Employment for Women(NEW), an organization that trains women for careers in construction, utility and maintenance trades.

“I didn’t know that women were construction workers, or that women were actually in these fields where there are mostly men,” the 26-year-old says. “I didn’t experience that growing up and something told me to call the program.”

Caroll had earned her GED in 2011 and was hoping to find work as a medical assistant after nursing school. But she called NEW to learn more, and says she realized immediately that she had found the right career path for her. She quit nursing school and enrolled in the organization’s eight-week apprenticeship program, where she learned everything from how to accurately read a measuring tape to how to lift heavy materials without getting hurt.When her apprenticeship was done, Caroll joined the New York City District Council Carpenters Union and found a full-time, paid job as a construction worker within two weeks. At her current job, she says, her role is “putting up the sheetrock and framing hardware ceilings.”

The construction industry is expected to see 12 percent employment growth between 2016 and 2026, according to the Bureau of Labor Statistics, and as the industry continues to face a worker shortage, many state legislators and professional organizations are doing all they can to bring more women like Caroll into an industry packed with diverse opportunities and the potential to earn strong wages.

Currently, women make up 9.1 percent of the U.S. construction workforce, and earn an average 95.7 percent of what their male counterparts make, according to The National Association of Women in Construction (compared with the average 82 percent  women earn of what their male counterparts make across industries.)

The average annual salary for construction workers in the U.S. in 2017 was $38,890 according to the Bureau of Labor Statistics (BLS), though pay varies based on experience, job title and location. U.S. News & World Report found that in other construction roles, including structural iron and steel workers and construction managers, average salaries climbed as high as $101,000.

Of the women currently employed in the construction industry, 45 percent are in sales and office roles, 31 percent are in professional management roles, 21 percent are in natural resource, construction and maintenance roles, 1.5 percent are in service occupation roles (including cleaning and maintenance jobs) and 1.4 percent are in production, transportation and material moving roles.

Schillivia Baptiste, who owns the construction firm Laland Baptiste, says that as a kid who loved STEM classes, she had no idea that she could find a career in construction as an engineer. Her introduction to the industry came in high school when she attended a summer program at Manhattan College and learned about the different type of jobs you could get with an engineering degree.

She earned her bachelor’s degree in civil engineering from New York University Tandon School of Engineering (formerly the Brooklyn Collegiate and Polytechnic Institute). In college, Baptiste interned for the New York State Department of Transportation as a transportation construction inspector and at the Port Authority of New York & New Jersey as a traffic engineer. When she graduated, she worked at a private civil engineering firm in Huntington, New York, for 13 years, doing site development work.

“I think there is not enough introduction at the elementary and middle school grade age of what young girls can be,” says Baptiste, who links the industry’s scant female workforce to a lack of early exposure. “I think it starts there, and before you get to high school you’re choosing a high school that has something you want to study and then by the time you get to college you’re able to make a decision and say, ‘OK, this is what I want to do.’”
Bringing more women into the industry

Professional organizations, vocational training programs and lawmakers all have vital roles to play in bringing more women into industries like construction that have historically been predominantly male.

NEW, the workforce development program that helped Carrol launch her career in construction, was founded 1978 and works primarily with low-income women from the five New York City boroughs. Through partnerships with labor unions, contractors and the government, NEW has helped more than 1,300 graduates find stable employment as electricians, carpenters, plumbers, painters and iron-workers since 2005.

In Massachusetts, the state Gaming Commission has been proactive about the opportunity to build gender diversity on new casino construction projects, passing a legislative mandate for casinos to increase workforce diversity. The mandate requires licensees to put women in 6.9 percent of the construction jobs.

“In order to make this work, you have to have a kicka– champion, and you’ve got to kick these doors down,” Steve Crosby, then-chairman of the commission,said.

The commission has been tough about enforcing the mandate. Crosby said that enforcing the mandate hadn’t been easy, but the commission followed a strict protocol to ensure that organizations were complying.

“We go union by union, contractor by contractor — ‘Do you have that? Have you met the target?’” he says. “If you are an outlier — somebody else is doing 8 percent women and you’re doing zero percent women — we call you out.”

Even as CEO of a company she founded, Baptiste says she’s had several encounters where she had to prove herself as a leader at work.

“Graduating as one of five females in my class, it was the beginning of a world where some males only see you as an assistant to someone, or the secretary to someone else,” she says. “It’s always interesting going into a meeting where they are like, ‘Who’s Baptiste?’ and I’m like, ‘It’s me.’”

“I’ve had opportunities where I’ve had to manage males, and you can sense them being uncomfortable with my authority or sense of knowledge,” she explains. “But my goal stays the same, and that is to train them, share that knowledge and help them be able to function in their position and overall on their team.”

Amanda Gray is a national architectural and commercial account manager for The Dow Chemical Company. She says that as an executive in construction, it’s not uncommon for male colleagues to doubt her credibility.

She recalls a time when she was leading a meeting, the only woman in a group of 14 people at a job site. Gray started talking about the technical details for an upcoming project when a male consultant stopped her and asked, “Ma’am do you even know what the cut section of a building is?”

Gray says she started laughing, because he was challenging her knowledge of one of the most basic aspects of construction. “Everyone around us started laughing as well,” she says. “The good thing is, you know, I had built credibility with these people in the past and someone stepped in and said, ‘I can’t believe you would ask her that question.’”

Though these attitudes about women in construction persist in some corners, Gray, Baptiste and Caroll all say that overall, the industry is becoming more diverse and more welcoming to women. In fact, Caroll says that in her experience in the field, she’s seen a 2:1 male-to-female ratio on some of the construction sites where she’s worked — a significant jump from previous years.

Baptiste says that for women who are interested in entering the field today, there are many organizations that can offer them assistance and mentorship. She notes the support she’s received from the national organization Professional Women in Construction. She says she’s been part of the group for several years, and it’s been an important source of industry contacts and potential clients.

“There are a lot of organizations like Professional Women in Construction that provide mentorship, networking and opportunities for growth and business development to women in the industry,” she says. She advises anyone interested in construction to find a local support group to join. ”[These organizations] are not only for you if you’re an owner, but even if you’re just an intern in college, in high school or just starting out in the industry.”

Source: cnbc.com

Uzbekistan Introduce New Reforms For Construction Industry

The construction industry in Uzbekistan is undergoing significant changes following the enactment of Presidential Decree from November 14, 2018 No. UP – 55771 (“Decree”). The Decree introduces new procedures for project appraisal, construction and commissioning processes, and covers issues concerning licenses, certification, land allocation, tax benefits and modification principles of current norms. Some changes have been in force since December 1, 2018. Others will take effect in the nearest future.

Allocation of land

From January 1, 2019, expenses incurred as a result of tardy or undue allocation of land for construction are subject to reimbursement at the expense of local budgets, with subsequent recovery from the person responsible in recourse. Such responsible parties are relevant khokims (heads of local municipality offices). Their personal responsibility is being introduced for the timely and proper allocation of land for construction, as well as for the prevention of construction and installation of objects without reference to the approved master plans for districts (cities) or land allocation schemes (in the absence of master plans). These changes aim to eliminate the cases when objects are demolished and their owners are left with no compensation after the land is regarded as being unlawfully allocated by state organs.

Certification and Licenses

From January 1, 2019, certificates and licenses for engineering and construction activities issued by authorized agencies of member-states of the Organization for Economic Co-operation and Development (OECD) will be recognized in Uzbekistan.

From March 1, 2019, the Association of Consulting Engineers of Uzbekistan (the “Association”) will carry out the certification of specialists in the field of design and construction. For legal entities to render engineering services, they need to have at least two in-house certified engineers in their staff. This requirement does not apply to members of the Association. Moreover, author supervision, technical supervision and construction inspection of buildings will be carried out only by specialists certified in the prescribed manner.

From July 1, 2019, the licensing procedure in the sphere of engineering and construction will exclude the need to sign a license agreement, as an effective mechanism for verifying the compliance of the licensee applicant with the license requirements and conditions prescribed in the law will be formed.

Click here to watch weekly episodes of our Housing Development Programme on AIT

Tax benefits

After the enactment of the Decree, subcontractors, including foreign ones, and investors fall within the category of entities that are exempted from payment of value added tax on works (services) performed by non-residents (VAT) until January 1, 2021. They are eligible for tax benefits when (i) investors are involved in the implementation of “Business city” projects, including “Tashkent city” project and (ii) subcontractors implement “Business city” projects, including “Tashkent city” project, on EPC basis utilizing “fast-track” method. The Decree expands the existed list of entities enjoying VAT exemption and now, the exhaustive list comprises general contractor, general engineering organization, subcontractors, including foreign subcontractors, and investors

“Fast-track” method

EPC-projects (Engineering Procurement Construction) may be implemented through “fast-track” method since December 1, 2018. This method infers the creation of consortium3 of engineering and construction organizations (where each participant retains its separate legal status) that implements the project by simultaneous engineering, procurement and construction rather than splitting the named processes on subsequent steps. Consortium members share responsibility for the high standard and timely realization of projects. Shared responsibility allows creditors to claim all damages from any consortium member.

BIM technology

From July 1, 2019, the usage of BIM (Building Information Modeling) technology for all participants (customer, engineer, and general contractor/subcontractors) of the construction process will be obligatory. BIM is an intelligent 3D model-based process that gives architecture, engineering, and construction professionals the insight and tools to more efficiently plan, design, construct, and manage buildings and infrastructure.

Expert appraisal

Since December 1, 2018, the cost estimates for construction projects involving objects being built at the expense of direct investments or foreign direct investments are no longer subject to mandatory expert appraisal.

Current legislation provides for two types of examination: comprehensive examination and examination of town-planning documentation. Comprehensive one is a more complex examination and mandatory only in particular cases of investment and infrastructure projects, while examination of town-planning documentation is the essential part of all construction projects. The Decree alters the examination process in the part of cost estimates expert appraisal. Now, the source of funding becomes the main criterion when deciding whether to apply expert appraisal of the cost estimates. If the construction is financed by the state budget or through a legal entity that has a state shareholding (centralized investments), then expert appraisal of cost estimates is required. On the other hand, the presence of direct private or foreign direct investments excludes such a requirement.

The comprehensive examination is mandatory to projects financed by direct investments or foreign direct investments when:

  • the project is implemented on the basis of Presidential Decree of Uzbekistan that provides for certain tax benefits without the involvement of international financial institution or foreign state financial organization;
  • the project includes the extraction and/or processing of strategic minerals (precious, non-ferrous, rare and rare earth metals, hydrocarbons, coal, uranium).

As the legislation does not explicitly specify the type of examination that shall adopt altered requirements for cost estimates expert appraisal, the supplementary regulations may clarify this issue. If the new regulation extends the application of these changes to the comprehensive examination, the above-mentioned projects will not be obliged to apply expert appraisal for cost estimates.


Prior to the December 1, 2018, the commissioning procedure was exercised in two steps: firstly, by working committee and then, by the state committee that comprised of a number of representatives. Starting with changes, the two-stage procedure is now transformed into single-step and the number of participants in the state committee has been significantly reduced. Now, the following entities are the only participants of the state commissioning: construction verification inspection under the Ministry of Construction, cadaster authorities, the employer (customer) and general contractor.

The commissioning procedure of objects that are built at the expense of entities involved in public procurement is not subject to these changes.

From January 1, 2020, projects for residential objects must foresee the installation of energy-efficient and energy-saving equipment at the engineering (designing) stage. After the construction is complete and objects are equipped, an energy audit passport must be received prior to the commissioning. In order to acquire an energy audit passport, independent private company providing professional energy audit services must be hired. This requirement is not applied to the buildings certified by international BREEAM4 (Building Research Establishment Environmental Assessment Method) and LEED5 (The Leadership in Energy & Environmental Design) standards.

Delegation of Authority

From the beginning of 2019, some powers of the National Agency of Project Management (NAPM) have been transferred to other State authorities:

  • authority for regulating issues concerning the public procurement – to the Ministry of Finance;
  • authority for licensing the activities of the project organizations and for accreditation of individuals performing the examination of construction projects – to the Ministry of Construction;
  • authority for exercising state regulation of the valuation activities and standardization processes concerning property evaluation practice – to the State Competition Committee;
  • authority for implementing comprehensive type of examination – to the Ministry of Economy and Industry.

Further modification of legislation

The Decree also covers issues concerning modification of current norms and standards in the construction industry and stipulates that by 2028 the legislation will be fully changed and modified by the gradual adoption of the foreign experience. Starting from January 1, 2019, the Ministry of Construction initiates development and improvement of building regulatory and technical documents based on the foreign experience. The local and foreign legal entities together with public and international organizations are encouraged to participate in the above mentioned processes. All newly adopted legislation will be published on the official web-site of Uzstandard Agency, which will be responsible for making all construction standards, technical regulations and norms available for public access.

Source: mondaq.com

Lacklustre UK property market unlikely to see any sparkle in 2019, says new analysis

The UK property market was lacklustre in 2018 as economic headwinds due to Brexit uncertainty added to a lack of consumer confidence, according to a new analysis.

And the property market looks set to stay subdued into 2019 with a lack of supply preventing price actually falling, according to the latest TwentyCi property and home mover report.

It shows that while new instructions were up 4% year on year, these are not translating to an equal uplift in sales and the number of properties exchanging fell by 1.2%.

Click here to watch weekly episodes of our Housing Development Programme on AIT

Also, it shows that collectively, fall throughs and withdrawals increased by 0.8% between 2017 and 2018 which the report says is a surprisingly low figure given the perceived lack of consumer confidence fuelled by Brexit uncertainty.

Year on year, the average asking price has increased in all the major UK cities with the exception of Glasgow and Newcastle upon Tyne. Cardiff and Bristol are showing the strongest growth as the south west’s economic importance gathers pace.

‘The low volume of properties coming to market has the potential to thwart demand. The first quarter of 2019 and the outcome of the Brexit process will determine the outturn for the next 12 months,’ said Colin Bradshaw, TwentyCi’s chief customer officer.

‘An orderly Brexit and improved consumer confidence, combined with a release of pent-up demand may fuel a property market upturn. The opposite, as the Bank of England has warned, could cause a temporary but significant hiatus in the market,’ he pointed out.

The report suggests that with one in five house sales falling through in England and Wales, the need for a seismic change in the buying and selling process is essential to deliver certainty to the property market.

It says that collaboration between the Government and the property sector, including the much-discussed Reservation Agreements, needs to gain traction ahead of an uplift in the market.

The analysis also reveals an affordability crisis in London and says that with low confidence combined with Brexit uncertainty, the property market in the capital looks set to continue to decline.

In the lettings market, the report shows that 2018 saw a steady increase in the percentage of rental properties available, making up approximately 40% of the country’s available housing stock.

In the fourth quarter of 2018 nearly 60% of all London listings were for rental properties, compared with just 40% in all other major UK cities. The report says this is an ongoing trend in the capital, with affordability inhibiting the purchase market.

It adds that the increase in the number of flats being built in EC and NW postcodes in London has led some property analysts to speculate that supply is outstripping demand both in the purchase and rental sectors.

Vancouver now ranked ‘second-least affordable’ global housing market

The widely reported annual Demographia Housing Affordability Survey  has been released – and despite Vancouver’s real estate market slowdown, the city has moved back up in the rankings of the world’s least-affordable housing markets.

Having been ranked in third place for three years running (after Hong Kong and Sydney, Australia), Vancouver has the dubious honour of displacing Sydney to return to second place in the 2019 chart. Hong Kong remains top of the list for the ninth year in a row.

Click here to watch weekly episodes of our Housing Development Programme on AIT

The report ranks 309 cities in eight countries using a method called the median multiple, which is calculated by comparing the city’s median home price (in 2018’s third quarter) with the median local household income. The countries in the survey are Canada, the U.S., China (Hong Kong only), Singapore, Australia, New Zealand, the U.K. and Ireland.

Vancouver is deemed to have a median multiple of 12.6, which is the same as in 2018, and means that the median Vancouver home price is 12.6 times the city’s median household income. Hong Kong’s median multiple is slightly up from last year, now at 20.9, and Sydney’s has dropped to 11.7 from 12.9 last year.

The report authors wrote, “Vancouver has experienced significant housing affordability deterioration among major markets, with its Median Multiple deteriorating from 5.3 to 12.6 [since the first survey in 2004], equivalent to 7.3 years of pre-tax median household income.”

The report acknowledged Vancouver’s recent price slowdown, but said this had not improved affordability, as most of the price drops have been at the high end of the market. “While a British Columbia foreign buyer tax has been associated with a moderation of house prices in Vancouver, reductions have been concentrated in higher cost houses, with middle market housing affordability having continued some deterioration.”

Demographia’s annual survey is extensively reported each year, but has been widely criticized for not being consistent with broad-reported data, only studying cities in eight countries (or nine, in previous years) and failing to take into account a wide range of other variables. The 2019 study does not include pricey housing markets in China, other than Hong Kong, or European markets, other than U.K. and Ireland.

Source: timescolonist.com


Survey Reveals Indian Women Take Bigger Home loans

Indian women are borrowing higher amounts for home loans as compared to men. According to a survey by online marketplace for financial products, BankBazaar, the average home loan ticket size with women as primary applicants was Rs 27.57 lakh, as compared to Rs 22.97 lakh with men as primary applicants.

One reason could be that when a woman is the primary applicant, chances of the family being a two-income household are higher, as compared to when the man is the primary applicant. So, in the first case, the family is able to take a bigger loan, said Adhil Shetty, co-founder & CEO, BankBazaar. Another reason is the lower rates offered by banks and housing finance companies for women borrowers, prompting more women to take home loans, he added.

‘BankBazaar Moneymood 2019’, a report based on data from 169 million users who used BankBazaar’s website, also said that the the demand for credit cards was quite high among women.

In 2018, the increase in women consumers applying for various kinds of credit cards was 89% for fuel credit cards. Similarly, women applicants for travel credit cards increased by 73%, as compared to 71.5% men.

Click here to watch weekly episodes of our Housing Development Programme on AIT

More youngsters want lifestyle credit cards

The demand for lifestyle credit cards has seen tremendous growth, especially among those under 25 years and non-metro applicants. Attractive discounts and deals have fuelled the demand for cards from first-time and non-metro users, the report said. There has been a 64.5% year-on-year increase in lifestyle credit card applications from non-metros and a 53.67% y-o-year increase in lifestyle credit card applications from users under the age of 25.

Fuel credit cards saw a massive spurt in demand, with a 104% rise in card applications from people under 25 years of age. Metros witnessed a 62% y-o-y increase in fuel credit card applications compared with an 85% increase from non-metros. Young indians with wanderlust are aware of the benefits of travel credit cards and an increasing number of people are applying for them. There was a massive 195% growth in travel credit card applications from those under 25 years of age. Non-metros saw a whopping 309% y-o-y rise in travel credit card applications compared to a 59% increase from metro cities, the report said.

Non-metros avail more personal loans

The report also said that demand for unsecured credit in non-metros outpaced that of the metros in 2018, and this trend could continue in 2019 as well. The average personal loan ticket size in non-metros is Rs 2.80 lakh, while it is only Rs 2.55 lakh in metros. However, the highest personal loan ticket size of Rs. 47.23 lakh came from Bangalore, while the highest non-metro personal loan ticket size from Vapi was of Rs. 25 lakh.

“One reason could be that people in metros have better access to credit cards while those in non-metros may not. So, there could be a higher demand for personal loans from non-metros,” Shetty said.

Paperless finance gaining popularity

The report also said that paperless finance is gaining popularity, as incidated by a 198% y-o-y growth in paperless approval of personal loans, an 11% y-o-y increase in paperless approval of credit cards and a 38.3% y-o-y rise in paperless approval of car loans.

In 2018, there was a 42% increase in the highest car loan ticket size compared to the previous year. The average car loan ticket size for metros (Rs 5.72 lakh) marginally outperformed the average car loan ticket size for non-metros (Rs 5.21 lakh), the report said.

Source: dnaindia.com

WP Facebook Auto Publish Powered By : XYZScripts.com
Translate »

You have successfully subscribed to our newsletter

There was an error while trying to send your request. Please try again.

Housing News will use the information you provide on this form to be in touch with you and to provide updates and marketing.