The Impact of Land Prices on Real Estate Business Development in Uganda: A Case Study of Mukono District

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Date

2023-09-20

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Uganda Christian University

Abstract

The study intends to analyze the impact of land prices on the development of real estate businesses in Uganda: a case study of the Mukono district. The study was directed by three objectives: identifying successful price approaches used in land business, analyzing pricing's impact on buyer behavior, and investigating the pricing function in real estate business development in Mukono. The researcher used an explanatory research design and a quantitative research approach. Stratified sampling was used to obtain a sample of 50 respondents who were real estate stakeholders in Mukono district, such as real estate agents/brokers, government officials/urban planners, real estate developers, and real estate investors, though only 44 of these respondents responded to the questionnaires. According to the study findings, rising land prices have had a significant impact on various aspects of the real estate industry in Uganda, as it is clear that the real estate sector's economic contributions to Uganda's GDP are both substantial and susceptible to change if the trend of rising land prices continues. Furthermore, it was discovered that rising land prices have had a perceptible impact on overall demand for real estate properties in Uganda, with various market sectors witnessing notable fluctuations in demand as a result of land price dynamics. Inclusively, the data indicated the multidimensional character of pricing dynamics in the local real estate environment, revealing that government land use rules have a key effect in pricing dynamics. In conclusion, the study advised that real estate industry stakeholders in Mukono use personalized pricing methods. The study also advised that government officials in Mukono engage in active participation and proactive planning. Furthermore, the report advocated for the establishment of targeted affordable housing measures in Mukono. These initiatives should include a variety of tactics, such as subsidies, developer incentives, and novel finance mechanisms.

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This is a dissertation.

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