Author(s): OFURUM Chinyere Gift and IHUAH Paulinus Woka

Abstract: Building materials cost is crucial to the success of real property development in several emerging economies. It affects the developed property size, completion period, quality and quantity of finishing to meet the needs and demand of the populace. This study assessed the trend in cost of building materials on property development in Owerri Urban, Imo State, Nigeria. The study adopted a cross-sectional survey design and questionnaires was the main tool for data collection, which was administered on respondents of three (3) local government areas that made up Owerri Urban: Owerri Municipal, Owerri West and Owerri North. The simple random sampling method was adopted in the selection of the sample size of 360 respondents representing 90% response rate. The data collected was analysed using the simple statistical tools presented on tables, frequency, percentages and chart. The findings showed that the factors responsible for the high cost of building materials includes; general state of inflation in the economy, increase in import duties, increase in taxes, unavailability of raw materials, transportation cost and pump price of petroleum products and lack or unavailability of raw materials for the production and processing of building materials. Further the study revealed that the trend cost of building materials over the period of ten years (10yrs) has an increment of 9.72% below 40% increase, 16.67% between 41-59% increase, 18.1% between 60-79% increase and 55.56% above 80% increase. Therefore, the study concluded that high cost of building materials increases the cost of property development indicating that they are direct correlation. The study recommended that government should reduce exchange rate of foreign currencies at par with naira and reduction in import tax as curb the high cost of building materials increasing yearly.

DOI: 10.33545/27075923.2021.v2.i2a.29

Pages: 30-35 | Views: 1135 | Downloads: 862

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