Dhaka’s skyline is changing fast, and so is its investment landscape. In a time when financial markets often fluctuate, real estate investment in Dhaka remains one of the safest and most trusted asset choices for Bangladeshis and Non-Resident Bangladeshis alike. Property values continue to rise, rental demand remains strong, and government reforms are making the market more transparent than ever. Whether for steady income or long-term security, Dhaka’s real estate offers investors a solid foundation for growth.
Dhaka’s real estate prices have gone up steadily over the past ten years, even when the economy faced challenges. In top neighborhoods, apartment prices have increased by about 25–40% in just the last two to three years, according to The Business Standard. Between 2000 and 2021, land prices in Dhaka rose by more than 2,700%, while flat prices went up by over 700%, based on data from the Consumers Association of Bangladesh.
Prime locations such as Gulshan, Dhanmondi, Shantinagar, and Uttara have seen the highest growth. This shows that people who bought and held property in Dhaka have gained strong returns. Mid-range areas are also catching up. With new metro rail connections, Uttara apartments now cost around BDT 12,000 per square foot, up from BDT 8,000–10,000 a few years ago. In developing areas like Basila or Banasree, apartments are priced around BDT 5,000–6,000 per square foot, but these are also rising as more families move there.
Overall, property values in Dhaka have increased by around 4–6% per year on average in the last decade. In many top zones, the growth is even higher. This steady rise shows that real estate investment in Dhaka continues to be one of the most reliable ways to grow wealth.
Dhaka’s huge number of tenants keeps the rental market very strong. Almost 80% of Dhaka’s residents live in rented homes, while across urban Bangladesh, about 45% of households rent, according to The Daily Star and BBS data. This large renting population makes sure that apartments rarely stay empty.
Rents have been rising by about 5–6% each year, according to Global Property Guide. In 2025, the average rental yield for apartments in Dhaka was around 6.8%, meaning property owners earned almost 7% of their property’s value per year in rent. Commercial spaces in Gulshan and Banani offer even higher returns of around 8–10%, while luxury residential yields stay near 5%.
In mid-range zones like Mirpur and Uttara, where property prices are more affordable, rental income compared to purchase price is often higher. That means investors there get solid yearly returns along with rising property values. Also, since Dhaka keeps getting new workers, students, and migrants every year, rental demand stays strong even in tough economic times. Landlords can usually adjust rents with inflation, which makes real estate a steady and income-producing investment.
Dhaka’s population is growing fast, while available land is very limited. The city now has more than 10 million people within its main area and over 20 million in the wider metropolitan region, according to Bangladesh Bureau of Statistics (BBS). This is up from about 7 million in 2011. Each year, more than 300,000 new people move to the city.
Urban growth in Dhaka is one of the highest in the world, with 3–4% annual growth. Bangladesh’s overall urban population has also grown sharply — from 8.9% in 1974 to 31.7% in 2022, according to BBS. The result is a major housing shortage. The United Nations estimates that Bangladesh faces a housing deficit of around 6 million homes, which could reach 10.5 million by 2030.
At the same time, Dhaka’s land supply is running out. The city has only about 320,000 registered plots for nearly 12 million people. This tight supply and high population density naturally push prices up. Urban experts say that the shortage of land compared to the population is a key reason property prices in Dhaka keep rising.
New construction is also slowing down because of updated building rules like the Detailed Area Plan (DAP 2022), which limits how high buildings can go in some zones. Developers also face higher costs due to expensive raw materials like cement and steel. Because of this, existing properties have become even more valuable. With strong demand and limited land, real estate in Dhaka remains a safe and stable asset.
Government policies in recent years have made real estate investment in Dhaka more secure and transparent. The land management system is being modernized. About 75% of Dhaka’s land records have already been digitized, and full coverage is planned by 2026, according to the Ministry of Land. This helps reduce land fraud and ownership disputes, giving both local and foreign buyers more confidence.
In 2024–2025, the government also cut property registration costs by about 40%, according to The Business Standard. Before, total transaction costs were around 14–15%, but now it is about 8–9%. This makes buying and selling property more affordable and helps stop under-the-table payments.
For Non-Resident Bangladeshis (NRBs), real estate investment is now easier. The Bangladesh Bank allows NRBs to take home loans in local currency. They also get some tax relief and lower registration fees, according to Starpath Holdings research. These changes have led to more NRB buyers purchasing apartments for rental income or family use.
The government has also promoted affordable housing. The National Housing Authority and Bangladesh House Building Finance Corporation (BHBFC) are offering lower-interest loans to middle-income families. Some banks now provide home loan rates between 5% and 9%, especially for green and government-backed projects. These policies show that the government considers housing growth a national priority, and they increase public trust in the market.
Bangladesh has faced high inflation in recent years, but real estate has stayed strong. The inflation rate averaged around 9.7% in FY2024, according to Bangladesh Bureau of Statistics. While inflation reduced the real value of money, property prices and rents went up almost the same or even higher, which helped investors keep their wealth safe.
For example, rents in Dhaka rose about 6% year-on-year in 2024, and apartment prices in key locations rose more than 20%, according to Global Property Guide. In contrast, bank deposit rates were around 8.5%, and government bonds yielded about 11%, just slightly above inflation.
The Dhaka Stock Exchange (DSEX), however, stayed mostly flat in the past five years with little real growth, according to The Daily Star and IMF data. Many investors turned to real estate as a safer option. Since housing prices and construction costs usually rise with inflation, real estate acts as a natural inflation hedge.
During the recent price surge, many people shifted their savings into land and apartments because these assets hold real value. Both local analysts and investors agree that Dhaka’s real estate gives stable, inflation-beating returns. It protects money better than stocks or cash savings and provides long-term growth at the same time.
Real estate in Dhaka combines all the traits that make it a safe investment. It gives steady growth, strong rental income, limited supply, and policy support. Prime locations like Gulshan, Banani, and Baridhara keep their high value because of limited land and strong reputation. Mid-range areas like Mirpur, Uttara, and Khilkhet are improving quickly with better transport and new developments, offering good entry points for investors.
Even during inflation or political uncertainty, Dhaka’s real estate market has remained stable. Government steps such as reducing transaction costs and digitizing land records have made it safer and easier to invest. For both locals and NRBs, it offers a mix of security and steady returns.
While no investment is completely risk-free, real estate investment in Dhaka has proven to be dependable and profitable over time. With high demand and limited land, it continues to be one of the safest and most rewarding assets in Bangladesh.
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