Well-known entrepreneur and representative of the construction industry Murod Nazarov, during a conversation in the IMAN podcast, expressed his opinion on the trend of investing in "underground" - that is, in houses whose construction has just begun, which has become popular in recent years. He assessed excessive indulgence in this practice as risky and urged investors to be cautious, the IMAN podcast reported.
Nazarov noted that many people intend to make quick profits by investing in projects where construction has just begun, and then selling these houses at a higher price. But he emphasized that this strategy is not the right solution for everyone.
"If you have $20,000, $30,000, you hear people say, 'Put it in a house with a foundation.' Even if I had 50,000, 100,000, or even a million dollars, I didn't choose to invest in a "underground house." I always express this opinion. Because this method is dangerous for many. "Many people are doing this now, but not everyone is making a profit," the entrepreneur said.
According to him, many plan to buy these houses at a low price during construction and then sell them when the price increases. However, as the number of such "investors" in the market increases, this model no longer works very effectively.
"Frankly, the price of the house may rise a little after the completion of construction. But this is not a guarantee of benefit for everyone. Because the number of buyers has increased. As a result, many people cannot sell their homes. "Therefore, this work must be done with caution," Nazarov emphasized.
According to the entrepreneur, investment should be directed not from the point of view of "wherever it is," but from the point of view of purpose and value creation. "If you need a house - you need to buy it. But investing in a house on the foundation solely with the intention of selling it is not the economically correct decision," he said.
Murad Nazarov called this situation a "financial illusion": "We believe that the price will increase over time. But this is not real growth. If money is directed to live business, production, or the service sector, new value is created there. This will be beneficial for both society and the economy."
In his opinion, real investment is an increase in price not over time, but at the expense of created value. "When money circulates, jobs are created, products are created, and as a result, real economic growth is observed. This is the healthiest way to create something from nothing," the entrepreneur concluded.
Murod Nazarov's speech is widely discussed on social networks. Many users consider his opinion a "correct signal in real market conditions" and perceive these considerations as a call for vigilance against excessive speculation in the construction industry.
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