Hoy newspaper reports that builders and real estate vendors are feeling the impact on new sales of tax measures in effect since January 1 and the high interest rates that prevail. Long term housing financing went in the second half of 2000 from 18 to 22-26%, which has put a damper on new sales. The Asociación de Promotores y Constructores de Vivienda says that sales in the first two months of the year are down 50% in regards to last year. Cristian Ciccone, vice president of the Dominican Chamber of Construction confirmed that sales had gotten off to a slow start. He is optimistic once the new measures are internalized and the economy picks up again, sales will also pick up. Builders estimate the new measures have increased their costs 10%.
