Is real estate a good investment in Pakistan?

Loading

Acquiring wealth through real estate investment in Pakistan has always been an enticing subject for locals and foreigners alike. Real estate has proven to be the smoothest road on which people have accomplished their journeys of amassing large fortunes, in fact, more than 90% of Pakistani millionaires turned out to have an investment history in the real estate market in some manner.

That’s because the industry itself is capable of returning the tremendous, or sometimes incomprehensible amount of money if you take initiatives at the right time.

You might be wondering what exactly makes this industry worth investing in. So here’s a classified answer as to your original question. Read towards the end and find out why you need to invest and put all the speculations aside

Modern Commercial Projects
Various companies are competing to elevate the value of their commercial projects operating in highly valued areas of the cities, and hunting primarily, in an attempt to appear as a game changer and difference maker, for three key ingredients, namely a distinctive aspect of their projects that attracts a flock of visitors, secondly aesthetically refined themes, filled with range of delicate and fine details, and lastly, protection from all sorts of marketing plagiarism. So the eventual output is destined to entice millions to buying the properties that lay around such projects, already a big enough reason to invest for those who seek immediate ROIs.


The commercial projects, completed with the aforementioned ingredients of the guaranteed success recipe, are not impossible to undertake and accomplish as Al-Bari Group of Companies have already shown us through the opening of their elegant malls, unprecedented in the cities they’re operating ever since their inauguration.


People have desires and dreams that continually evolve as they interact with new ideas, and one of the modern evolutions we have seen in the masses’ temperaments is that they seek the ultimate version of convenience, comfort, and usability, an insight well captured and put in practice for the new projects by the real estate developers.


People want buildings that incorporate a range of facilities such as shopping malls, sports courts, health centers, and dining halls, all embedded and wrapped into a single destination that doesn’t require the effort of commuting. For the same reason, commercial projects are undergoing perpetual changes, keeping up with the swiftly altering public demands, eventually resulting into attracting countless folks. So any investment around such commercial projects is more than likely to return the profit manifold.

China Pakistan Economic Corridor (CPEC)
CPEC, consisting of highways and railways running through the entire western region of Pakistan, will persistently be grown with the addition of new transportation routes, which can turn this project into a colossus that will potentially be termed as the spine of Pakistan’s economy.
The estimates tell us that we can expect an increase in the rates of properties subject to CPEC in any way imaginable, a sign that estates outside big cities will have their time, which doesn’t stand beyond the foreseeable future as experts believe this economic phenomenon will occur by 2025.
This will more likely urge a wealthy segment of the Chinese population to translocate towards Pakistan, escalating the demand for urban establishments such as fancy residences, and modernized commercial projects.

Coast Way Residency Gwadar

Financial Growth
As per a research report named “the atlas of Economic complexity,” led by Harvard Kennedy School, Pakistan’s GDP is anticipated to rise to 5.07% in this decade. This gigantic mark on Pakistan’s economy will encourage many foreigners to come to Pakistan, resulting in a swift rise in the national economy. A sense of impetus for those who are suspicious of Pakistan’s estate market potential, as this will create a number of varying job opportunities for all the economic classes of this country as well.


Affordability
Affordability is one of the main issues for most people, and the availability of convenient and practical installment plans opens a threshold of new ownership of assets and estates you deem highly.
The plans allow you to make a complete purchase in the span of 3 to 5 years and with the down payment of only 20% to 30% of the whole amount, you can pay the remaining sum on a quarterly or monthly basis.


Another interesting thing is that you will be bound to the installments established at the start of your purchasing activity regardless of the tolls similar properties experience in the future.
Tax-related Beneficiaries


Investments bring a lot of tax-related complexities with themselves, but in the case of commercial investment, the same taxes can play a great part in your favor.


For the sake of understanding a marketing concept, let’s lube our brains up a little. As the market worth of any commercial projects increases, their physical value declines with the same ratio. But the loss of assets can be covered with a very small amount of the overall profits earned through that project. So there’s a way here to invest in commercial projects and earn bounteous profits.


Trustworthy Environment
Like all the industries thriving out there in their own respective walks of life, the real estate market isn’t foreign to the idea of suspicious circumstances that put a question mark at the end of self-proclaimed transparent real estate agencies.


Realtors lie to their clients and conceal the actual amount of the property they sold for the sake of profit, and such scams affect the amounting interest of new investors and sellers as they tend to back away from the whole idea of being part of this market.


As dangerous as this particular state of affairs sounds, it is recommended, as a solution, to do thorough research on properties or estates you either want to buy or sell.


The transparency laws are getting strict which allows more people to invest with a better ense of security and safety.

Bahria Town, Islamabad

Conclusion
Real estate can never go out of business, and taking into equation the economic transformation this country is undergoing owing to CPEC, you will always regret if something shakes off your confidence on the idea of investment in Pakistan.

Join The Discussion

Compare listings

Compare