{"id":74144,"date":"2022-11-13T04:30:00","date_gmt":"2022-11-13T04:30:00","guid":{"rendered":"https:\/\/www.zameen.com\/blog\/?p=74144"},"modified":"2022-11-11T11:46:13","modified_gmt":"2022-11-11T11:46:13","slug":"factors-causing-home-value-appreciate-pakistan","status":"publish","type":"post","link":"https:\/\/www.zameen.com\/blog\/factors-causing-home-value-appreciate-pakistan.html","title":{"rendered":"What Causes a Home\u2019s Value to Appreciate or Depreciate in Pakistan?"},"content":{"rendered":"\n<p><strong>IN THIS POST<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><a href=\"#External-Factors\">External Factors<\/a><\/li><li><a href=\"#Internal-Factors\">Internal Factors<\/a><\/li><\/ul>\n\n\n\n<p>There are many factors in play that can cause fluctuations in the property market \u2013 your home is a part of this market, and its value ultimately gets influenced by the occasional dips and hikes. The idea for this blog knocked when we were talking about <a rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.zameen.com\/blog\/factors-affecting-plot-prices-pakistan.html\" target=\"_blank\">factors affecting plot prices in Pakistan<\/a>, and we couldn\u2019t resist but cover the two significant types of factors that can cause a home&#8217;s value to appreciate or depreciate in Pakistan.<\/p>\n\n\n\n<p>So, stop looking through the window. Step in, take a seat, and read to find out what factors can affect your home\u2019s value, both positively and negatively!&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"Factors\"><strong>Top Factors That Can Affect a Home\u2019s Value in Pakistan<\/strong><\/h2>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"640\" src=\"https:\/\/www.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/IGs-1-1024x640.jpg\" alt=\"Factor's that cause a home's value to appreciate in Pakistan\" class=\"wp-image-74162\" srcset=\"https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/IGs-1-1024x640.jpg 1024w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/IGs-1-300x188.jpg 300w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/IGs-1-768x480.jpg 768w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/IGs-1-640x400.jpg 640w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/IGs-1.jpg 1440w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption>Factors affecting a home&#8217;s value in Pakistan\n<\/figcaption><\/figure><\/div>\n\n\n\n<p>As mentioned earlier, the number of <a href=\"https:\/\/www.zameen.com\/blog\/top-factors-affecting-property-value.html\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">factors affecting a home\u2019s value<\/a> is longer than you can count on your fingers. Some of them can be a reason behind a dramatic rise, while others can pull the value down real quick. It\u2019s not always about the paint colour you choose or even the curtains you bought to go with it. A bunch of external factors can have a drastically negative impact on the value of your home, leaving you and your real estate agent gobsmacked.&nbsp;<\/p>\n\n\n\n<p>So, let\u2019s discuss the two types of factors that can cause your home\u2019s value to appreciate or depreciate in Pakistan in detail:<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"External-Factors\"><strong>External Factors Affecting a Home\u2019s Value in Pakistan<\/strong><\/h3>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"640\" src=\"https:\/\/www.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-8-1-1024x640.jpg\" alt=\"Here's a list of External Factors Affecting a Home's Value in Pakistan \" class=\"wp-image-74148\" srcset=\"https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-8-1-1024x640.jpg 1024w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-8-1-300x188.jpg 300w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-8-1-768x480.jpg 768w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-8-1-640x400.jpg 640w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-8-1.jpg 1440w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption>External Factors Affecting a Home&#8217;s Value in Pakistan <\/figcaption><\/figure><\/div>\n\n\n\n<p>External factors are protagonists in rescuing the value of your home and elevating it to a point where you can happily sell it. By knowing and understanding these external factors, homebuyers and sellers can better position themselves in the property market for triumph. So, here are some external factors affecting a home\u2019s value in Pakistan:<\/p>\n\n\n\n<h4 class=\"wp-block-heading\"><strong>Economic Conditions<\/strong><\/h4>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"640\" src=\"https:\/\/www.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-b-1-1024x640.jpg\" alt=\"State economy is directly linked with real estate market\" class=\"wp-image-74151\" srcset=\"https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-b-1-1024x640.jpg 1024w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-b-1-300x188.jpg 300w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-b-1-768x480.jpg 768w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-b-1-640x400.jpg 640w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-b-1.jpg 1440w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption>State&#8217;s economic condition is highly associated with how well people spend <\/figcaption><\/figure><\/div>\n\n\n\n<p>As much as a state\u2019s economic condition affects people\u2019s lifestyle and spending habits and limits, it also greatly impacts the overall real estate market and a property&#8217;s market price. To put it simply, when the national economy is running without any hitches, the property market tends to witness a hike. The rules are quite easy to comprehend, say, for instance, when the employment gaps are filled, people will have access to credit, which will result in more property seekers, and everyone will look forward to moving into bigger &amp; better houses. Better economic conditions will also eventually affect the demand factor, and as a result, the price graph will start to rise.\u00a0<\/p>\n\n\n\n<p>On the other hand, despite the fact that a national economy is doing well, it doesn&#8217;t guarantee that the provincial or local economy will be stable for the real estate market. For instance, if an influential corporation moves its operation to another area along with its employees, it will result in a lot of people wanting to sell their homes or a lot of landlords looking for new tenants. This increase in competition will ultimately drive prices down. And, it is one of the many technical factors that can cause a home\u2019s value to depreciate.\u00a0<\/p>\n\n\n\n<p>In comparison with a stable economy, when the national and local economies are facing a recession \u2013 it can majorly depreciate the price of houses. Employment gap and limited or low access to credit are indicators of a struggling economy, and hence, it can have an adverse impact on the real estate market.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\"><strong>Zoning<\/strong><\/h4>\n\n\n\n<p>Zoning is a set of rules and regulations set by the local governing body to control what types of buildings can be built and where. The buildings usually fall into the category of residential, commercial, and industrial.&nbsp;<\/p>\n\n\n\n<p>Ever wondered why the government reserves the right to decide? Well, it is to keep a balance and avoid <a rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.zameen.com\/blog\/common-property-disputes-resolution.html\" target=\"_blank\">conflicts over property<\/a>. It is also beneficial for the environment. Let&#8217;s say a factory is emitting hazardous fumes or smoke. It will most definitely be considered threatening to the environment and people. This prompts the government to make sure that no industrial zone is settled near or in residential pockets. Also, the government uses zoning to control and ensure that property values remain consistent. So, wherever zoning is not tightly controlled by the government, the property values are prone to suffer from irregular, and at times absolutely illogical, hikes and dips.\u00a0<\/p>\n\n\n\n<h4 class=\"wp-block-heading\"><strong>Laws &amp; Taxes<\/strong><\/h4>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"640\" src=\"https:\/\/www.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-5-1-1024x640.jpg\" alt=\"Laws and taxes are good for home's value \" class=\"wp-image-74152\" srcset=\"https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-5-1-1024x640.jpg 1024w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-5-1-300x188.jpg 300w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-5-1-768x480.jpg 768w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-5-1-640x400.jpg 640w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-3-5-1.jpg 1440w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption>Laws &amp; taxes for better civic amenities are a good sign for real estate <\/figcaption><\/figure><\/div>\n\n\n\n<p>It goes without saying that taxes and laws are the most known certainties in life that everyone is obliged to obey and deal with. These two things also have a deep association with a home\u2019s value in more than one way. Unlike the economic factor, higher taxes in the form of property, income, and sales tax can create tension in the real estate market, and it can hurt home prices.\u00a0<\/p>\n\n\n\n<p>However, if higher taxes are utilised for providing quality services to the citizens, those taxes could result in price hikes. Simply put, if the taxes are being used to renovate roads, public spaces, libraries, schools, and other civic services \u2013 it can create a demand in the market for a specific area.<\/p>\n\n\n\n<p>Taxes and laws that favour a promising lifestyle for residents can have a drastic influence on the local real estate market. Better schools, mass transit, and safe public spaces mean higher demand from people who are willing to pay a premium price to attain a resourceful lifestyle. So, it only makes sense for laws and taxes to be among the major external factors that can cause a home\u2019s value to appreciate in Pakistan.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"Internal-Factors\"><strong>Internal Factors Affecting a Home\u2019s Value in Pakistan<\/strong><\/h3>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"640\" src=\"https:\/\/www.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-1-8-1-1024x640.jpg\" alt=\"Here are some Internal Factors Affecting a Home's Value in Pakistan \" class=\"wp-image-74149\" srcset=\"https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-1-8-1-1024x640.jpg 1024w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-1-8-1-300x188.jpg 300w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-1-8-1-768x480.jpg 768w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-1-8-1-640x400.jpg 640w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-1-8-1.jpg 1440w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption>Internal Factors Affecting a Home&#8217;s Value in Pakistan <\/figcaption><\/figure><\/div>\n\n\n\n<p>Internal factors are the ones that include the outlook and appearance of your house &#8212; tangible and easy to comprehend. Internal factors are controlled by homeowners, and they can do a lot about them. Here are some internal factors affecting a home\u2019s value in Pakistan to help you understand the matter at hand better:&nbsp;<\/p>\n\n\n\n<h4 class=\"wp-block-heading\"><strong>Home Renovation&nbsp;<\/strong><\/h4>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"640\" src=\"https:\/\/www.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-b-1024x640.jpg\" alt=\"Negative effects of home improvements\" class=\"wp-image-74153\" srcset=\"https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-b-1024x640.jpg 1024w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-b-300x188.jpg 300w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-b-768x480.jpg 768w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-b-640x400.jpg 640w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-b.jpg 1440w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption>Home improvements can negatively affect home&#8217;s price too<\/figcaption><\/figure>\n\n\n\n<p>Are home renovations supposed to be a good thing? Your perception of home renovation can be flipped with the fact that it can lead to stopping the growth of prices or even decreasing prices, in some worst-case scenarios. For instance, if you choose to install a Jacuzzi in a house that is aimed at attracting people from the lower and middle-income group, or if that house is situated in a low-cost housing scheme \u2013 the house price is most likely to suffer due to it. Firstly, it will cost the next buyers a lot of money to get rid of the Jacuzzi. The second cost will appear when they will have to install something that would be a good use of that space.\u00a0<\/p>\n\n\n\n<p>At the other end of the spectrum, there are <a rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.zameen.com\/blog\/ways-increase-value-your-home.html\" target=\"_blank\">certain ways to add more value to your home<\/a>. These include fixing the corners that need special attention, re-installing the plumbing system, and maybe installing a central system for heating\/cooling. Also, updating the colour of your home can increase its appeal. Let\u2019s help you out with this one. Just visit our guide on <a rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.zameen.com\/blog\/best-paint-brands-pakistan.html\" target=\"_blank\">how to choose the right paint brand for your home in Pakistan<\/a>. You can even go a step further in renovation by <a href=\"https:\/\/www.zameen.com\/blog\/wallpaper-paint-which-choose-why.html\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">switching to wallpapers<\/a>.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\"><strong>Property Type &amp; Location&nbsp;<\/strong><\/h4>\n\n\n\n<p>Location is a big deal in the real estate market, and property seekers should be aware of the fact that not all spots in a single neighbourhood are considered equal. Usually, a property placed by a cul-de-sac is higher in demand than the <a rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.zameen.com\/blog\/living-main-road-pros-cons.html\" target=\"_blank\">properties situated on the main road<\/a> due to higher safety and isolation \u2013 no matter if both properties are located in the same area, have the same size, or have similar amenities.<\/p>\n\n\n\n<p>Similarly, a residential property situated in a residential zone can have a higher value than a residential property in an industrial area. So, always keep a check on the zone you\u2019re investing in.&nbsp;<\/p>\n\n\n\n<h4 class=\"wp-block-heading\"><strong>Condition of a Home<\/strong><\/h4>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"640\" src=\"https:\/\/www.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-7-2-1024x640.jpg\" alt=\"Clean homes attract buyers \" class=\"wp-image-74155\" srcset=\"https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-7-2-1024x640.jpg 1024w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-7-2-300x188.jpg 300w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-7-2-768x480.jpg 768w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-7-2-640x400.jpg 640w, https:\/\/cdn-blog.zameen.com\/blog\/wp-content\/uploads\/2019\/11\/image-2-7-2.jpg 1440w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption>Livability and cleanliness are two important measures <\/figcaption><\/figure><\/div>\n\n\n\n<p>The shape of a home is determined by the state it is in, which includes structural cues and a few other components such as windows, doors, walls, roof, and especially the foundation. There\u2019s no science, just a simple logic that poorly built houses with decaying walls, creaky doors, scratched windows, and an unstable foundation can be significant deal-breakers. It is more or less like there\u2019s no structure, and the buyer will have to build everything again from scratch because nobody would want to get smashed under a crumbled foundation.&nbsp;<\/p>\n\n\n\n<p>When we are talking about internal factors that can cause a home\u2019s value to depreciate, we cannot ignore cleanliness and livability. If a home has leakage problems, the kitchen is prone to house infestations, and the garden doesn\u2019t have fertile land; buyers are likely to step back.\u00a0<\/p>\n\n\n\n<p>The most successful and happy property owners look beyond the stylistic attributes during their transactions. This may take a strong heart to overlook the cosmetic side, such as terraces, lawns, and pools, and focus on what\u2019s really important: the longevity and the future appeal of the house. <\/p>\n\n\n\n<p>For more tips on property investment, stay connected to Zameen Blog \u2013 <a rel=\"noreferrer noopener\" href=\"http:\/\/www.zameen.com\/blog\" target=\"_blank\">Pakistan\u2019s top property blog<\/a>. You can also see us on your timeline by liking our <a href=\"http:\/\/www.facebookcom\/ZameenPK\" target=\"_blank\" rel=\"noreferrer noopener\">Facebook page<\/a>.<br><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Do you want to know the phenomenon of boosting property value? Here are some factors that can cause a home&#8217;s value to appreciate or depreciate in Pakistan.<\/p>\n","protected":false},"author":91,"featured_media":74147,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[11051],"tags":[44239,44233,44247,44234,44231,44252,44244,44245,44240,29928,44232,44242,32,122,35400,44243,14510,44235,44246,44237,44241],"persona":[32427,32411,32428],"class_list":{"0":"post-74144","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-property","8":"tag-causes-of-homes-value-to-increase","9":"tag-external-factors-affecting-a-homes-value-in-pakistan","10":"tag-factors-that-can-cause-a-homes-value-to-appreciate-or-depreciate-in-pakistan","11":"tag-factors-that-can-cause-a-homes-value-to-depreciate","12":"tag-homes-value","13":"tag-how-to-calculate-property-valuation","14":"tag-how-to-increase-home-value","15":"tag-how-to-increase-house-value","16":"tag-how-to-protect-your-homes-value-from-depreciating","17":"tag-ideas-to-improve-a-homes-value","18":"tag-internal-factors-affecting-a-homes-value-in-pakistan","19":"tag-negative-factors-affecting-home-value","20":"tag-pakistan","21":"tag-pakistan-real-estate-2","22":"tag-pakistan-real-estate-market","23":"tag-positive-factors-affecting-homes-value","24":"tag-property-value","25":"tag-some-factors-that-can-cause-a-homes-value-to-appreciate-in-pakistan","26":"tag-tips-on-increasing-house-value","27":"tag-what-causes-a-homes-value-to-appreciate-or-depreciate-in-pakistan","28":"tag-what-factors-can-affect-your-homes-value","29":"persona-home-improvements","30":"persona-property-investment","31":"persona-tips-and-tricks","32":"cat-11051-id"},"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>What Causes a Home\u2019s Value to Appreciate in Pakistan? | Zameen Blogs<\/title>\n<meta name=\"description\" content=\"Do you want to know the phenomenon of boosting property value? 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