As the government is about to finish its term and elections are expected at year end or in the first quarter of 2013 at the latest, how is this going to effect real estate?
Do you see prices going down or up?
What about investors confidence in this volatile situation which is expected even after the elections?
Hmm… well i think the current govt. ,Afghan war, Pakistani Taliban, Floods, Energy shortage etc. have done so much damage that it will take pakistan at least 10 years to come out of the current situation and mess! … and this goes for the real estate too… as real estate depends on economy, security , Energy … i personally know many overseas pakistanis who thinking why should they buy property in pakistan?? worth Crore’s and then face security issues, loadshedding, hyper inflation, no jobs, bad health care and hospitals, and bad future for their kids … i’m not one of them as i am thinking coming back after a couple of years for some personal reasons but i must admit that picture in pakistan does not look good at all! and one more thing the real estate prices in islamabad and surrounding areas is already too high … even close to Duabi real estate prices in some areas… so i guess the prices can not go much higher than the current … who is going to buy them?? or who can afford to buy them?? the rich are already buying in Dubai / UK etc
According to the conditions and circumstances i don’t think so that it will give some unexpected boom to real estate however there is a chance of minor recovery as this government didn’t play any good role for any business or investor sector. Lets hope for the best.
I agree, it can't boom more than this. It's just the hyper inflation effect. Some of my friends have got a few files for more than 3 years now but there is literally no appreciation on the prices.
And if you take a look, it's obvious, real estate is over supplied. Even the central sectors of G13, D12 are not populated.
I might be wrong but the housing societies are coming from all sides of Islamabad, from small developers to big players.
I mean seriously when do you expect living a normal safe life in zone II sectors or newly developed sectors of zone I.
And on top of that, there are so many options available that people like me who are sitting overseas get lost in the dilemma of comparing options and never getting that gut feelin of actually investing....
I don’t think that election would make much difference. You may have thought that way when the current government came in but would have been disappointed. I think what is more important is that whoever comes in more competent and can revive the confidence of the public and secondly can start to grow the economy again. This government has devalued the rupee, increased inflation, economy has failed to grow and massive loans have been taken on and squandered or stolen which the nation and its future generations will have to pay back.
Agreed with Arshad shb. Economy is on down side. Inflation decrease purchasing power of common man and Interest rate is also very high so a common man even not able to get help from banks. There are few people who are buying properties from owners on cheap rates and than demand high rate or build a house for sale or rent purpose.
Prices of Real Estate will depend on the ELECTION RESULTS.
Let us examine each scenario:
A. PTI wins simple majority:
I am not a member of PTI; I strongly disagree with some of their policies BUT I have no doubt that if Imran Khan comes to power the odds in favour of Pakistan's economic recovery are going to increase and real estate prices will go up massively. If Khan does not deliver something in the first 4-5 months, prices will start declining.
B. Nawaz Sharif wins simple majotity:
Again Mian sahab's success will give investors some confidence because he is seen as a pro business politician - rightly or wrongly is a different matter. Real Estate prices will rise but not as much as in case of Imran Khan's victory.
C. PPP wins simple majority:
If PPP wins simple majority, this will be bad news for businessmen, but still real estate prices will stabilise and rise a little because PPP's majority will at least clear up the confusion and show some signs of political stability in Pakistan.
D. No party wins simple majority:
If there is a hung parliament in the Centre and at the Punjab Assembly, real estate prices will take a nose-dive. WHY? because this means NO ONE is incharge. There will be chances of horse trading, political intrigues and conspiracy. In a hung parliament situation there will be a LOT of politics, and sazish and NO real governance in Pakistan. Real Estate prices will drop even further.
THE BEST Scenario will be for ONE political party to win a simple majority in Islamabad and in Punjab. And this political party should also win some reasonable seats in other provinces. This will be best for Pakistan and best for Real Estate and best for business and best for Pakistan - inshaAllah.
Therefore, we Pakistanis need more unity in who to vote for...
If most Pakistanis vote in the next elections, this will change Pakistan. We MUST exercise this vote and we MUST ask others to vote. Believe me, the reason why we have a bad governemnt is that many of us did not vote. IF we vote, most likely we will vote for the better people.
There are two ways of looking at it. One is that all rulers are corrupt the second view can be the system itself is corrupt. I think that the system itself is corrupt and even the Generals beacme a part of the corrupt system. What we need is a great reformer in Pakistan to change the system otherwise just changing faces will not yield any results.
I agree with PK1 that we should caste our votes, it is always better to have a say than expecting without an effort.
@Arshad yeah definitely major reforms in the system should be undertaken AND people should be held accountable for their actions.
But practically, I don't think we can revolutionize in a year's time no matter who comes. The institutions of executive, legislative and administrative will take their time to mature and so will the people, even if we make this assumption for 2013 that we're all gona be fair, ethical and true to our responsibilities and will contribute in nation's development
I would suggest investing in G-13 before election. It is fully developed FGEHF/CDA Sector with ideal location. New Airport at just 10 mints drive and GT Road/Motorway at 2-3 mint drives. Ideal for residential and investment, families are already living in this sector.
It is an ideal sector for investment/residence mainly due to following reasons
1. Possession
2. Developed
3. CDA / FGEHF sector (CDA / FGEHF sectors are more reliable as compare to Cooperative Societies)
4. Near to Motorway
5. Near to GT Road
6. Plots are available in a half price as compared to G-11
7. Sectors up to 14 series before GT road will always be considered better
8. Kashmir highway extension in process and prices should increase by 20-30% after completion of this project
9. No risk/Safe investment
10. All the CDA facilities like Parks, grounds, Schools, Masjid, Shopping centers etc
There is a rumor that in next budget government will give some incentives and that will have a positive impact on property prices