Is there any positive or negative impact on real estate values are expected due to current strengthening of our currency?
Long term impact of a strong Rupee will be positive on all sectors of the economy in Pakistan inshaAllah including real estate.
In the short term, a strong rupee means that real estate will be slow to rise. People will not rush to invest their saving in real estate or in dollars. So there will be less panic buying followed by roller coaster snowball effect. However, demographic factors such as urban migration and population growth will ensure that the real estate sector stays a very important avenue for investment and decent returns.
In any case, the scary aspect is spiral decline of the rupee. The strengthening of the rupee is good for you if you have invested in any sector of the Pakistani economy including especially real estate. A continuously sliding rupee can damage the social economy to such an extent that the true value of real estate will also be eroded.
Pk1 bro
Tell me about INTEREST RATE increase, decrease? How it effect real state.
WILL BE THANKFUL.
Thanks for your comments PK1. I would further ask that whats the general perception about "Is this strengthning of Pak rupee is expected to be a permanent thing or just a temporary rise as usual" ?...
a. Moreover what you will suggest from an overseas point of view... That what should be our move for the coming years esp. The next 1 year..
b. If it is beneficial for now to invest in pakistan realestate sector for long and medium terms... Then what are the appropriate options (keeping in view the current situation in pakistan) in Lahore/Islamabad ?
Regards,
Dear Anti Deviler,
First of all let me point out that Interest is HARAAM. People who feed their children with money from INTEREST are putting burning coal in the mouths of their children.
Now coming to the effects of interest on real estate, well unfortunately, when interest rates are raised as a matter of fiscal policy, investment into real estate shrinks. This is because people wish to invest in saving schemes, fixed term bank deposits etc. However, in the long run, it is better to invest in any productive sector of the economy.
There is currently a massive shortage of housing in Pakistan. If you buy a plot, then construct a house on it and give it on rent, then you are contributing positively to the economy and earning Halaal income for your children. This will make sure that your children have a good character when they grow up, otherwise with halaal income they may be exposed to all sorts of negative trends in schools and colleges such as narcotics, gay culture, prostitution, theft, criminals etc.
I pray to Allah to save our children from all evils in the society and make them Good practicing Muslims. Ameen.
Dear Shoaib,
This is a v good time to buy.
Prices are low and chances of futre are positive.
When rupee is rising, the value of your investment as overseas Pakistani is rising because even if you sell for same price, you will get more to convert in foreign currency.
Make a decision on yoour budget.
B-17 (blocks A, B and C) are good because prices there have come down now after big increase 2013. Will increase again.
Big plus for B17 Margalah Ave project which already started. This government wil complete inshallah. Development standard of b17 are very good CDA approved sector.
Shoaib bhai I agree with Baloch’s viewpoint.
Lolz… I have a feeling that B17 is again coming in the good books… In the past few days people were talking as if B17 is completely destroyed or flop etc.
Very True Junaid, but yes it will again rise from the apes 
Junaid, as Baloch has said, it is the Margalla Avenue factor.
This Project is now at a stage where it cannot be abandoned. It is almost complete with a few patches remaining.
As soon as it is completed, B-17 gets very close to Zone 1. And quality of development is better than D-12 (which is the closest Zone1 sector).
So if you look at the current price difference between D-12 and B-17 (it is at least 2-3 crore price difference on a kanal plot), this price difference is not sustainable after Margalla Avenue. The price gap will have to become narrow.
Simple maths will show how much juice B-17 will get because of Margalla Avenue!
Is margalla avenue kickstart news is authentic ??
@ PK-1
what do you think how much time will margalla avenue construction will take .. To make a clear impact B-17 prices ??
Depends on when this government and the contractor will sit together to work out a way to build the unfinished patches which are facing land acquisition issues. And when they actually start the work.
May be 1-2 years may be a little more. But InshaAllah it will not remain pending for too long. If they leave the road in unfinished state, it will just get damaged and there may be further issues of land grabbing near it.
As you know, the government cannot afford all the negative publicity in media that this sort of neglect will bring.
Agreed Nasir bhai & Pk1 bhai…
Yes. But in pakistan anything is possible. Its all depends on ruling brothers priorities :)
Can anyone provide best suggestions for Lahore property currently in a flexible budget between 5 to 10 Million?
Thanks in advance!
Decent options in Lahore are more expensive. In this budget you will have to buy files in DHA projects. For plots in this budget Islamabad zone 2 is better.
However, for Lahore, I will recommend exploring options touching Raiwind Road or Canal Road after crossing Thokar (Mohlanwaal Road). This is where you have Bahria and other top notch projects such as EME, Izmir, Sukh Chayn etc.
Also consider LDA Avenue 1 but I think you already know about that.
Thanks PK1 bro! Yes i not waste money in LDA.... Its full of problems and bloated already. Nothing much left.
I am also thinking to explore more about Raiwind road and canal road schemes by my next visit to pak i.e. Fazaia(55lac per kanal i guess), Suigas phase-2 (32 per kanal), NFC-2 etc
Tell me one more thing kindly that is DHA Phase-8 a gettable/viable/good option if one has a budget of little above 10M ??
The coilation support fund from USA is on it's way, it will make Dollar decline and rupee will strengthen.
I think the real estate prices will be stable in developed/ ready possession areas, files anywhere will decline in price.
By the time margalla avenue comes alive, islamabad highway and rawat projects will be in competition too.
NS government is more interested in developing isb on the southern side than the disputed margalla avenue; ref. Various news articles showing clear intent of NS where he wants to proceed first.
So if it were to me, i'd give more points to DHA, Bahria and societies along isb highway than multi or other low cost private schemes in zone 2.
In lahore, DHA is still more credible and sustained than bahria, esp if compared to non-posession sectors like E,F and golf city.
In my view, Prices will remain stable for ready properties. For files, prices can be volatile if new projects kept coming.
For living in lahore, DHA Phase 5 is best for immediate living and 8 for living in 2-3 years.
Phase 5 - M block could also be a good option for living in a year or two. Although its not popular with investors but when ph 9 gets developed, it will be on the anterior end closest to ph 5 and ring road.
Highly agreed with MBS
to me MBS seems be most wise person on this forum