Aasim sb, your views and concerns are right but interpretation may be a bit deviated. Actually, when people ask about Real Estate investment, its fair enough to guide them (as per individual capacity) but also a lot of people are overseas so its fair to show them the flip side too. People have frustrations (economic and social level) and something that is echoed more strongly when expressing on this forum.
Here is the rationale, lets put things objectively with publicly available evidence:
*** Investment vs Getting a Roof
First time buyers wanting a roof on their head, any time is best, if one have the finances just go ahead, don't wait.
*** USD-PKR Parity
In last 12+ months PKR lost >50% of its value while at best real estate investments appreciated about 20% at max (generalised approximation). Some projects if not gone into negative have lost due to losing PKR. [REF-1]
*** Public Trust and Protection
Our housing authorities (CDA, LDA, RDA etc.) and private developers are day light crooks. How many times we have seen CDA waking up to declare entire populated area or fully developed high rises as illegal (most recent Ghouri Town, Safa Gold Mall). See Affectees of BT KHI, Phase 9, Enclave 2, DHA Valley, DHA City. Just a few example. [REF-2]
*** Subsidising the Elite
When Bani Gala, Jaati Umrah, Bilawal House etc. are declared as few thousand per kanal and common man 1 marla as 5+ lakh to say the least, how to seek justification. [REF-3]
*** Signals by State
When your national carries PIA demands air fare charges in USD, shows how confident is state in terms of its own currency and economy. [REF-4]
*** Failed Initiatives - Political Affiliation vs Investment
As a personal opinion Overseas that do want to invest and majority does endorse current setup never trust the same setup with their investment. [REF-5] What happened to Dam Fund...?
*** Failed Policies
When you put exaggerated taxes on Real Estate and subsidies the Stocks and still PSX plunges regularly, what else to do. [REF-6]
For sure, someone has to be "running like dogs to earn dollars and riyals from 6 oclock early in the morning to 8 o'clock in the night." to keep the remittances flowing. Unfortunately, the system at home we are part of makes every one a dog but just for survival, saving and future security is thought that is privilege. [REF-7].
Just a few pointers, everyone can decide for themselves. I reiterate my stance, whether a million or multi-millions one have, if one wanna invest in Real Estate, invest a fraction (max 25% to 40%). Economic and consequently Real Estate situation is highly uncertain.
CDA partially seals Safa Gold Mall
Ghauri Town residents protest CDA`s ban on utility connections
Property valuation rates for taxation raised in 20 cities
Imran paid a little over Rs100,000 as tax in 2017
PIA to charge fares in US dollars from August 12
PM’s appeal to invest in Diaspora bonds falls flat
Bailout for brokers
Pakistan: Foreign remittances grow 8.45 percent to 17.9 billion
in 10 Months
426 days ago