I have seen this Zameen fourm and seen opinions like:
Bank profit = very little gain
Stocks = very risky
If I have 10 million and 2 years what can I do with it.
For bank I get 1.2 million in 2 years.
Where can I get with real estate?
Sir go for a 30x60 plot at g-14/4 or 1 kanal at dha 2…Insha Allah you would never regret.
That’s 10% profit per year. Which bank is offering you that kind of profit…
Purchase a 5 Marla double story home [ good construction] should cast you bet 60- 80 lacks depending on localities,
and put it on rent , possible rent should be bet 25-35 thousands per month,
now two years rent=24 months into 35000=8.4 lacks
now if the house is in good locality its annual price increase must be more than 8% means, if you have invested 10 millions so in next 2 years 16 lack most possible increase,
now in the end your total profit is 8.4+16=24.4 lacks minimum, with no fear of downtrend as houses prices rarely falls in real estate.
AGREED @Dk
Dear Dk,
To make a realistic case, we need to consider following as well
- Depreciation of the house in 2 years
After 2 years a new House would probably cost 16 lacs higher but a 2 year old house might not be sold at the price of new house. If the appreciation is 8% annually the house depreciation should be at least 3%, meaning we will be left with a net appreciation of only 5%.
- Maintenance of the house
You are lucky if you find a good tenant who keeps your house in order. Normally tenants damage the house badly and the repair and maintenance cost would probably be high. So in can you want to sell it after 2 years all the repairs, paints etc have to be done which will cost almost 20-30% of the rental outcome.
@ Saadi I have no idea of Islamabad so cant say anything.
@ H-t United Pushtoon Bank Limited. He says you will make a lot of profit but getting your hands on it is another thing.
@ Dk Once the novelty wears off the tenant disregards the well being of the house H-t is right your house will suck money instead of giving profit.
Buy plots cheap in good societies forget about them for 10 + years seems the best idea to me