Imran Khan’s Government and Real Estate Business in Pakistan

[Mr. A]

This is a million-dollar question which is in everyone’s mind that is related to real estate business in Pakistan. Since the new government formed, real estate prices are clearly showing bearish trends in all areas constantly. Huge selling pressure is being observed in the real estate business. In this article, we will try to figure out the reasons and factors.
The downfall of Prices:
Previous Finance minister Ishaaq Dar imposed extra taxes on all transfers of properties. It was the start of falling prices of real estate. Real estate business is the best choice of investors anywhere but with a friendly business environment.
1st 100 days of the PTI Government:
Since the government formed, immediately after a well-designed media campaign launched against the government to prove them incapable in result Pakistan Stock Exchange crashed badly, subsequently an economic panic situation arises across the country, moreover, currency devaluation impacted negatively. Do not worry; this situation is fizzled out already.
Tax Reforms:
Government looks determine in FBR (Federal Board of Revenue) reforms and few measures already taken in this regard. A task force has started working on tax reforms. This is also one of the factors in the current real estate market scenario.
Anti-corruption drive:
No doubt there are most of investment part in real estate is legitimate and people’s hard-earned money but in the same time real estate is the charming option for those who carry black money earned through unfair means like kick-back, tax evasion etc. Due to a massive crack-down on corrupt elements in Pakistan is also a reason of selling pressure in Pakistan’s real estate especially in posh areas.
Encouragement of Exports:
Government looks very much concerned about export-friendly policies for the manufacturers. This is the most effective source to build foreign reserves. If the government succeeds to achieve the set goals, revolution can be seen in real estate business in Pakistan.
Ease of Doing Business:
Commerce and Finance ministry officials have started working on “Ease of Doing Business” since Prime Minister Imran Khan has mentioned repeatedly about it in different speeches. A task force is also formed and they are working to start on one window operation for new startups and investors to start the business.
CPEC Impact:
At the moment, as per government statement 75000 jobs allocated to the Pakistanis since the CPEC started. In the days to come as CPEC projects will be taking place a big number of investors, businessmen and entrepreneurs are expecting to come to Pakistan. Foreigners can be a good tool to generate economic activity. Although it is hard to find the full detail of CPEC projects many areas are declared as industrial areas. Simply CPEC would be a great factor to boost the Real Estate business among others.
Real Estate vs. Stock Exchange:
Real estate market likely to be stock Exchange market Asad Umar Minister of Finance says. It’s not as simple as Minister said, Shares markets practices under rules & regulations but the real estate sector in Pakistan is totally a gray area business. It is a time taking procedure but it’s possible as we know 1st world real estate sector deals under a set mechanism which is helpful for both seller and purchaser.
Forecast of Real Estate Business in Pakistan:
Keeping in the view of the above factors we can assess the future market of real estate in Pakistan would be a prime business in Pakistan. It also depends on the quantum of government reforms achievements.
A wise Japanese economist’s famous saying is, ‘’Any Country’s economy can be gagged with real estate prices if getting increase means the economy is growing’’.
All the above scenario will no doubt favor the overall progress and prosperity of real estate business in Pakistan.

 

[surfer]

Mark Twain once said “Buy land. They are not making more of it”

 

[hassan.te]

I wish that real state market crash. Only then common man can afford to buy a piece of land. Investors should stay away from the real state in a country where millions of housing units are urgently required.

 

[islamabadi]

You dont even know what you are talking about and in addition to that your 4th grade English doesnt make it easier. What do you mean by "Real Estate business"...since when is real estate a business? I have heard of Real estate market but not business. Why are you measuring the "health" of the real estate market by the increase in prices? Go to any country....wether India....UAE...Saudi Arabia....they measure the real estate market by 2 parameters. They are:

The Number of units sold (the number of houses/apartments SOLD)
The number of units built (the number of houses/apartments built) in any given time period

Nobody gauges the "health" of the market by the increase in prices. If you have very little building activity...little supply...prices will increase...does it mean the real estate "business" is doing a roaring "business"? Pehle statistics lekar ao....from CDA...LDA....KDA....DHA and find out the number of housing units built or SALES REGISTERED...phir aakar thread banana...Property k Einstein

 

[Steyn]

You dont even know what you are talking about and in addition to that your 4th grade English doesnt make it easier. What do you mean by "Real Estate business"...since when is real estate a business? I have heard of Real estate market but not business. Why are you measuring the "health" of the real estate market by the increase in prices? Go to any country....wether India....UAE...Saudi Arabia....they measure the real estate market by 2 parameters. They are:

The Number of units sold (the number of houses/apartments SOLD)
The number of units built (the number of houses/apartments built) in any given time period

Nobody gauges the "health" of the market by the increase in prices. If you have very little building activity...little supply...prices will increase...does it mean the real estate "business" is doing a roaring "business"? Pehle statistics lekar ao....from CDA...LDA....KDA....DHA and find out the number of housing units built or SALES REGISTERED...phir aakar thread banana...Property k Einstein

Hahaha i thought i was the only one that felt he didn't explain the reasons right but i am naive when it comes to this stuff so thought maybe i don't understand it.