After experiencing a downfall in 2018, Pakistan economy was expected to pace up in 2019 and statistically, it was proved with time. As per official stats, GDP was increased 3.29 percent in the fiscal year of 2018-19 and there are various reasons of that. However, a complete shift was experienced in political horizon, which took the toll in form of falling short of targets and put limits on the growth of few sectors in leading cities of country such as real estate sector.
The sector intended to revive after a seemingly-stagnant market right after the new political party took position in the centre but since then, the investors have become cautious and before investing their hard-earned money into this sector, they want to be sure about the bright future of Pakistan real estate sector.
Most of the experts are optimistic about Pakistan real estate sector and give following statements to support their stance.
Investment (High ROI)
There is no doubt in saying that real estate is the only sector in Pakistan that always offers high returns on the investment both in short and the long term. This is the reason most of the people suggest you invest your savings in any kind of real estate. All you need is to conduct some research regarding the quality of development you intend to invest in, previous sales & and purchase trends in the given area, market trend, and developer’s reputation. This due diligence will help you invest in right kind of property and earn more from your investment in future. We can say real estate is a safe investment in Pakistan as compared to other investment vehicles like stocks, so you can invest here with confidence.
Oversease Pakistanis Confidence
Majority of Pakistanis working abroad prefer investing their hard-earned money back in their country because they think one day, they will have to come back to Pakistan and what can be a better option than real estate sector? Most of the high end residential societies in all leading cities, offering luxurious lifestyle equipped with amenities and facilities of international standard, manage to attract the attention of overseas Pakistanis. For instance, it is not wrong to say that the major reason behind the extension of DHA Lahore from Phase I to Phase IX and beyond is utmost interest and demand from overseas Pakistanis. Out of all major sectors reaping benefits from overseas investment, Pakistan real estate is at top.
Interest Rates for Bank
Despite the fact, the banks interest rate has been increased as compared to the last 10 years but the interest rates are relatively lower yet, which are not appealing to a number of investors. Lower interest rate urge people to withdraw their savings from banks and invest it elsewhere and what better option they are left with than investing in real estate? Elderly people will now prefer buying a home to let out and have a steady additional cash flow besides owning a tangible asset. Moreover, real estate asset also offers huge capital gain over time. Due to these reasons, real estate investment proves to be the best option right now.
These all indicators show that future is bright for Pakistan real estate sector and this sector also has the potential to drive many related sectors to grow.