- November 1, 2017
- Posted by: admin
- Category: Business plans
Pakistan is the country that is gradually traveling the phases of development and it is predicted that it will be soon listed among developed countries worldwide. Though, there are many problems being faced by citizens from different ends but Pakistan appears to be a fertile country in case of investment in real estate. Stats about the real estate industry are varying from time to time and as a whole there is an upward trend in profit margin associated with this area of business. In order to take quick profits, this market sees the capital growth opportunity in the long term that is a convincing thing for investors. If compared with other businesses of the country, there are healthy signs about this realty market. This is because of highest investment return. There are optimistic views from experts about future of real estate for the following main reasons.
Increase in Purchasing Power of People
Middle class size is about 60 million as per opinions of experts whereas other researchers are of the view that this number is of great importance. Decrease in country`s GDP leading to increase in inflation. Middle class is rising in Pakistan and this is a good sign as it shows increased purchasing power of people by notable ratio. As investment in real estate is free of interest and offers enormous capital gains over time. This means that there is opportunity for investors to build new houses or buy and sell land at great profits because more and more people are willing to purchase better accommodations now. Just like this, there is increased demand for commercial building as well which is why these are high profit areas.
Shortfall of Houses
Shortfall of housing in Pakistan is reaching to eight millions currently. This means that about 8,000,000 people have no personal home. Building materials cost comparatively less, still construction sector of Pakistan has not met hosing needs and this issue seems to be prevailing in the upcoming years. Labor cost is also comparatively affordable. This means there are great benefits for real estate investors to build houses and sell these or sublet as rentals. These factors make this industry a truly beneficial one. With rise of middle class, housing shortfall will increase further. So this is the opportunity to facilitate such people and earn great benefits for you.
With advancements there is an improvement in living standards which has attracted attention of many overseas Pakistan. Actually, many famous housing schemes are introducing extension phases due to interest of people abroad. This means there is opportunity for you to invest in such or some new housing scheme for Pakistanis living worldwide. Fruits of real estate are reaping as oversees are showing interest in Pakistani properties. They make investment because they have a plan of returning home.
So similar to estate agents, analysts and economists, buyers & investors both anticipate enhanced activity of real estate in Pakistan as this sector of investment has potential for driving other sectors as well.