Real Estate in Pakistan: Busting the myths
Posted On July 8, 2021
When making financial decisions regarding real estate, it’s wise to weigh your options and clearly understand the real estate market. It’s equally important to have accurate and complete information, and not be swayed away by common myths or misunderstandings. With so much misinformation on the internet, most people are discouraged and unconfident to deal in real estate.
Home prices have dropped significantly:
Real estate is one of the few investments that are considered safe among all other investment options. Since people will always need a home to live in, and especially after COVID-19, homes have been the central focus of our lives, real estate prices are not expected to decrease in the near future.
Under-construction projects are safer than constructed homes:
It’s a common belief to invest or buy under-construction homes, as the price of the property will eventually increase, and they will be able to generate a higher return on investment in the future. Most people pre-book the under-construction property at a discounted price from the developer and enjoy a higher ROI on it than constructed homes as they are costly. However, it is important to know that there are pros and cons to both, even if one is buying a project that is under construction, it is important to assess the legal matters and construction progress of the project.
Renting a property is safer:
Renting a property gives you the feasibility to choose a home according to your own income. It also offers budget flexibility without the hassle of paperwork and installment payments. However, owning a property gives one a sense of financial security and stability too. It is considered to be the safest investment option that involves low risk and consistent returns.
Real estate agents are not trustworthy:
With fraud prevalent in the real estate industry, most people prefer not to visit an agent for property-related concerns. However, the opposite is true; real estate agents are equipped with the knowledge and expertise in the real estate industry that can guide and offer you the best deals in town. Since agents work on a commission basis, they do their best to get the best deals within your set budget. However, it is best to do a market survey and select a credible and trusted resource to choose an agent.
Metro cities are the best choice for investment:
It’s a common misconception that metro cities are the best option when investing in real estate but that’s not true. There are many real estate options within the city that pay a higher rental income. However, since metro cities are crowded, most people prefer to live in the outskirts to benefit both from the commercial opportunities of the city and secure residential space to live in.
So what are you waiting for?
Make that investment and watch your money grow.