The prices generally increased in Pakistan as a whole and in the three major cities: Lahore, Karachi, and Islamabad. However, the growth in each case was minor, and more indicative of a stable market than anything else. The market has been persistently same for the past few months as the new government settles and tax reforms are executed.
Pakistan House Price Index
The graph indicates clearly the firm stability of real estate market in the post-election period in anticipation of policies of the new government. The property prices for houses in Pakistan rose just slightly during the month. The Pakistan House Price Index increased by 0.4 points in October, and currently stands at 234.76 points.
Pakistan Plot Price Index
The Pakistan Plot Price Index shows a picture quite similar to that of house price index. The index registered an increase of 0.33% during October, which again emphasises the stability of the market. The index points increased by 0.83 points to rise to 251.37 points.
Lahore House Price Index
The upwards trajectory of Lahore House Price Index also petered down to stabilise in October. The prices for houses in Lahore showed a small increase of 0.44%, going up by 1.08 index points. The Lahore House Price Index now stands at 244.80.
Lahore Plot Price Index
The slowing down was not as prominent in plot prices as in other indices, however, the curve of the graph on this too shows a line that is evening out. The prices of plots in Lahore exhibited an increase of 0.54%, as Lahore Plot Price Index rose by 1.62 index points. The Lahore Plot Price Index stood at 304.67 points at the end of October 2018.
Karachi House Price Index
The trend was different for Karachi house prices where, after a depreciation a few months, the prices have been appreciating steadily since. Indeed, though slight in both the months, the increase in the Karachi House Price Index was more prominent than the last month. The index rose by 1.41 points and stood at 204.35 index points, registering a growth of 0.7%.
Islamabad House Price Index
House prices in Islamabad registered a minimal growth of 0.08%, an increase of 0.15 index points, as if emphasising firmly the evenness of the house prices in the past few months. The Islamabad House Price Index stood at 178.43 index points in October 2018.
Islamabad Plot Price Index
The Islamabad Plot Price Index improved by 0.74%, as the index points appreciated by 2.29 points. The index stood at 313.55 by the end of the month in October 2018.
In general, the real estate market has been predictability uniform for the past few months following the budget and then the elections of the new government. The real estate investors in particular await the decisions of the new government and its execution of the tax and real estate reforms. The impact that Naya Pakistan Housing Programme is going to have on real estate is yet to be seen clearly as well.
