How did Karachi’s real estate market respond to the call of a new beginning?

Karachi is the first city to respond to the changes many are hoping to see in the months to come. According to our sources, a sudden rise in transaction volume was noticed the next day after the General Elections 2018 took place. And these buyers weren’t just checking out if the time is ripe to purchase property, they in fact moved ahead with and settled their transactions for some of the prime real estate developments. So what could possibly be the shape of Karachi’s property market by the end of the year?

New neighbourhoods up on the ranks!

This popular tool can come actually very handy to determine market trends; you should make use of it. According to Zameen.com’s buying trends for plots in Karachi, Scheme 33 has emerged as the new favourite among potential buyers browsing the portal.

Our sources believe that the prime location of Scheme 33 and availability of a wide range of projects within the neighbourhood is what made the society leave behind the popular project to claim the top ranks on Zameen trends. Our trusted sources have revealed that the demand is particularly high for the newly launched Rabia Enclave among buyers looking to purchase property on instalments.

What about the prime developments?

Marking its second spot on Zameen trends, Bahria Town Karachi has also started to perform with slight improvement in transaction volume. The current situation is unfamiliar to the dealers operating in this project. Currently, the market is being dominated by the buyers, who because of being limited in number, have an upper hand in deciding the final rates. According to Muhammad Esa of Esa Enterprises, buyers currently have a strong margin to negotiate rates where the deal is often settled at rates lower by 15% than the asking price.

In fact, many agents are currently on the lookout to buy property in Bahria Town Karachi at cheaper than market rates for their respective clients. These investors believe that now is the right time to buy property in Karachi but for that they aren’t willing to pay the asking price yet.

The update from DHA City

Well, the news certainly is positive; the market activity here has resumed. According to Ejaz Siddiqui of Imtiaz Enterprise, the demand for plots in DHA City Karachi has soared and most of the demand is triggered by investors having medium-term investment plans. Siddiqui believes that the consistent drop seen during the last couple of years in the absence of strong investment activity is among the reasons why DHA City Karachi has responded just on time to the call.

With hopes weaved around the policies of the new government for the real estate sectors and the industries connected to it, Siddiqui believes that the rates will be gone up by at least 20% by the end of the year. With vertical development already underway, DHA City Karachi is believed to be equally good for the end users.

Clarity demanded on taxation

A lot of people associated with the property sector are still unclear about the taxes they are required to pay as buyer or seller under the new taxation system. In addition to that, they are also hoping that the new government might revoke some of these taxes.

It is widely expected of many members of the upcoming government to make major changes in the taxation system where targets would be to set tax rates at minimum level for the sake of getting more taxpayers on board. Real estate investors, property consultants, builders, and agents are also anticipating significant related developments in the next few months.

Stay tuned for more updates. In the meanwhile if you have something to add to the article or have query for us, let us know by leaving a comment below.