Assalam-o-alaikum:
I am contemplating buying a property in islamabad. I have the following questions:
Is buying an apartment a good idea or bad idea?
Do you recommend buying in established areas such as f 10 etc or should i buy in new developing areas such as close to nust?
How secure are these apartments as i see they have 24 hour security.
4 how much would a 3 br or 2 br cost? I have seen ranges from 1.5 - 2 crores in excellent areas on zameen.Com and cheaper in other areas
Thanks so much!
Adil Sb.
Flats are good for safety as if you close main entrance you are safe from outside world but apartment are prone to drain line leakages, when get old or if drain lines are not done properly.
In-house drain lines can be renewed but overhead leakages are permanent headache!
People prefer Penthouses as you own the roof rights and no overhead leaks but then lifts to be healthy and power to be available 24/7?
If you are opting for NUST, then G-15 is better for your Flat/house. But G-15 is not an A-rated development as main entrance is narrow and upkeep is not on par!
Why not opt for H-education sector in Islamabad?
Rather than buying a flat in 2 crores, buy a 5 Marla in G-14/4 ~ 1 crore and spend another crore to build your own double story house. You can rent one portion and that will bear your travelling to the NUST.
G-14 is well connected to Kashmir highway and more transport facilities are in the making.
AQ sb,
What about Defence Residency apartments. They sound much cheaper as compared with F 10 apartments. Could it be good idea to buy a flat in DHA Residency and rent it out for monthly income?
Muhammad Sb.
DHA-2 itself is a success story. The flats, you are asking is good investment for the rental income.
The things to be looked upon before buying:
---Dedicated car parking available for the resident and for a guest ?
---Is any servant quarter available, if flat owner want to bear the cost? Some towers do have servant room facility in the basements.
---Maintenance facility, free for how long and paid at what rate per sq/ft of the apartment?
---Lift availability for 24/7
---Security charges?
---Garbage collection on whom?
---Some towers offer also "garbage Chutes". A luxury for house wife indeed!
---Water/Gas availability, on water shortage, how flat's water tank would be topped up from a paid tanker?
Some general tips (pros & cons) for buying an apartment
1. Locality: In residential societies, generally Apartments are at the commercial or prime locations that is much better developed with all available facilities. For example, in Gulberg Greens an Apartment (2/3 bed 5 - 7 million) owner or tenant will enjoy same greenery, locality and facilities as that of a Farm House owner with 50 million+/- investment.
2. Rental Value & Price Appreciation: In good locations rental value of a furnished apartment can yield about 0.5% to 0.7%/month of total price. Price appreciation is not good. In KHI Apartments are in much more demand, in ISB, LHR trends are changing but as of now less price appreciation.
3. Security & Maintenance: Normally security and maintenance services are managed by developer at a price (2000 PKR approx/month for 1000 sq. ft.). Yes, Apartment life has better security, maintenance, and care free environment
4. Pricing: In ISB/RWP at good projects (BT, DHA, Gulberg, Enclave) Apartments are booked in the range of 5500 to 7000/sq. ft (on Avg.). Best time to buy on installments is at the time of prelaunch that can get one good 20%+ discount and Apartment of choice. You can also get the configuration customised as per your needs, after certain amounts have been paid.
5. Location of Apartment in the Building: Some developers charge more (2% to 5% extra) for Apartments closer to ground, some do it opposite. Avoid Apartments that are below ground level (i.e., basements), can be cheaper but less ventilation/sunlight and hard to rent out sale.
6. Front Facing vs Back Facing: Try to buy front facing apartment, same direction as main entrance. Will have better view with terrace and more demand for renting out. Front view terrace adds to the aesthetics, feel and demand of an apartment
7. Commercial vs Residential Project: Try to buy in an all residential apartments project, will be more peaceful. Mix of commercial vs residential can have grocery shops etc. right at the doorstep but too crowded and noisy.
8. Location of Apartment: Apartments in projects like BT, DHA, Gulberg are much better value for money. I heard Zarkoon Height (G-15) is good in terms of access, quality of construction etc.
9. Future of Apartment-based Investment: Slower appreciation comparatively, takes more time to sell off. General advice would be to go for 1000/1200 sq. ft. with 2 - 3 bed apartment in the range of 5 to 7 million. That can be better return in terms of rental value, comparatively easy to sell-off or exchange with other properties.
10. Legality: Check legal issues, that project is approved by CDA/RDA etc. Check approved layout plan to avoid any later disappointments or legal stay on construction.
11. Covered Area: It a tricky part, as circulation area, i.e., galleries/stairs/elevator areas are added in the area of the Apartment. For example, in an Apartment of 1000 sq. ft. Gallery/Stairs/Elevator slot etc. may take up 200+ sq. ft. to be paid by the purchaser/owner. Covered Area + Circulation Area. Check this before buying any apartment.
- Summary:
For personal living (smaller family) and short term rent out Apartments are good. For investment, price appreciation, not as of now.
Apartments in BT (Phase 1 to 4), DHA, Gulberg to me are better value for money.
Safety, Security, Maintenance is good and mostly dedicated in Apartments compared to house etc.
On Avg. 5500 to 7000/sq. ft. depending on location, facilities, and how much structure completed. 2 - 3 bed beyond 5 - 7 million is not that attractive, speaking in general terms.
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CDA sectors plots/houses is a different story. Mostly apartments in CDA sectors for me are overpriced and lesser value for money. Closer to NUST or that area G sectors can be better choice (explore Zarkon Heights). H-13 sounds attractive but H sector in principle was designed to be an educational sectors. H-13, as far as I recall can be cheap but had some litigations and some parts banned for construction and messed up layout.
Rest there are many existing threads on House Construction/Purchase/Renting, implicitly or explicitly.
** Personal view, subject to factual corrections, in case some obvious has been missed!
AQ sb and Imtiaz sb,
Thanks a lot for providing useful info and a deep analysis.
Regards
Assalam-o-Alaikum:
Thanks so much Aq and Imtiaz sahib. This is beyond helpful. So let me explain my rationale a bit. I travel a lot for work and do not want the hassle of a house and maintaining it otherwise the idea of G14 is excellent. Furthermore, I don’t ave a big family so I prefer having the coziness of an apartment. I want to live in it for the next few years. The reason I mentioned &10 was to have an established community and building so we know what we are getting into but I am quite open. Also, my ant lives in defense Karachi apartments on the ocean and while old they are excellent. So the question becomes:
Do people in Islamabad have the maturity to live in apartments without problems?
Last thing you want to do is fight with neighbors.
Also, if you do rent out do people destroy th place or there are well behaved renters?
Thanks so much for your responses! May Allah bless you all.
Adil
Adil sahab if you are looking for apartment then Zarkon Heights G-15 is a very good option.
Imtiaz: Makes sense. You nailed it when you mentioned Karachi as I see a steady state in many projects. Many parts of the world prefer a bit older say 2-3 years property as they would know the community that lives there. Also excellent observation about minimization than prevention as this is so true worldwide! I guess hearing horror stories by word of mouth exaggerates the problem at times.
Also your point about slower appreciation is very sound and also applicable globally. Having 2 or more br is far better than higher as the rate of return goes down considerably. I would love to narrow it down in the f, g or h areas as they are also closer to the airport and hence not as astronomical in price.
One thing I wonder though is the real estate crash seen globally but Al7amdulillah Pakistan seem to be immune. Is it the large population base or other factors at work I wonder.
Again, thanks for such clarity of thought and succinct answers.
Adil
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Apartments are not family-friendly in Pakistan. What if someone grabs your lady? What will you do? Kill him? Then end up in jail yourself. Because in a flawed justice system no one will listen to your self-defense argument.
2ndly Earthquakes are also an issue especially around Islamabad. (google 2005 earthquake). But Lahore and Karachi are the safest cities for apartments.
I say, buy a 4/5 marla house instead. These days apartments are not that cheap either. It is stupidity to buy a 3 bedroom apartment for over 1.5 crore when you can get a 3BR/4 marla house for that much or less.
Also for overseas Pakistanis or anyone who doesn't have a job in the middle of Islamabad shouldn't even live in Islamabad. Rather move to Phase-8. It's perfect living at reasonable rates.
Dear Naveed Sb:
I just came across it (Thanks to Imtiaz Sb pointing it out ) and I am researching it as we speak
Adil
Crimes: Allah forbid, a heinous crime and blunder could be committed even in the house of Allah, unfortunate reality. Statistically & Realistically speaking lady grab or for that sake any asset grab is more likely to happen in a standalone house then to be in a dedicated/secure/CCTV monitored place. How many times we hear theft/dacoit in Apartments? we do hear more often in housing colonies. I did mention apartment projects at decent places, where anyone with an intention to commit a blunder will more likely have to compromise 2 or more levels of security.
As a simple example, I visit my friend frequently in one of BT apartments. The guard at entrance knows me by face and intention, yet each time he asks me to fill in all details or initial days he asked me to surrender my CNIC to be collected upon my return.
I would leave Grab and Kill examples here and move on!
Structural Strengths: A decade or so ago, no one bothered about structural enforcements and unfortunate Margalla Tower happened. Times have changed. It can happen for sure but in recent years, I have unfortunately seen more old houses being collapsed (constructed on filled land) and deteriorated structures with no one to maintain than otherwise. Developer has to make lifelong earning out of that in terms of maintenance etc. Just check the structural compliance documents for commercials IN bts/DHAs. Allah protect all but any such unfortunate incident, when happen due to poor construction can financially drown the commercials of the entire project.
More people expire in car accidents and by mosquito bites then flights and snakes, yet fear prevails based on human perception.
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By no means, its advocating for or against the apartments. In Isb I would prefer a house 9/10 times over an apartment from my investment point of view but not at the expense of distorted facts!
For time being, I would discard anything in H sector.
Karachi is the only city in pakistan where living in apartment is likely seen and that too because buying a house is very costly and people settled for living in an apartment.In pindi and Islamabad the prices of land is still cheaper as compared plus the society and culture prefer to stay houses.
A 5 marla land in any decent society cost around 25 to 35 lakhs plus construction will cost around 35 to 40 lakhs so in total of 65 to 70 lakhs you can have your own double storey house having your own over head water tank ,own car parking , own mini lawn and design and construct according to your own taste and requirement then why go for apartment where neither the floor nor the roof is your own . And as the apartment gets old the market value goes down and problem with leakages arises.best example is Defence Residency apartments where we can see cracks and leakages .
Unfortunately, apartments in Rawalpindi city (Not BTs & DHAs) are not suitable for family living at all. There is a good possibility that “ unwanted people” will start coming in by making deals with the original renter. I think You do not need to ask me the gender of “unwanted people”?
This is like renting a flat in Murree in peak season for family vacations as your family will not be comfortable to the neighborhood environment!
BTs and DHAs flat living is OK. The renter’s class, I mentioned above normally call themselves as “ musical groups” but you will see activities inside beyond the musical activities.
Also “ I am in my house or I am in my flat” is becoming a normal way of life even in Islamabad between siblings of rich families.
Flats are good in capital for renting but for living still a house is preferable in twin cities if you do not opt for BT or DHA ‘s apartment living.
@Imtiaz sahib "Lady grab or for that sake any asset grab" LOL
Nice bit of humour thrown in for good measure but great detailed analysis as usual by yourself and Abdul Qayyum sahib.
Thanks AQ and Imtiaz! I agree about crimes and Allah forbid any earthquake issues as everyone has come a long way and I do believe there will be maturity going forward. I also concur that a house is much better in terms of investments and other factors but end of the day if you travel quite a bit then it is hard to upkeep as you do need to leave a gatekeeper etc. Just final questions I promise:
Are BT apartments/ houses on 99.year lease or you own the house?
If you do give a house/ portion on rent do you get clean families or still there are qabza style people who would squat, not pay rent and takes a lot for them to leave?
Thanks so much!
Adil
Adil Sb.
So far you are owner of your property in Pindi Bahria town on the strength of BT allotment letter.
But very soon a law is coming where you can register yourself with the land record office as a lease holder.
Being on a lease holder, nothing will change except you can apply for a bank loan on the leased plot, which is not possible now with BT allotment letter.
Another good step by IK govt.
All societies are coming under the said land record system with proper proceedings.
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Once you come out of ' Your Family Mishap' trauma go and visit houses in Phase to see structural cracks in Phase 8 houses and check the number of older multistory houses being collapsed/tilted/deteriorated/damaged during rainy seasons and their impacts on neighbouring units in old suburbs of RWP/LHR/KHI compared to properly built high-rises.
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Read this stupidity of yours above. You are the kind of person who thinks he is always right and everyone in this world is an idiot and their argument must be destroyed one way or another.
On one hand you say DHA, Bahria's compliance standards makes apartments safe and then on the other hand you say above about the Bahira houses.
Man you have lost your mind for real............ lol
Try to do something useful with your time instead of fooling people on this forum with your pseudo intellectualism.
You cant have it both ways and fool us! If you are in apartment promotion business have some ethics and respect for your work.
Baqi whole forum knows your crow is ALWAYS white!!!
Hahahahaha, this topic name needs to be changed to "Lady Grab Vs Asset Grab"...
Dear Admin, please assist.