Please shed some light…
Any information?
Power affect Real Estate, Bahria is a good example.
Any other bro…
@Anti Devilers.Before telling you what I mean with this term.I will give you 2 latest example of price manipulation in real estate sector of RWP/ISBD.You might have noticed or not but just after Eid-ul_Adha in October,prices of 5 marla in enclave 1 went up from 24 lac to above 30 lac without any genuine reason.This increase was not because of normal buying demand but some group intentionally increased the prices by buying all available plots for sale in the market and demanded more plots at 30 lacs.This was artificial increase because they had to launch thousands of plots at 39 lac fifty thousand.If price was there at 22 lac to 24 lac,nobody would be interested to buy new launched plots at this price.
Multi did the same in B/17 in last August.Prices were stable from last one year with 10-20% up from last year.Someone took all available plots from the market and demanded further plots at higher prices.This was also deliberate increase in prices not based on normal supply/demand of customers.Someone intentionally did that.And then we saw multi launched new sector D in Multi orchard.This increase was done intentionally for specefic purposes.Only original Property GURUS can do that not everybody. This is called price manipulation.
Price manipulation is a deliberate attempt to interfere in normal supply/demand atmosphere of market to increase or decrease prices.I hope you could understand this with above 2 examples.
Thanks AJ and Again Thanks.
Welcome Anti Devilers.This is an important factor in investments and businesses and cannot be ignored.
@AJ: Good answer. In your opinion, what could be the end result of these properties manipulations? Do you think prices in BE1 and B-17 will come down to normal level or will stay as these are (at increased prices)?
@IB.Well it depends on market ,how original buyer/seller feels about society and it’s rates.I don’t think any big dip as overall prices in Zone 2 developed societies are same.If some are undervalued ,those could go further up like Ghauri town,Cabinet division(E-17) and second reason of their subdued prices is poor service and standard comparatively with other societies.Enclave 1 is 6 lac per marla and possession not given, prices right now are 27-28 lacs i.e less than 6 lac per marla.This is average price of non-possession plots in CDA sectors.Atleast Enclave 1 will get possession as compared to CDA sectors.If market all over goes down,then these will affect with same ratio.That’s my analysis. I could be wrong though
Thanx AJ for the explanation!