DHA Lahore’s Phase VIII has a lot to offer, but prices are seeing a continual dip. It has a location like no other, it is the only phase that is accessible from four interchanges of the Lahore Ring Road (LRR), and the Allama Iqbal International Airport is located at only a few minutes’ drive from the phase. So the drop in property value is confounding, to say the least.
The Defence Housing Authority (DHA) had announced possession for all blocks of the locality (except Block X) on December 29, 2016. However, the list of blocks ready for possession was rolled out on March 15, 2017. Since then, property values in the phase have seen a drop of PKR 1,000,000 to PKR 1,500,000. The question remains: why?
To start with, prices in the phase increased artificially because of a massive influx of investors. Many investors from across the country invested in the phase and they actually secured notable returns on investment. Now these investors are exiting the phase, which has resulted in the price drop.
The second reason is that Phase VIII is not populated yet and will take some years to develop. So, genuine homebuyers instead lean towards Phase VI, around 70% of which has been developed. Even the prices of properties in Phase VI are lower as compared to the prices of properties in Phase VIII.
The third reason is that the number of property sellers in the phase is greater than the number of buyers. This has created a demand and supply gap and has thus resulted in a drop in property values.
This does not mean that the phase has lost its potential for investment. Prices will start to increase here as soon as the development of houses and other commercial properties progresses. Currently, the prices of residential and commercial properties in the phase are as follows:
|
Residential plots |
|
| Plot type | Price range |
| 5 marla | PKR 3,500,000 to PKR 6,500,000 |
| 8 marla | PKR 7,500,000 to PKR 8,500,000 |
| 10 marla | PKR 9,000,000 to PKR 14,000,000 |
| 1 kanal | PKR 13,000,000 to PKR 30,000,000 |
|
Commercial plots |
|
| Plot type | Price range |
| 4 marla | PKR 30,000,000 to PKR 67,500,000 |
| 8 marla | PKR 62,500,000 to PKR 150,000,000 |
According to a source, some agents are trying to lift up this phase and you will probably see promotional material about it in the newspapers in the coming days. Ultimately, prices will increase here and this is the right time for investors with big budgets to jump in.
Phase VIII features a 148-kanal central park and every block of the phase has two to four parks. Furthermore, the Phase VIII Commercial Broadway is set to become one of the biggest business hubs in Lahore, but some more years are required for its development. In addition to this, the phase will feature five big shopping malls and last but not the least, it will also play host to the largest private hospital in Lahore.
For all those discerning investors looking for big returns in the long term, Phase VIII is an excellent option. What are views on the investment potential of this phase? Let me know in the comments section below.
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hello, my question is that why are phase VI prices lower than even under developed phases like VII AND VIII? is Phase VI not a good phase of DHA in terms of locality and access?
Can you compare Phase VI vs Phase VIII? MERITS AND DEMERITS, Including raya golf houses.
Thanks in advance
Dear Zain,
are these above mentioned rates are for cash purchase or is there any installment plans are also available??
Dear Zain, Overall good write up. However, the information is lopsided. It would have been more convincing if the price comparison of residential and commercial properties was done statistically over the last few years rather than generic statement. I beg to differ from the writer’s opinion regarding dip in the prices of land in DHA Phase VIII Lahore. I have been writing particularly on Phase VIII Lahore and one can read my BLOGs on Zameen. com. Phase – VIII due to numerous reasons, is likely to be most expensive phase in just few more months down the line. It will be offering highly posh and luxurious living standard not only in DHA Lahore rather in entire Lahore and suburbs. My suggestion to all the people who are seriously looking for good quality of life and planning to construct house, must consider Phase VIII as number 1 option. If I will find time, I will share my updated views again in detail.
Dear Sir,
please inform us this price is for installment plain or cash price.
thanks
I guess the reason of decrease could be zero population but still i think it is one of the greatest place in Lahore to live life after 3-4 years will it gets further more develope.
Thanks Zameen.com for sharing this valuable info, I might personally think to get a plot over there.
Dear Zain,
Thanks for an insightful blog on phase VIII. I am an overseas Pakistani. I have recently purchased a 1 kanal residential plot in phase VII block – Y close to block Z in Feb this year. Please also shed some light on phase VII and its future prospects.
I have a couple of friends asking for an advise. Please give your valuable advise. thanks again!!
There is just one reason for the drop in prices and lack of buyer’s interest in phase VIII…. high price of this phase and availability of cheaper options to live and invest!
All other reasons you mentioned are due to this fact. Prices of Phase 8 have remained high since last 4-5 years and investors have not made any money on this investment in the last 4-5 years.
If someone wants to live in DHA, he can simply buy a plot in Phase 6 at similar rates and construct his ideal house there where there is already established community living with shops and houses. If someone wants to invest, he can simply buy a plot in phase 9, which is as deserted as phase 8, but prices of phase 8 are more than double the prices of phase 9. It’s all a matter of price.
Drop in land price is actually a good sign for RE industry. More land prices go down, more new houses people will build which not only good for material industry but also for job creation.
Hope prices of land keep dropping as they are highly over-inflated at this point.