The growing popularity of Pakistan’s realty sector for providing slow
but steady and safe returns is helping it attract huge investment. This
is raising the demand of Pakistan property and uplifting it further.
From the last many years, we have been reading reports about stagnant
property prices in many posh societies including Bahria Town and DHA
Lahore, the fact of the matter is that property here has been
experiencing a constant and steady growth.

Experts, who believed property prices have been
improving slowly after their boom from 2001-2004, are also predicting
better future for the sector. They believe if demand of property rises
with the same pace, Pakistan property sector will soon strike back to
its original position. However, to ensure sound returns from your
investment made in Pakistan real estate, making a well informed decision
is a key element. Avoiding theses five mistakes can help investors make
the right decision.

Do-It-Yourself Attitude! – Some investors
like making their own decisions and taking advice from others is never
an option for them. Since property investment can sometime involve the
investment of lifetime, this “do-it-yourself” is a wrong attitude. To
make a successful purchase, never underestimate the importance of hiring
reputable real estate agent, attorney, property surveyor or insurance
representative. Though they charge fees for their services but help you
make a wise decision.

Believing in Speculations! – Some investors
believe real estate investment is like stock exchange investment where
prices hike with speculations. This is a wrong belief. Never follow the
herd. You can not expect property prices to double in just two or three
years since Pakistan realty investment offers slow but steady gains. So,
never let speculations drive your purchasing decision.

Buying at
Market Value! – Many investors believe buying property at market value
is the best price to pay for the chosen property. It can be true in some
cases but you should never forget to use your negotiation skills and
convince the seller to slash listed price. In some societies like DHA
Lahore and Bahria Town, chances of hunting huge bargains are less yet
one can always expect a reasonable bargain with good negotiation skills.
Moreover, if buyers hunt distressed properties, they can expect
bargains of up to 70% against its market value.

Relying
on Brief Surveys! -If buyers hunt property on real estate finance in
Pakistan, the lender surveys property before loan approval. Many
investors in order to reduce the cost of hiring an independent surveyor
rely on bank survey only, which is a wrong practice. Bank surveys are
short and don’t take into account the accurate condition and age of
property. Though hiring an independent surveyor requires money yet the
little cost spent here can save you huge bucks later.

Underestimating
Costs! – Many investors consider the mentioned cost or asking price of
property as the final cost they are required to close the deal. However,
they should not forget if they are buying on mortgage besides the
initial installment, they are also required to pay insurance costs, bank
fees, closing costs and surveying costs and therefore proper budget
must be allocated for this purpose. Moreover, as a buyer, you would also
require some money to refurbish the house and decorate it with
necessary equipments to give it a homey feeling.

If investors
avoid these mistakes, they can be successful in hunting ideal properties
in Pakistan. An investment made today in Pakistan property can reward
you with high capital gains and steady returns in the near future, so
make sure to make the right decision.