Kitchen with the living room – how to choose accessories?
One of the long-lasting trends in interior design is connecting the kitchen with the living room. Designers focus on opening the living space in such a way as to visually enlarge it and give households the impression of space even in small rooms. This solution has its advantages – it brings the household members closer together and makes them stay in the same room more often.
How to arrange a kitchen connected to the living room? It is worth ensuring that the style is consistent so that the dining, kitchen and sitting areas form a unity, rather than look like separate rooms. How to achieve it? By choosing the right colors, accessories and equipment.
How to choose colors for an open kitchen?
When we decide to open the kitchen to the living room to gain additional space and optically enlarge it, the obvious choice may be white or very bright walls. They give the impression of even greater spaciousness, brightness and lightness. However, such colors can be hardly practical in places where we prepare and eat meals. So let’s use the growing popularity of gray then. Gray walls do not overwhelm the interior and are so versatile that they can be combined with dark and light furniture. They are suitable for both kitchen and leisure spaces and fit many styles. They also come in a rich palette of shades – both warm and cold, so everyone can choose the gray that suits them best.
What about dark and bright colors? You should act a little more carefully here. If the interior obtained from the combination of the living room and kitchen space is still small, then black, red, burgundy, brown or navy blue will overwhelm them and optically reduce. The same will happen when our open kitchen open to the living room is poorly lit. Then the dark colors will make it seem bleak, sad and tight. Dark and expressive shades can, however, be successfully used as a color accent combining spaces with different functionality. In the kitchen zone, such a wall will contrast nicely with bright tiles and furniture, while remaining functional. In the leisure sphere, it will add mood to the place where we sit in the evenings. If the remaining walls are still bright, it will not overwhelm the space, it will only diversify it. It will pay attention and add multidimensionality and character.
And what if we want to apply a dark color on all walls? Then you should opt for bright furniture and as many reflective accessories as possible – metallic, crystal and mirror. They will balance dark wallpapers or paint used on the walls.
Harmony of colors and textures does not have to mean boredom – color accents and patterns
Combining the living room with the kitchen, you need to keep the same style and color in each of the room zones. However, such harmony does not necessarily mean boredom and monotony. The interior can be varied and at the same time mixed if you use:
• strong color accent on the walls and accessories
If you choose one accent color, you don’t have to use identical shades everywhere. Pillows and curtains may differ slightly. A slight difference in shades will give the interior depth and originality. However, it is important to keep the same tones – warm or cold. This will keep the consistency and impression of harmony.
You can also use two different accent colors, both similar to each other (e.g. green and yellow), and contrasting with each other (e.g. blue and red). However, remember that choosing three or more colors can give the impression of disorder and a smaller space (especially in a small room).
When choosing accessories in accent colors, pay attention not only to the seating and dining area but also to the kitchen itself. Here, it is more difficult to diversify the space with colors, because fewer textile accessories are used. However, you can always match the outstanding color of the tiles or good quality handles for kitchen cupboards. It is also worth buying household appliances, e.g. a toaster, electric kettle, and coffee maker in the same accent color that matches the curtains, pillows, and decorations in the seating and dining area. This will connect all the zones of the room with each other and make them form a harmonious whole. The effect will be the most aesthetic if the equipment will come from the same series.
• patterns
If you want to mix space in the kitchen with the living room, you can also apply a variety of designs. Recently, not only Moroccan wallpapers and tiles are popular, but also graphic, floral and leaf motifs. Furniture handles with ceramics are very suitable for such patterns. Ceramics used in ceramic handles that we offer in our store are of the highest quality and some models have floral designs.
Why choose such accents? Patterns can effectively enlarge the space, e.g. horizontal stripes will optically lengthen the wall, and small patterns such as dots and zigzags will visually enlarge the space and deepen the impression of multidimensionality. In turn, floral elements add romance, coziness, and lightness to the room.
• metallic additions and distinctive textures
Connecting different zones in a kitchen open to the living room does not necessarily have to be done using color. You can keep the room monochrome and clean by placing only decorations and accessories that are metallic and with a mirror effect. Such details shine nicely and guarantee the effect of visual enlargement of space and brightening of the interior. More crystal and decorative accessories will work in glamour arrangements. These types of arrangements look great if you use crystal furniture knobs.
In turn, interiors with a raw and metallic appearance can be emphasized by modern bar handles. This type of furniture handles come in a glossy version: gold, copper and chrome, and matte: black and brass. Chrome and shiny elements can also be easily duplicated in the kitchen area itself (e.g. by finishing cabinets and household appliances).
You will also get similar consistency thanks to interesting textures. Not only will they diversify the monotonous colors, but they also give depth and multi-dimensionality to the entire room. Convex diamond-style patterns (consisting of small triangles that reflect light differently at different angles) are currently particularly popular. They look extravagant and modern. They fit both harsh and glamorous interiors. The diamond texture motif can be used, for example, on some kitchen cabinet fronts and duplicated on furniture in the living room or in accessories such as vases, photo frames, and lampshades.
When planning the interior and combining the functions of many rooms, remember to stick to a consistent style and one dominant theme. Try to avoid the impression of clutter and exaggeration. In the kitchen and living room, you spend the most time during the day, so these spaces should please the eye and be completely comfortable for you.
Kitchen with the living room – how to choose accessories?
How to upgrade Kitchen Cabinets?- easy way to modernize your interior
“I would change something” … who of us did not say this sentence once, looking around the interior of your home or apartment? Furniture handles or furniture knobs are small elements but have great potential. So, if you have a relatively small budget, and you want to refresh the arrangement, start making changes just with them.
The Internet is an inexhaustible source of inspiration for those who like arrangement metamorphoses. Often, however, our dreams lose with reality, because transferring a colorful picture to the interior in which we live every day is not an easy task. Finance is often a limitation.
But do changes really have to be expensive?
Not at all! All you need is a can of paint, new furniture pulls and knobs, an original furniture handle, and a pinch of fantasy, for the old piece of furniture to change beyond recognition.
Room cabinet handles
A quick and cheap way to make a big metamorphosis can be rearranging furniture, which, however – especially in small areas – is not always possible. A proven method is also changing the interior color, not necessarily associated with painting the walls.
Just choose a new color for the pillows on the sofa, throw a patterned blanket over your favorite sofa, choose the matching curtains and rug, and the interior will immediately take on a new character. To emphasize the metamorphosis of furniture, simply replace the furniture handles or install new furniture knobs in a similar color.
Bosetti Marella and Giusti furniture handles and knobs are offered in many finishes, shapes, and colors. This stylistic diversity gives many possibilities. Lovers of underlining modern as well as classic and even rustic styles will find their inspiration here.
Kitchen furniture handles
It would seem that the place where the field to show off is the smallest is the kitchen because we cannot interfere in the permanent building or arrangement of equipment. So what are our options? Of course, you can repaint the fronts, and a wide range of paints (e.g. chalk) allows you to do it yourself. In combination with new handles, kitchen furniture will have a new face after repainting. For those who do not have a DIY soul, there are less radical steps, such as adding an additional shelf, changing the colors of accessories, displaying cups in a single color, which will bring a fresh breeze to the kitchen.
It is equally easy to replace kitchen furniture handles, which anyone can carry out alone, without having specialized equipment or advanced skills.
– Replacing kitchen furniture handles is a cheap and simple way to give your furniture a new look. You can easily play with contrast by adding, for example, simple black furniture handles, which are gaining popularity recently.
You can also do the opposite – to dark kitchen cabinets add gold or chrome handles.
How to upgrade Kitchen Cabinets?- easy way to modernize your interior
- Published in Style Your Home
Why You Should Pick HomeLane For Safe Home Interiors
You are probably reading this article because you are about to embark on your home interiors journey, and are mulling over the decision of choosing between a local carpenter and an interiors company. Traditionally, carpenters have been the go-to source for getting home interiors done. But now you have the option of picking a fully-equipped interior design company like HomeLane, which uses the most modern technology to set up your home’s interiors – from design to managing production and installation.
Here are a few reasons why HomeLane has an edge over your friendly neighbourhood carpenter/contractor:
Manpower to prioritise your order
You don’t have to worry about delays from our side because our factories are all set to begin work (as soon as the lockdown is lifted) and we have the manpower to get started on projects immediately. We prioritise orders based on the order date – so the sooner you place your order, the faster we get started.
Reduced contact at your new house
The company’s installers won’t be staying and working out of your new home for months. Once the interiors are made at the factory, we’ll only come over to install them. Less work required to be done at your house means fewer people working on site. This, in turn, implies a reduced amount of direct contact with us.
Zero supervision
When you entrust your home with us, you can be assured that we’ll deliver without you having to monitor or supervise us. You won’t have to step out of your house to check on us at any point. In fact, we will keep you posted about your home interiors on a regular basis. Our team will always be in touch with you to answer any queries that you may have and ensure that you are given complete clarity throughout your design journey.
More time from your designer
You will be getting uninterrupted time and advice from your dedicated, expert designer. You decide how much time you need – to discuss, research and ask questions – before making decisions. Get your dream home done the way you always wanted, in the budget that you have in mind. We are literally a phone call away.
Get what you see, literally
HomeLane’s 3D visualisation tool, SpaceCraft, lets you translate the home of your dream into a 3D visual that you can see, interact with, print and even share with family members. All you need to do is provide your floor plan and your designer can create a realistic 3D rendering with walls, windows, wallpaper etc. The tool offers available options based on your budget and design requirements. Right from your home, you can change and see all the aspects including layout, colour, texture, size, style and more. You can also see the price differences according to your choices, giving you 100% transparency throughout the whole process – something that carpenters just can’t offer. With HomeLane’s SpaceCraft, you will be a vital part of the design journey rather than being just a spectator.
Equipped inventory
HomeLane offers a plethora of options when it comes to materials, colours and more so that our customers can customize their interiors exactly the way they want. Our factories and warehouses have inventories to meet consumer demand, even in these challenging times. So you don’t have to worry about delays regarding this at all.
Organised & factory-made modular furniture
HomeLane products are factory-made which reduces local dependency and thus can also be made quicker. The factory-made finish gives your furniture a neat, seamless look that is difficult to achieve with hand-made products. Also, when it comes to durability and maintenance, engineered wood which is used in modular furniture, is better than solid wood used by carpenters.
5-year guarantee
Finally, one crucial differentiator between your local carpenter and HomeLane is the fact that when you pick us, we are committing to a long-term relationship. We are not just about finishing a project and handing it over. We take customer service seriously. With our 5-year warranty, you can be assured that your interiors will not only be created but also maintained hassle-free!
Why You Should Pick HomeLane For Safe Home Interiors
- Published in Style Your Home
Design Your Bedroom To Encourage Deep And Restful Sleep
Your bedroom has to be your escape from the hustle-bustle of the world. After a stressful day, a good night’s rest is what you need to begin the next day refreshed and rejuvenated. Wondering how to make your bedroom give you all this? Here are some key elements to keep in in mind while designing your bedroom:
Focus On The Bed
The most important element of your bedroom is, you guessed it, the bed! That’s why you should not compromise on the quality and invest in the best quality mattress and pillows that you can afford. The bed frame should also be sturdy. Beds made of good quality wood are often found to be the best.
Indulge In Luxurious Linen
Buying soft, comfortable linen can make a world of difference to your sleep. Consider buying silk sheets and pillow covers. Silk is extremely gentle on your body and it also doesn’t dry out your hair. It is also naturally hypoallergenic, being particularly useful for patients of asthma, shingles, osteoarthritis and eczema. If silk sheets are beyond your budget, opt for pure cotton sheets with high thread counts.
Think About The Lighting
Lighting is very important in your bedroom design. A bright bedroom, filled with sunlight can kickstart your day on the right note. However, if your bed is placed so that early morning rays wake you up, it can leave you sleep-deprived and tired. Installing heavy curtains is a great way to keep the light out and for you to get the deep sleep that you need. You could also get sheer curtains so that you have an option for soft lighting in the afternoons. Use gentle lighting, in the form of bedside lamps and wall lights so that your room is conducive for sleep at night. For an added cosy feel, you could light up some tea lights and candles as well.
Adding Colour To Your bedroom
Your bedroom can reflect your personality but when it comes to the walls you should also make sure that you don’t pick a hue that is too vibrant. Neutral and muted pastels are your best options. Lighter colours also make the room appear larger. However, if you pick the right shade, even darker tones can add warmth and intimacy to the room. If you want to add splashes of colours to your bedroom, doing so with the bedding and décor is your best option.
Your Room Décor Is Important
Try to keep the clutter out of your bedroom. Make sure that you have enough storage so that things are not lying about outside. However, don’t overdo it with furniture pieces – more floor space can mean more mental space. Also, too many furniture pieces can block the airflow in the room. Having proper airflow is vital to create a comfortable room. Accessorize your room to reflect your personality and to create a calm, soothing environment where you can relax. Add a couple of your favourite photographs or paintings on your walls. Also, add some plants if possible. Plants in the bedroom have numerous benefits including removing toxins from the air.
Involve Your Other Senses
Think beyond the visual appeal in your bedroom. The sounds and smells in your room can also affect your mood. Lavender, bergamot, chamomile and ylang-ylang are all used in aromatherapy to help people relax. Experiment with essential oils and a diffuser, or scented candles in these fragrances. Sleep sounds are another popular relaxation tool that is easily available. Try out sounds of the ocean, the forest or maybe even static. You never know what works for you to achieve that deep slumber you crave.
The main thing to remember is that it is important to create balance and harmony in your bedroom irrespective of your bedding, décor and lighting choices. It is the most personal space in your home, so make sure that your own little oasis is a place where you feel pampered, safe and relaxed. Investing in a little luxury is always worth it because you are investing in yourself and your sleep – that’s priceless!
Design Your Bedroom To Encourage Deep And Restful Sleep
- Published in Style Your Home
Quick Tips to Select the Right Work Table
Your workspace is usually where you spend the majority of your day. That’s why this space should be conducive to your productivity and your health. While there may be restrictions on how you can personalize your space at the office, you can pick a work table at home that suits all your requirements. Especially now with the work from home (WFH) culture accepted as the norm more and more, you must give your workspace some thought.
There have been many studies done that highlight the importance of using furniture that is built ergonomically – with the right postural alignment and using materials that are beneficial for the body.
1. Work Table Height
Many of us are unaware that there is a ‘right’ height for work tables. Ideally, your desk height should be such that when you type on the keyboard, your arms and hands should be roughly parallel to the floor. Also, your feet should be flat on the floor, and your legs should fit comfortably under the desk.
Here’s how you can find out if a table is a right height for you; Sit in front of your desk as you would normally while working. While resting your arms at the side, your elbow should be at a 90-degree angle and upper arms aligned with the upper body. If your hands are resting comfortably on the chair, it means that the height of the desk is right for you. If you find that you have to raise your arms to place them on the table or lean back, you may be straining your body – especially the back, neck and shoulders.
Keep an eye out for tables with height-adjustable legs, because even though the standard height of most tables is 29 inches, no one size fits all. If you have already a table and cannot invest in a new one that supports this posture, get yourself a keyboard tray or a footrest to correct your alignment. Another possibility is to put your desk on risers or adjusting your chair’s seat height.
2. Work Table Material
Most tables are made of wood, and the kind of wood you choose could affect your work environment. Softwoods such as pine and birch wood are less durable, get dented and marked easily. But they are also very comfortable to work on. Oak and maple are hardwoods that are slightly expensive but hardy and long-lasting. They tend to warp easily according to the vagaries of the weather and need regular upkeep. Modular workbenches or work tables made of MDF or plywood are popular choices. These aren’t affected by humidity, are strong and durable, can be sanded if damaged and provide a flatter surface to work on. Combination wood comprising of MDF or plywood layered over a hardwood base is cheaper, can be put together easily and can be used for an extended period of time.
3. Storage and Working Surface
When you choose a work table, consider what your requirements are. What do you like and dislike about your current workstation? Do you find it to be too large for just your laptop and a bottle of water? If you have a crowded table with lots of supplies, multiple monitors and decor items overflowing, it might mean that you need a larger table with more storage. Remember, even if you like the minimalist look in general, a minimal work table without storage may not be what works for you. The key to picking the right table is to find one that works for you.
Some of the other work table features that you could look out for are:
- A pull-out surface which will give you more workspace when you need it but hides away when you don’t.
- If you use a desktop, rather than a laptop, you could think of getting a computer compartment to tuck away the large equipment. However, these could block airways.
- Holes or channels for cords are an excellent way to keep those pesky wires hidden.
- If storage is a concern, you could consider a desk with a built-in hutch. These offer lots of storage but you will find that they cant be placed just about anywhere in the home.
- The number of drawers you require depends on how much storage you need.
You should also consider where you will be placing your work table. If you are going to be placing it in a large room, you have the luxury to choose the centre of the room. The centre would be ideal if you want the table to be the main feature in the room. It will take up more space in a room, but would be a good option if you have people over for meetings as it can be more accomodating. However, if your table is in the centre, the room space could be wasted. Tables in the corner of rooms are more discreet and functional. They take up less space which means that you can use the room for other activities as well.
Quick Tips to Select the Right Work Table
- Published in Style Your Home
Creative Ways of Using Photo Frames in your Home Décor
Photographs capture memories and freeze happy moments with family and friends forever. Take a peek down memory lane with these creative ways of using the photo frames in your home décor!
Create a Gallery Wall
If you have a blank wall in your living room, a gallery wall is a great way to showcase pictures and prints that you love. Put together a collection of photographs that mean something to you, and mix and match art images or even 3D objects to make an unusual arrangement. This designer has followed a black, grey and white collection, and juxtaposed graphic prints with posters that go with the chosen theme.
Mix and Match Frame Designs
You can intersperse chunky photo frames in wood, textured bamboo, colourful cloth or simple black outlines to create a mishmash of patterns and forms that go well together. Tired of the look? Spend a bit of time and move them all around, to create an entirely different appearance.
Personalize your Work Space
There’s nothing quite as personal as a framed photo of someone you love, propped up at your desk to give you inspiration as you work. We love the eclectic collection of objects grouped together around the frame, all with a black and tan thread running through to tie them together.
Vertical Panel of Pictures
This is a lovely way to group together images that matter. Pick matching square frames with a simple black outline, and fill them with pictures that tell a story in a sequence. The irregular spacing of the strings behind the pictures adds to the drama, while the pictures themselves are placed in a perfectly symmetrical manner.
Bits of Nature, Frozen in Time
A pretty flower that’s been pressed inside the pages of a book or a leafy arrangement is all it takes to transpose you back in time to the cherished memory of an adventure camp, a childhood friend or a summer holiday. Preserve those good times forever between two panes of glass, and frame them for eternity.
Your Family Tree
Heres a lovely way to put photos of your loved ones together. Your grandparents, of course, come right at the bottom and you can add pictures of your family through generations along the branches and twigs. The branches and leaves can be inked on the wall with a stencil. The best part of this arrangement is that you can keep adding pictures every time there is an addition to the family!
Swap Out DIY Frame
This simple DIY frame uses a metal wire, or even a rope, teased into a triangular frame on the wall, with horizontal lines at marked intervals. You can keep adding prints using small paper clips, and swap them out for newer ones as you wish.
Clothes Clips and Fairy Lights
Here’s a lovely way to string up a collection of photographs using some twine and clothes clips. Twinkling fairy lights that are threaded around the pictures make a pretty picture at night. This is also a great idea for a family dinner celebrating a birthday or a festival, as you can put together photographs of similar get-togethers that you’ve had in the past.
A Staircase Gallery Wall
The wall alongside your staircase is often neglected when it comes to interior design, but here’s a stunning idea to add interest. This designer has used perfectly matched, symmetrically placed picture frames, but you could choose to be just as creative as you would like! Mix and match square, rectangular or circular frames, and intersperse vintage black and white images with coloured prints to tell the story of your family.
Creative Ways of Using Photo Frames in your Home Décor
- Published in Style Your Home
Investment in Pakistan’s Real Estate Market
In real estate market, 2019 is considered as a worse year for Pakistan property. As we know that buyers or investors are always seeking for the best time to invest so maybe 2020 is going to be a perfect year for them to invest in market. Though sellers want to know about their properties to be sold out and would look attractive towards the buyers or investors. As you know that this market is beneficial for business purpose, like construction etcetera, so basically 2020 will turn out to be advantageous for suppliers and purchasers as well. Investing in the properties don’t supply shelter for living, anyhow, it looks like a best resource for saving money for one’s future.
What Buyers and Sellers are supposed to do?
As we have already mentioned about 2019 that it has been the worst year for both buyers and sellers. However, sellers are not in good condition as compared to buyers because a seller has only two options, first; they should wait for the price to get high again. Second; sell their property at a low prices to ignore bigger losses. On the other hand, buyers and investors are supposed to get knowledge about the market of earlier 5-10 years. However, 2003-6 and 2013 were the best years for buyers, yet 2007 till 2009 and now 2019 were the worst years.
Recent Trends of Realty Estate Pakistan:
- Condition of agents:
Due to the fall of real estate market, agents were badly effected and we got to know through current news that about 40-45% of them have already left because of low income. So condition looks worse due to the fact that they have confronted great loss and severe crisis.
- Capacity of property undertaking:
Recently, transactions found to be lowest as compared to 2015-16. In 2016 transactions and data file transmissions were recorded 180-200 on daily basis in DHA Lahore but in 2019 it turned out to be 10-20. Lower amount of undertaking is directly proportional to low investments in real estate so apparently this equation leads to a price decline. As capacity of property dealings is an exemplary indicator of the conditions of market.
- Transfer of market to buyers from investors:
Pakistan property has changed to genuine buyers from investors, buyers who now only buy properties to live in. The transfer has now ended and price too have cooled down. But before this, Pakistan property on daily basis used to market shares and stocks.
Valuable areas for investment in 2020:
Are you looking out to invest some handsome amount where you will be benefitted too? Then you should be likely to invest in subsequent areas of Karachi without being remorse at the end of the day.
- Gulshan e Maymar:
In 2019 this area has changed a lot commercially and has done an uncertain job to make it valuable for investors. However, investors earned a very handsome yield in commercial areas of Gulshan e Maymar against their investments. Although, this area is considered one of the famous areas of Karachi that contains amazing parks with beautiful infrastructure and also is clean as compared to other commercial areas of this city. Anyhow, investing in such areas would be advantageous.
- Bahria Town Karachi:
Bahria town is known to be one of the biggest developments, Karachi has ever come across, which has given a unique concept of gated residential advancement. This project has given so much to the real estate sector like jobs for construction purpose and much more. This is the only residential society around Pakistan that is deficit free from security and power. After getting huge success from Lahore, it then expanded in Islamabad and Karachi as well. Though, without uncertainty bahria town Karachi becomes even more successful because of having elite lifestyle, safety and vast land. Bahria town has not only made elite class houses and flats for the upper class community, yet, also made Awami Villas for lower and middle class community. But due to certain circumstances in land disputes and non-reimbursement of some properties, regrettably we will not recommend you to invest in 2020 because it is still struggling. So this year, better refrain from investing in bahria except for some blocks.
- Defense Housing Authority (DHA) Karachi:
Defense Housing Authority lie under the administration of Pakistan Army and is an another massive success in housing schemes. DHA has expanded in distinct cities of Pakistan such as Lahore, Karachi, Islamabad etcetera and currently it is launched in Gujranwala and Multan as well. DHA come under highly secured areas though it is called an armed area. So investing your amount in here would definitely be beneficial in 2020 as we have already elucidated its features and exquisite infrastructure.
The residential development schemes such that, Bahria Town and DHA are playing cardinal role in the advancement of real estate sector. By the government plans and continuous efforts from such residential would evaluate this sector and it will definitely increase the economy of our country in the upcoming years.
Basic advice for investors in 2020:
This year would be beneficial for the investors, likewise PM Imran Khan has already given permission to invest and no queries such that, where did this money come from or any question regarding your income will be asked. Consider it a plus point because from now onwards you are free to invest. Before buying or selling any property, you survey different categories like apartments, houses, industrial, residential or commercial area and invest wherever or whatever you want but we advise you to look after every possible complication that would refrain you from misleading by the real estate which has no value. It is solely way better to invest in less popular area as prices are going to increase in future as predicted. Try to be real estate investor not a risk-taker, therefore, do not buy illegal properties just for the sake of investing less money because somehow, you are going to fulfil its requirements if caught red-handed.
Investment in Pakistan’s Real Estate Market
- Published in News, Tips & Advice, Trends
Real estate: Strict regulation of market need of the hour
Lahore:
Pakistan’s real estate market is developing with every passing day. The emergence of new real estate groups is changing the investment trend from long to short term.
Though many cautious investors park their money in the construction of housing units or simply purchase completely built units to rent them out for income generation, still a majority prefers to invest in land for a better or sometimes quick return, experts say.
The charm of better and instant return has increased the flow of liquidity in the property market and most of the people are not hesitant to invest their savings. In the past few years, the unstable law and order situation and a high cost of doing business had forced many to sell their business and put money in the real estate market.
The diminishing agriculture income is another reason for many small and medium-sized landlords to sell rural land and go for pumping money into urban property.
Though there are some rules and regulations and state authorities to deal with matters pertaining to the sale and purchase of land, they are not helping to build investor confidence. Apart from some private housing schemes, fraud and land-grabbing is the norm and state laws fail to offer any relief and solution to the problem.
As a result, experts say, money keeps on circulating among few particular housing schemes, which are marketed as a safe haven for investment with better infrastructure and other facilities. Nevertheless, the developers of these private housing schemes often fail to hand over possession to the buyers on the announced date.
Price manipulation
For the past few years, the game of investment starts with the issuance of registration forms of a housing society, then these are converted into files and at later stages plot numbers are given after balloting. Between these processes, a lot of money flows as the investment is not huge and anyone with a few thousand rupees can enter the arena to fetch a handsome return.
Almost in every case, according to experts, the management of a housing society is accused of releasing registration forms or plot files more than the actual number of plots.
The ultimate beneficiaries are the real estate groups and some big investors. They work as a cartel to set high prices for the project’s popularity and at later stages they weaken the market and buy plots at much lower rates to fix the issue of excess files.
Every time this happens, but whenever the same group announces plan for developing another housing society, investors rush again to buy the property and the same old story is repeated. Perhaps, they have not many investment choices available.
Experts say there is a dire need to regulate and document the real estate market and put in place a strong check and balance mechanism as investor’s numbers are increasing due to rapid urbanization. Only strict rules and an independent authority could put a check on such developers in order to force them to deliver what they have promised.
These measures will help in limiting the unexpected hike in land prices and slowly turn this scattered but an important segment of the economy into an organized sector. This will also help in boosting investor confidence and once things are streamlined, real estate could prove to be one of the most lucrative sectors both for investors and the government.
Real estate: Strict regulation of market need of the hour
- Published in News
Pakistan’s valiant real estate market
LAHORE:
Pakistan’s real estate market tends to ignore broad scale macroeconomic indicators, posting growth even as foreign direct investment falls or infrastructure spending remains stingy.
Data from an online property portal, Zameen.com, shows the country’s property market has posted a phenomenal growth of 118% in the last five years. This high growth rate can be attributed to robust demand from seasonal investors, genuine buyers and an overwhelmingly better security situation.
Karachi:
Karachi has led the way in terms of growth with the strongest figures coming from the port city’s residential plots. In Karachi, an average residential plot price in January 2011 was at Rs2, 276 per square feet but amounted to Rs8,089 by January 2016. The city posted a growth of 255% in the last five years.
Lahore’s case is not that different. Data revealed that average prices of residential plots have observed a 149% growth in the last five years. Average price in the city soared to Rs3,339 per square feet in January 2016 from Rs1,336 in January 2011.
The country’s capital city also posted an average growth of 143% in residential plots, where prices reached Rs2, 699 per square feet in January 2016 from Rs1,108 per square feet in January 2011.
Zameen.com Chief Executive Officer Zeeshan Ali Khan said that it is likely that the growth trend will continue due to increasing urbanisation and demand for housing.
“Pakistan’s economy is expected to grow and with the China Pakistan Economic Corridor (CPEC) coming up additional opportunities for the economy will open including the real estate sector.”
Khan said that the effect of CPEC is already evident in Gwadar, where average property prices have risen up to 70%. In some areas of Gwadar, a growth of around 200% has been recorded over the last few years, said Khan.
While many real estate experts believe that prices have reached a peak and a downfall is imminent, Khan said the slide is unlikely. “Majority of the dealings are carried out in cash and there is less dependence on mortgage loan facilities. The market remains a safe bet.
“There is little or no concept of mortgage finances in Pakistan to buy land or a housing unit. We mostly deal in cash. Hence, in stagnant markets, people have the much-needed holding power.”
Pakistan’s valiant real estate market
- Published in News
Pakistan’s property market awaits chance for an upturn
New government and its economic reforms could bring about that reason to cheer
Dubai
A crippling currency decline and a worsening economy were not able to crimp Pakistan’s property market in the last 18 months. Now, with the political situation having cleared up with a new government in power, developers are building up some great expectations on the sector’s performance.
“Developers for the most part have remained aggressive with their launches, not only in the major cities but in Tier 2 areas of Hyderabad, Peshawar and Quetta as well,” said Furqan Hussain, who heads Quice Industries. “This trend is expected to continue because the depth of demand is clearly self-evident.” The developer currently has three projects in Karachi City, and is exploring the possibility of making an appearance in Islamabad within the next two three years.
Hussain’s optimism would have seemed misplaced just six months ago. At the time, the rupee seemed locked into a spiral, and had dropped more than 20 per cent since January 2017. (A dollar gets Rs124.12 based on the Friday exchange rate.)
There was constant chatter about the need for some sort of help from the International Monetary Fund to prop up a fast deteriorating situation.
But the recent elections and Imran Khan’s step up as Prime Minister seem to have brought the economy some breathing space. In the real estate space, developers say there aren’t any overt concerns about high supply getting caught out by muted demand.
Zeeshan Zaki, Director at Saima Builders, said, “Demand for offplan remains robust in Karachi and that’s across all income strata. We have not experienced an adverse slowdown despite the political climate prior to the elections.
“With regards to our immediate plans, we see no change to our pace of launches. In fact, we feel the pace might even increase given the optimism over the new government’s policies.”
Will non-resident Pakistanis come through in sizeable numbers? According to Hussain, apart from at the top end of the residential market, expect investment flow into Pakistan real estate hasn’t exactly being seeing a surge.
According to Sameer Lakhani, Managing Director at the consultancy Global Capital Partners, “Real estate values did remained muted over the last year — but this is not the same as saying demand is projected to fall. Pakistan faces an acute housing shortage across all income levels, and housing schemes that have thus far been announced will not fully address this shortage.
“While the overall picture remains optimistic after the elections, market participants are still waiting on the direction of economic policies by the new government and which will set the tone for 2019 and beyond. Should the government provide impetus for the affordable housing push — backed by mortgage reform and the offering of such products by the banking sector — property values can then enter a period of sustained growth.
“This optimism obviously needs to be tempered against the backdrop of rising interest rates, which is always a negative for real estate markets.”
But for the moment, developers are willing to get by on that optimism alone. After all, they have had to get through much worse in the recent past. for Pak Real estate Jobs.
Pakistan’s property market awaits chance for an upturn
- Published in News
Dubai expects World Expo 2020 to boost sluggish real estate market
Dubai: The World Expo in 2020 has the potential to stimulate Dubai’s downhill real estate market, US credit rating agency Standard and Poor’s (S&P) said Tuesday.
Rents and prices of the real estate market fell 5 percent to 10 percent in 2017 and will continue the trend until 2019, said S&P in its study titled “Dubai’s Real Estate Slump Is Set To Persist, With Only Expo 2020 Offering Any Hope.”
However, how much stimulus the world expo, which will run from October 2020 until April 2021, could provide for Gulf Arab sheikhdom with 2.5 million inhabitants “remains to be seen,” it added.
“In 2020, the sector could well start to benefit from the potential increase in economic activity and positive business sentiment attached to Expo,” the rate agency noted.
Dubai 2018 budget foresees $15.5 bn expenditure ahead of Expo
“The expected 25 million or more visitors and floods of new residents to Dubai should support the market,” it explained.
But it also warned that a speculative surge in prices, devoid of any demand and supply mismatch, could be a negative side effect of the boom.
Earlier in January, real global estate service firm JLL said approximately 575,000 new real estate units could enter the market until 2020.
The Expo 2020 venue will be held near Dubai’s newest free zone Dubai South, wedged between Dubai’s free port Jebel Ali and the 2010 opened Al Maktoum International airport, which is poised to become the world’s biggest civil aviation hub once expanded and completed by 2025.
Dubai expects World Expo 2020 to boost sluggish real estate market
- Published in News
Market insights: Property Investment in Pakistan – Stay Ahead of the Markets
Purchasing a home (whether a house or an apartment) is widely considered a secure and profitable form of investment. And in Pakistan’s case, there is more truth to this statement than meets the eye. A distinctive feature of the country’s real estate sector is that it hits record highs and lows over a relatively short period of a few years. At times of bullish trends in the market, the sector attains unprecedented growth levels of over 10%. In sharp contrast, the realty industry in most other parts of the world follows a more steady growth pattern.
The State Bank of Pakistan (SBP), in its report on ‘The State of Pakistan’s Economy’, recently noted that the combined contribution of the construction and housing sectors “has been consistently higher than nine-percent over the past decade”. The document further mentioned that the real estate industry stimulates activities in other affiliated sectors of the national economy – such as cement, wood, steel, bricks, and cables.
Unprecedented Growth Trends – Leading to High Investment Returns
The central bank also cites data on concurrent market prices in the same report. Since 2011, according to estimates, the prices of plots in Pakistan have nearly tripled, whereas house prices have surged by 139%. Experts identify this market dynamic as having been fuelled by intensive speculation. They say that investors in Pakistan treat real estate as a commodity: property is purchased in bulk, and later sold for higher gains.
Such activities are no longer limited to the mainstream urban centers. Gated communities, for instance, are increasingly gaining traction in the smaller cities, as opposed to their somewhat slower entrenchment in major metropolises like Lahore, Karachi and Islamabad. These large-city locations have almost reached saturation levels concerning their land availability for new projects. A large number of builders and developers have also opted for apartments and mixed-development situated in the suburbs of these cities.
In documenting these trends, local property experts think that increased levels of urbanization and migration have resulted in the development of second-tier city centers. They also see no merit in the perception that the residential and commercial projects in these areas are affected by low consumer demand. Instead, they contend that the residents of smaller cities have a lot of buying power and affluence – owing to a flourishing agrarian economy that works to keep their pockets full.
Exorbitant Profits are ‘in for the taking’
When questioned on why real estate is considered to be the most attractive form of investment in the country, property market gurus refer to it as being a staple mode of securing hard-earned money that yields both short-term and long-term gains. Investors, further, have the option to choose from plots, houses, farmhouses, and apartments; some of the safest kinds of securities on offer.
A good way to sift through these choices (as many locals have learned by now) is to make use of one of the many online platforms that have recently emerged in the country’s web-scape – all targeted at cashing-in on some part of the real estate pie. Some, such as the recently launched feeta.pk, work by providing free access to dynamic property listings (considered ready for the taking). Others are organized more along the lines of a conventional brick ‘n’ mortar real estate brokerage – where you first have to go through a ‘middle man’ to connect with your preferred property option.
Market insights: Property Investment in Pakistan – Stay Ahead of the Markets
- Published in News, Tips & Advice, Trends
Prospects & Challenges in 2020 and CPEC
PAKISTAN’S real estate has a large contribution to its economic growth. According to a World Bank estimate, the size of a country’s real estate assets constitutes between 60 and 70% of the country’s total wealth; if these estimates are applied to Pakistan, the estimated size of the real estate sector would be $300 to $400 billion. Because of many financial, economic and political challenges, real estate has not performed well in 2019. But, there are bright prospects that there will be a high growth in the real sector in 2020.
There has been a slowdown in real estate since 2017 because of political instability and uncertainty of economic and financial policies. Absence of incentives for the investors, the imposition of ban on non-filers to buy a property worth more than 5 million unless they register themselves with the Federal Board of Revenue (FBR), FBR’s strict regulation on banking transactions of non-filers, levying of high taxes on transfers of property discouraged the investors to put their money in the sector in 2018-19. Another factor that contributed to slowdown of the real estate is non-utilization of developmental budget that led to contraction of construction sector and consequently, realty sector.
Despite the gloomy outlook of the real estate sector, there are compelling facts that indicate that the 2020 year will be encouraging for the investors, especially for the overseas Pakistanis. Among the promising factors which paint encouraging pictures for the real estate sector are the boom of the tourism industry. Inbound tourism in Pakistan has witnessed a marked increase of over 70 percent during the year 2019 as compared to corresponding year, mainly due to multiple initiatives, especially improved security situations.
Similarly, Pakistan is treading the right path by creating a favorable environment for businesses as the World Bank has ranked Pakistan 108th in global ranking in its “Doing Business 2020” report. The previous ranking of Pakistan was 136 in ease of business report which indicates the improvement of 28 places from previous year. Improved business environment will attract foreign direct investment into the country and create employment opportunities for the youth. According to a World Bank report, an increase in foreign investment and an expansion of the market has a direct link with the worth of real estate.
CPEC is another mammoth development project that will transform the economy of Pakistan and resultantly, the real estate sector will boom in the coming years. Special economic zones of CPEC are yet to be completed, but the positive impact of CPEC can be seen in the form of improved situation of the power sector and partial completion of the Lahore-Karachi motorway. Distance between Lahore and Multan has been cut short to 3 and a half hours from an earlier 5-hour distance. Businesses and investors are now touting Multan as the new economic hub of Pakistan. Development of DHA Multan and DHA Bahawalpur are some of the few examples that give credence to this fact that CPEC will transform the real estate business in 2020.
There is no denying the fact that the coming years will be an expansion of the real estate sector.
However, there are certain challenges to progress in the real estate sector in Pakistan. Withholding tax on non-filers on banking transactions, FBR notices to banking customers to authenticate their money sources are shattering the confidences of investors and compelling them to do banking transactions in cash. Up to 37 percent of the banking transactions are in cash which reduces the financial industry’s lending ability, says Asad Umar, former Finance Minister. This needs to be brought down to 25pc, and in Bangladesh, the cash-to-deposit ratio is at 16pc, he observed.
Likewise, Pakistani Diaspora is an asset to Pakistan as they spend huge amounts of money to Pakistan. According to the State Bank, Pakistan received a record $21.84 billion in remittances in 2019-20. The government needs to understand the fact that Overseas Pakistanis only invest their money in the real estate sector as they are not able to do business in Pakistan. The cumbersome procedure, imposition of high taxes on non-filer Overseas Pakistanis and requirement of visiting Pakistan for the completion of property acquiring process are some of many reasons that have discouraged Overseas Pakistanis to invest their money in the real estate sector.
All over the world, real estate and stock markets play a key role in the economic growth of a country. But, real estate in Pakistan is not able to reach its maximum potential because of the over-regulation by the FBR. At present, there is no tax on the property that is held for more than four years. But, a five percent tax will be imposed if the property of worth Rs 5 million is sold within four years and a 15 percent tax will be imposed on property sold within ten years of ownership. Increasing the tax rate and banning the non-filer is no solution. Only well-articulated research is required to broaden the tax net by incentivizing the non-filers to become filers.
The government needs to understand that its two projects of 5 million housing schemes and 10 million job schemes will only get success when the real estate sector grows because there are more than 100 industries, directly and indirectly, related to it. A boom in real estate will fuel growth in other industries such as the construction industry which accounts for 2% of the GDP of Pakistan. Taxing the already taxpayer will inflict harm in two ways; one it will squeeze the tax base as people will start using cash transactions instead of banking transaction and will hide their wealth, secondly, investors will park their wealth outside Pakistan and will purchase properties in Britain, Dubai, and investing money in offshore companies. There is a need to follow an incremental approach in reforming the system as fast track reforms can have negative implications for the economy, especially the real estate.
Prospects & Challenges in 2020 and CPEC
Property prices and forecast of real estate Pakistan 2020
Nowadays, it looks difficult to buy a house in Pakistan with all the taxes and as per increment of a dollar but there’s no need to get disheartened as Government has consoled the taxes as well. Inflation is rising so do the prices of houses. In 2019, nationwide prices rose to PKR 10,875 per square feet by 5.05%, also got dropped by 3.98%. However, for every house, city, area, and location there are distinct prices per Marla or Kanal, it depends. You need to know the actual prices per square feet before buying or selling houses. Following are the prices of 5 Marla houses in distinct cities of Pakistan:
Prices in Lahore:
- DHA (Defence Housing Authority):
In DHA Lahore, there are 4,020 properties on sale including total houses (3,919), flats (97), Penthouse (3), and farmhouse (1). The current price of 5 Marla house is 14,186 PKR per square feet, increased by 1.84% of last year.
- Bahria Town:
In Bahria Town, a total of 246 properties are on sale including houses (195), flats (48) and upper portions (2). The current price of 5 Marla house is 11,657 PKR per square feet, increased by 5.33% in a year.
- Johar Town:
In Johar Town, total houses between 2-6 Marla on sale are 1,442 including houses (1,231), flats (208) and lower portions (2). The current price is 13,633 PKR per square feet increased by 6.56% since last year.
- Wapda Town:
In Wapda Town, there are 626 properties between 4-6 Marla including houses. The current price of 1-5 Marla is 12,079 per square feet changed by -1.97% in a year.
Prices in Karachi:
- DHA:
It includes 5,507 properties including houses (2,986), flats (2,498), penthouse (18), lower portions (4), upper portion (1). The current price of Marla house is 38,829 PKR per square feet altered by 6.94 percent in a year.
- Bahria Town:
In Bahria Town Karachi, almost 6,175 houses for sale including houses (4.085), flats (14), penthouses (6), upper portions (1). The current price of 5 Marla house is 9,690 PKR per square feet increased by 2.49 percent in a year.
- Gulshan-e-Iqbal:
In Gulshan-e-Iqbal, there are almost 3,275 houses for sale including houses (996), flats (1,973), upper portions (209), lower portions (69), Penthouse (28). The current price of 5 Marla house is 16,534 PKR per square feet changed by -5.15% in a year.
Prices in Islamabad:
- DHA:
In DHA, there are 1,831 properties for sale including houses (1,202), flats (621), Penthouse (7), farmhouse (1). The current price of 5 Marla house is 10,596 PKR square per feet changed by 6.09% in a year.
- Bahria Town:
In Bahria Town, total aggregate is 965 properties on sale including houses (729), flats (226), farmhouse (6), penthouse (4). The current price of 5 Marla house is 12,920 PKR per square feet altered by 3.26%.
- Pakistan Public Works Department (PWD) housing scheme:
In PWD, total houses on sale are 157 including (137) houses and (20) flats. The current price of 5 Marla house is 7,559 PKR per square feet altered by 8.33% in a year.
Future of Real State of Pakistan
Real Estate Investment in Pakistan has always been a remunerative business to secure a healthy amount of your well-earned money. The good old buying and selling phenomenon makes it easier to understand the simple rule of gaining profit in this investment sector and with the right type of land guide by your side, the chances of harvesting huge sums of turnout are like a walk in the park.
Let’s start with the types of real estate you can invest your money in, either to get benefit from the deal or a home-sweet-home for your lovely family.
Types of Real Estate Pakistan:
Reducing the vast field of real estate investment sectors in Pakistan to six major categories, we have;
- Residential grounds
- Agricultural grounds
- Industrial grounds
- Commercial grounds
- Government grounds
- Stark grounds
Overview of Pakistan’s Real Estate Market:
To know which is the best way to get the most benefits out of your investments? It is better to know about the history of real estate business in Pakistan and here, we come handy, to have a short overview ready for you to give a glance at and get to know the reasonable investment plans.
Pakistan’s Real Estate Forecast 2016:
The year of 2016 had been a golden year in the history of Pakistan’s Real Estate Market. It was a profitable year for all the sellers as well as the realtors, giving everyone’s business a friendly nudge in the upward direction. Many new local real estate agencies came into view in Pakistan in 2016 for both short as well as long term business.
Pakistan’s Real Estate Forecast 2017:
In 2017, due to the currency depreciation and skepticism over government policy, many international investors decided to stake in Pakistan’s real estate as the country has been successful in introducing pro-business reforms and boosting the current account deficit. But after the Panama Case incident, the property market crashed badly.
Pakistan’s Real Estate Forecast 2018:
In 2018, after the discoveries and leads to the case culprits made public, the estate market of Pakistan had to face a great fall. Property prices went down 25% from the peak in the beginning half of the year 2017. Properties worth millions had to be sold for thousands. Some buyers were waiting for the right time to invest when the property prices would strike their bottom lines. A price decline of about 40-50% was witnessed yet we maintained our legacy of giving the best investing advice to people.
Pakistan’s Real Estate Forecast 2019:
In the year 2019, the investment market was still struggling from the ignominious debacle. The sellers were trying to find the buyers with white money, some were holding on to the properties and waiting for the prices to take uphold. Realtors were the ones suffering the most. Half of them were forced to close their agencies by the upset situation of real estate. But we managed to provide our investors with sites that led them to secure a healthy amount of profit.
What to Expect from Pakistan’s Real Estate Market in 2020?
Moving on from 2019 to 2020, the year promises a good period for investments despite what others might say about the drawbacks. There is always more than one way to look at a glass that’s half-filled or as we would like to say, half full.
Market Status quo:
The real estate market is suffering a low curve due to all the attention towards the pandemic situation of the world. People, from all over the world are coming back to their homeland and now is the best time to invest money in real estate to secure all the valuable assets under your hold to get the most profit possible.
As for the sellers and realtors, this is a good time to cash out your priced property and get a good reasonable amount for your benefits.
Property prices and forecast of real estate Pakistan 2020
Future of Real State of Pakistan
Real Estate Investment in Pakistan has always been a remunerative business to secure a healthy amount of your well-earned money. The good old buying and selling phenomenon makes it easier to understand the simple rule of gaining profit in this investment sector and with the right type of land guide by your side, the chances of harvesting huge sums of turnout are like a walk in the park.
Let’s start with the types of real estate you can invest your money in, either to get good benefits from the deal or a home-sweet-home for your lovely family.
Types of Real Estate Pakistan
Reducing the vast field of real estate investment sectors in Pakistan to six major categories, we have;
- Residential grounds
- Agricultural grounds
- Industrial grounds
- Commercial grounds
- Government grounds
- Stark grounds
Overview of Pakistan’s Real Estate Market
To know which is the best way to get the most benefits out of your investments, it is better to know about the history of real estate business in Pakistan and here, we come handy, to have a short overview ready for you to give a glance at and get to know the reasonable investment plans.
Pakistan’s Real Estate Forecast 2016
The year of 2016 had been a golden year in the history of Pakistan’s Real Estate Market. It was a profitable year for all the sellers as well as the realtors, giving everyone’s business a friendly nudge in the upward direction. Many new local real estate agencies came into view in Pakistan in 2016 for both short as well as long term business.
Pakistan’s Real Estate Forecast 2017
In 2017, due to the currency depreciation and skepticism over government policy, many international investors decided to stake in Pakistan’s real estate as the country has been successful in introducing pro-business reforms and boosting the current account deficit. But after the Panama Case incident, the property market crashed badly.
Pakistan’s Real Estate Forecast 2018
In 2018, after the discoveries and leads to the case culprits made public, the estate market of Pakistan had to face a great fall. Property prices went down 25% from the peak in the beginning half of the year 2017. Properties worth millions had to be sold for thousands. Some buyers were waiting for the right time to invest when the property prices would strike their bottom lines. A price decline of about 40-50% was witnessed yet we maintained our legacy of giving the best investing advice to people.
Pakistan’s Real Estate Forecast 2019
In the year 2019, the investment market was still struggling from the ignominious debacle. The sellers were trying to find the buyers with white money, some were holding on to the properties and waiting for the prices to take uphold. Realtors were the ones suffering the most. Half of them were forced to close their agencies by the upset situation of real estate. But we managed to provide our investors with sites that led them to secure a healthy amount of profit.
What to Expect from Pakistan’s Real Estate Market in 2020
Moving on from 2019 to 2020, the year promises a good period for investments despite what others might say about the drawbacks. There is always more than one way to look at a glass that’s half-filled or as we would like to say, half full.
Market Status quo
The real estate market is suffering a low curve due to all the attention towards the pandemic situation of the world. People, from all over the world are coming back to their homeland and now is the best time to invest money in real estate to secure all the valuable assets under your hold to get the most profit possible.
As for the sellers and realtors, this is a good time to cash out your priced property and get a good reasonable amount for your benefits.
Here, we provide you with a list of projects that will help you boost the chances to get the maximum amount of benefits out of your investments.
- Bahria Town Lahore 5 Marla House for sale
- Houses for sale in DHA Defence Lahore
- Mortgage House Lahore
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Future of Real State of Pakistan
Government Incentives for Pakistan’s Construction Industry
The prime minister of Pakistan, Imran Khan has announced on 3rd April 2020 to re-open construction sectors for those people who have been struggling due to COVID-19 pandemic, daily wagers and laborers are highly necessitated and in need of food and income, so from 14th April 2020, the renewal of these sectors were to be pledged. Solely, for that purpose, he is conferring incentives of 1200 billion rupees. Moreover, 150 billion out of the total amount so far has been released a week ago. Due to this widespread disease, 10 million people have already applied to the AHSAS program. Basically, PM is aiding poverty-stricken people by providing them 12000 Pakistan rupees through this initiative.
Initiating status of the construction industry:
The construction sector is the second biggest sector after agriculture where several jobs are being laid out yet, the government has already re-opened the agricultural sector to provide jobs for daily wagers and Jobless and also to shut out coronavirus by the giving resources of it. The economy of Pakistan is directly proportional to the construction industry, it means ongoing work in construction industry would balance the economy in the respective circumstances. Apparently, the status of initiating construction industry is approved by the prime minister. However, the execution of this statement was counseled to be postponed until the next budget by Federal Business Revenue (FBR) and ministry. The government also announced establishing the Construction Industry Development Board (CIBD) to aid or promoting construction industry.
Incentives:
- Freedom for Investors:
He further enunciates that whoever is investing this year in construction industry would not be asked any question related to investments, the sources of income or where is the origin point of their money? So consider it a good news for those who are willing, have been allowed to invest.
- Consolation in taxes:
The fixed-tax regime had been announced by the government for construction sectors. Since, it seemed one of the complications confronted by the construction industry and they appealed to fix it. So from now on taxes will be reduced to refrain from agitating daily wagers. The taxes are supposed to be given in square yards or square feet as demanded by them. Although, if this sector helps in building the NAYA PAKISTAN HOUSING SCHEME, then the taxes will be reduced by 90% which means 10 rupees for every hundred. However, formal sectors like steel industries and cement industries are intended to give taxes respectively. And likewise, exempted for informal sectors so basically it has become very helpful for our lower-class community to get almost tax free jobs.
- Rationalization of Capital Gain Tax (CGT):
This sounds good news for those who want to sell their house as the regime has exempted capital gain tax (CGT). So the huge asset of making the construction sector, an industry and making it an organization so that the construction industry can be promoted in distinct purposes. Subsidy of 30 billion rupees is introduced to expand the structure of NAYA PAKISTAN HOUSING SCHEME.
- Reduction in sales tax:
Prime minister said both the provinces, KPK and Punjab respectively, are conjoined to diminish sales tax and already have made it less by 2%. So that it could help the buyers and sellers to some extent.
- Estimation of real estate:
The procedure of the latest estimation of urban real estate organizations of specific cities has been initiated by the Federal Business of Revenue (FBR). This process requires acceleration for the betterment of current circumstances.
Review about incentive-package for construction sector:
Though it seems a good package for the construction sector that will going to give Real Estate Market a new meaning or purpose to start, also it will manipulate builders and developers in almost everything. This package will provide a lot of job opportunities for daily wagers and jobless people to prevent hunger in this coronavirus pandemic. Due to this, Pakistan’s economy would get on board as well in such strenuous time. As a whole, this package directs the betterment of the economy assisted through the construction industry which will play a cardinal role in it. The future of real estate looks better with this bundle of incentives as it is going to offer our youth, distinct jobs and also for the other traders as well. Once, we are done with this quarantine, we’ll be seeing this industry rising in the future.
Government Incentives for Pakistan’s Construction Industry
- Published in Construction, Construction Company, Construction Company in Pakistan, News, Trends
An Expats Guide to Invest in Pakistan Property
Expats are those nationalists of a country that works day and night for their country as well as for saving a better future for their children and family. A huge amount of Pakistanis are also working in other countries and send a large amount in the form of remittances to their motherland. Studies show that overseas Pakistanis sends almost 11.8 billion in the form of remittance if the first 7 months of 2018 from which most of the amount invested in the real estate sector. Real estate proves to be a beneficial sector for many years and that’s the reason that every ex-pat wants to invest in this sector. So here I am ging you some of the expert advice that will help you to secure your hard-earned money and also earned some handsome profit. So if you are an ex-pat and reading all this then believe me you are in the right place. Some of the major guidelines for ex-pats to invest in Pakistan that they must have to acquire are as follows:
Register As a Tax Filer:
The first thing ex-pat must have to do before investing in the real estate sector in Pakistan is to register as a tax filer. As the government of Pakistan also providing a lot of facilities to filers and has tightened the rules for the nonfilers. As you become a tax filer you pay your taxes to the government regularly and registered your purchasing property in the records of government so there are no chances of frauds and also by becoming a tax filer you pay much less in the form of taxes as compared to nonfiler as a nonfiler pays an almost double amount of taxes while purchasing any property. So don’t late anymore and become a tax filer and save your hard-earned money.
Invest In Selected Societies:
One of the most important rules you must have to follow while investing is to check the society owner’s previous record. If you get some benefit in some small private societies in the past then it does not mean that you always get benefit from the private societies. Investing in private colonies or societies is a matter of great risk. But you don’t need to worry anymore as we bring here some of the verified housing societies such as:
Defence Housing Authority: DHA is a long-running and scandal-free housing scheme till the date.DHA launches its new societies every year just like DHA Multan and DHA Karachi are new ever projects in which you can invest.
Bahria Town: Bahria is the second most safe and valuable property to invest in Pakistan. If you are looking for mid and long term investment then Bahria town would be a great place to invest for ex-pats. It is my personal experience regarding investment in Bahria that there is a variety of options when you look to invest in Bahria as there are many blocks where good opportunities waiting for you. Similarly, Wapda Housing Societies and Gawadar Housing Schemes are those societies where ex-pats invest fearlessly and earn good profit.
Go For Long term and Mid Term Investment:
Foreign Pakistanis are those working hard for their country and it’s not always easy for them to come to Pakistan frequently or after every few months. So a suggestion for you that never invest in real estate using short term. Always invest for a longer period that not only gives you maximum profit but also saves your expanses of traveling. Try to invest by keeping in mind 2-5 years that prove to be a golden period for the ex-pats. So avoid the short term and prefer mid-term and long term investing as property buying and selling is a process of full intention.
Bypass Marketing Ploys:
Pakistan is a country where thousands of ex-pats invest in the real estate sector and unfortunately, thousands of scammers take advantage of the lack of interest of ex-pats as they are away from our country and don’t know gimmickries that are popular in our country. If you are investing in some unknown areas or societies that we mentioned above then it would be a safe zone of investment but if you are a risk-taker and want to earn some big then be careful from these frauds. A lot of marketing geniuses in this sector that just see their benefit. But you don’t have to worry anymore as we bring some of the best suggestions for you to remain in a safe zone. All you have to do is to deal through some third party consultant in your deal that gives you a complete analysis of the property, pros, and cons of the location and also provides you a comparison in different properties. So don’t worry anymore and invest in Pakistan with an open heart.
Avoid Investing In Buildings Or Houses:
Another important and valuable suggestion for you while you are going to invest in the real estate sector and also you are an ex-pat than avoid investing in houses or buildings. Yes, you are reading right, if you are thinking to buy a house and want to give it on rent then it proved to be a very bad decision for you. As you buy a house it will cost you much and also as time passes the building gets old and the price of the construction reduces frequently. Also if you give it on rent then you get only 2-3% in return from this investment. So overall the studies and experiments show clearly that investment in housing and building always proves to be a bad decision. If you are thinking to buy a house for you and stay here when you come to Pakistan with your family as most ex-pats buy houses for their stay then it would be a valuable decision for you as well as for your family. So if you are thinking to invest in property and have some fear of loss then no need to worry anymore and follow the above fascinating ideas that prove beneficial and future securing for you and your family.
An Expats Guide to Invest in Pakistan Property
- Published in Tips & Advice
Booming real estate sector contributes just Rs23 billion in taxes
Islamabad: The rate served by Pakistan Profitability in the real estate sector, is mainly the free taxes, is only at Rs23 billion below 0.1% of the extent of national economy in the previous fiscal year. To deal with such competitive situations created by a sick taxpayer and a system of deprived taxes, Pakistan Tahreek-e-Insaaf (PTI) decides to contact the chairman of the Federal Revenue Board (FBR) of the private division.
Tax collection under Amnesty Scheme
Real Estate Sector, where huge black capital is positioned, 23 billion rupees was paid in the past fiscal year 2017-18. This involved a tax collected according to an amnesty plan for the district declared before the end of the Pakistan Islamic League government. A number of famous profiles of Pakistan are trading in real estate, perhaps it is one of the main causes of the failure of tax policies.
The remarkable tax served by the real estate market highlighted the obstacles that PTI management will manage to bring the sector below the tax range. Asad Umar PTI Finance Minister opined that FBR chairman of the private sector to face such barriers, reveals well-informed sources about the government. After that Asad Umar appointed Aziz Nishtar – a law graduate from Harverd University and a former officer of the Tax Services and Shabbar zaidi – a senior partner of AF Ferguson leased accounting firm.
The law allows the government to appoint an FBR president from the private district through a ruthless procedure. Therefore the officials, The PTI plans to elect a new president from the private sector, Ruksana Yasmeen, President of the Current President, may have asked to run until the new appointment is made.
FBR Role
However FBR employees often do not enjoy good condition, however some people know integrity well. Some are grade 22 officers, but have been limited by the PML-N government. At the end of the fiscal year, FBR shaved 5.2 billion in taxes from the sale of a real estate transfer. Government has estimated that it is 14% higher than the previous year. The FBR has created another tax of $ 13.2 billion in withholding purchase or purchase of property. Taxes collected by the amnesty program of real estate sectors grew 84% at the end of fiscal year. Tax collection of fair market value of the real estate has become a challenging situation. The PML-N established fair market prices for federal tax collection, the time when their government was established Prime Minister Shahid khaqan Abbasi took spirit and established a concept that government buys those properties issued at a value less than the market price. But FBR has not yet declared an announcement to give a result to the program and has not initiated an appearance for the appointment of a director general of real estate.
Real Estate Values
The values documented by real estate are 30% of market price, essentially due to the extraordinarily low amount of vice collector for the collection of stamp duty. Wrong tax policies made by government for which they blamed the parking of black money in the real estate sector. Now the authority is creating three kinds of steps that may follow as;
- Property assessment rates for tax.
- The second is the defined rates of FBR
- Last are the rates of the provincial vice-collector.
The main reason for the low tax collection of the real estate sector because all large housing companies trade without realizing the transactions, according to market specialists. FBR also failed to collect taxes from the builders and developers. The tax levied by these sectors was only 232.7 million rupees than the previous year when the FBR collected 190.3 million.
Booming real estate sector contributes just Rs23 billion in taxes
- Published in Market Overview, MARKETS, News, News & Updates, News and Update, Real Estate, tax, TAX POLICY