LAHORE

The real estate market of the country in October 2015 largely portrayed a mixed picture. Some localities saw impressive price hikes, some posted less-than-modest numbers, while others represented stability on every front and sauntered through the month with absolute ease. As per statistics, Karachi’s market continued its roaring upward ascent. The only exception was Bahria Town Karachi (BTK), where even though development work is underway at good pace, prices plunged. Conversely, DHA Karachi and DHA City Karachi (DCK) posted great numbers and remained a popular choice for investors.
The real estate market of Lahore posted varied numbers. While Bahria Town remained steadfast, DHA Lahore’s performance was disappointing. Nevertheless, a decline in rates in DHA does not imply that investors have changed focus, as this locality maintained its top position in Zameen.com’s popularity index. Rates in LDA Avenue I dipped too, but as we foresaw this coming we weren’t too surprised.
According to a report of Zameen.com, Islamabad’s property market put forth a mixed bag as well. Both Bahria Town and DHA Islamabad maintained their price inclines, with Bahria Town posting spectacular numbers for the 10-marla category. As always, Sector F-11 retained its consistent growth, but Sector E-11 saw a drop in rates. DHA, once again, remained the most popular locality across the board, with one noticeable exception. Gushan-e-Iqbal Town in Karachi saw speedily rising demand for homes and knocked DHA down the second place. To our surprise, Bani Gala was, once again, one of the top five localities for homes in the federal capital this month.
Even though Lahore’s realty sector didn’t see any kind of extraordinary push this time around, it still experienced healthy sale-purchase activity.
DHA Lahore failed to impress and both 10-marla and 1-kanal categories saw controlled dips of 2.82% and 1.95% respectively.
Oddly, despite battling many controversies, prices climbed upwards in Bahria Town. Ten-marla plots rose by a significant 6.58% and 1-kanal plots also saw a decent 1.64% rise. Yet, we foresee rates dipping here in the months ahead as this locality has increased transfer charges, which will somewhat disrupt sale-purchase activity.
LDA Avenue I was another locality that experienced a decline in rates. We saw this coming because electricity has not been supplied even though possession has been handed over in the clear areas. Because of this, LDA Avenue I saw a controlled drop of 3.33% for 10-marla plots. One-kanal plots, on the other hand, remained stable and posted a 0.62% rise.
As reliable as always, Lahore Cantt posted 1.39% and 0.94% rises in the 10-marla and 1-kanal categories.
Lahore Cantt registered a 4.68% rental yield, the highest in the 10-marla homes category, while Johar Town enjoyed the highest rental yield for 1-kanal houses – an impressive 4.44%.