Real estate market main pillar of Pakistan’s economic growth in 2021

Real estate

As the last year proved to be devastating for a number of segments of economy, from which a handful of areas showed extraordinary progress and real estate was one such sector.

However, it is a sub-sector of the global construction industry, the enactment of the latter continued disappointing due to a host of reasons.

A 30-year-old Pakistani, Malik Kamran, purchased a four-wheel luxury vehicle worth Rs 10 million after earning an attractive profit from real estate accomplishments during the departing year 2021.

He said the year proved to be incredible as the market exceeded all prospects and recorded a considerable growth, thanks to the promising trials developed by the government like amnesty schemes and special incentives for construction, housing and real estate.

Read more: Construction material inflation pushed ongoing projects cost by Rs 200-400 billion

Generally, the construction industry can prove to be the engine of economic growth however it seems that only one area of the entire industry, the real estate business, is developing into the center of consideration of foreigners. This can be assessed from the statistic that the buiding and housing markets failed to post the anticipated results in 2021.

Moreover, land investment is one of the simplest means to make sizable returns. Kamran stated that inflows via Roshan Digital Accounts, declaration of amnesty schemes and low interest rates till October 2021 moved the expansion in the realty sector.

 “The real estate market is growing continuously because unpredictability in this area fetches tremendous amount of profit,” Eighteen Housing Chief Executive Officer Tarek Hamdy told the media.

Additionally, he explained that the Covid-19 epidemic spoilt every zone of the economy in 2020, but, in 2021 Pakistan’s real estate sector exceeded anticipations as people moved from dicey assets to safe-haven investments.

Furthermore, a vital feature driving the growth is the extraordinary interest revealed by the leadership in its development. “This resulted in announcement of measures conducive for the sector, which attracted a large number of potential investors,” he said.

“The government of Pakistan announced relief for investors and businessmen in the property market primarily to mitigate the adverse economic impact of the pandemic.”

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