5 Myths about Buying Property in Pakistan

When you first think about purchasing a house, you need expert advice, who do you go for that? An expert friend of yours who’s had good luck in purchasing one or two estates. You will believe anything that person say’s, even if your mind is questioning about these advices, you will anyhow believe them. Your wisdom is in doubt in front of these myths. There are lands for sale in Karachi. What are these myths that people believe so blindly? These myths regarding property purchasing can be true, depending on the circumstances of few people, but are these myths right for every property purchaser?

Myth 1: Under-construction homes are safe than developed projects:

Many purchasers are bound to believe that the under-construction homes are safer to invest, why do they believe so? Because the developer is offering them at a discounted price which may go higher in the future.  Many people do pre-booking of their homes before the project even starts, this is so they can benefit from it in the future. However, ready to move developed projects are costly and they might not bring profit to the owner in terms on ROI.

Myth 2: Subvention schemes help deduct cost:

Subvention schemes never fail to appeal property purchasers. In this scheme, the developer charges 10-30% of the amount. The remaining balance is paid by a bank to the owner of the project as a home loan under a three-person agreement between the bank, the buyer and the developer. There are many Apartment for sale in Karachi. When the project is under development, the developers is charged the interest fee on the loan from the bank. The bank releases the money to the builder as construction progress.

Myth 3: Metro Cities or Big Cities are the best choice for investment:

Purchasing a house in metro or big city has its own benefits, the metro cities are usually crowded and always in demand for rental income, in metro cities, the rental income is usually higher even if the home price is lower, but one needs to decide if this is worth it. It might be possible that the big city is a little far from your home town and it usually is the landlord responsibility to maintain the rental property.

Myth 4: Renting a property is better than purchasing:

We all are aware that renting a property brings flexibility, maybe as per to your monthly income, renting an apartment is more feasible but if you look into the longer run. Owning a property brings stability and a sense of owning.

Myth 5: Real estate agents are not helpful:

A real estate agent knows the market better than you, he knows the area, he knows the pros and cons. The market is full of real estate agents. You just need to pick the right real estate agent and all your worries are gone in seconds. Agents can help you negotiate the deal better then own self, they care about their commission and they will make sure that you get the right house in your budget.