Challanges and opportunities in Pakistan’s real estate Sector

Pakistan’s real estate sector faces a critical juncture marked by declining property values and escalating interest rates, echoing wider economic challenges. The ripple effect extends beyond individual homeowners to threaten the nation’s economic stability, with middle-income groups bearing the brunt. Despite its pivotal role in the economy, Pakistan’s mortgage sector lags, hindered by restrictive financial frameworks and limited product diversity. While the construction sector serves as a significant employment generator, the real estate market’s potential remains untapped compared to regional counterparts. Amidst debates on housing shortages, a balanced approach blending new construction with urban development is imperative for sustainable growth. Despite its allure, the real estate market grapples with formidable hurdles like high mortgage rates and tax impositions, necessitating comprehensive reforms for a brighter future.