MRA – December 2017 DHA Lahore Property Market Report
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MRA – December 2017 DHA Lahore Property Market Report
Disclaimer : MRA (Monthly Real Estate Analysis) – December 2017 DHA Lahore Property Market Report is a general guideline and does not cover all aspects of the market. The real estate trends vary even within blocks of the same phase and for a layman it gets very complicated and confusing. You can now download our APP from Google store and read latest news and developments or book an appointment for consultancy.
Our discussion forum is always open for real estate related questions and answers.
Present Market Condition
As we suggested in November the prices of 9 Town have soared high, reality is that the 9 town prices have been under priced all along and if you look at our monthly reviews for this year, we have been highlighting that fact in almost every report. Interestingly while the residential plot prices soared high on genuine demand , the commercial of 9 Town E block fell to rock bottom and losing almost 30% in price value. 9 Prism continues to lose its ground and other sectors of DHA Lahore did not gained as well.
The present real estate market is very tricky yet it offers many opportunities to make money for a vigilant investor. This is the true real estate market which demands that you invest wisely and timely rather than blindly. It is better to look for sectors with genuine demand for your investments.
Lets have a look at each sector of DHA Lahore one by one:
DHA Phase 1 to 5
The underpass is now near its completion but there are no signs of life in M Block of Phase 5. Phase 5 is Generally good for buying a house or a plot for your own home but may not be the best in terms of investment. I would refrain from investing in M block of Phase 5 and wait for a dip in prices.
DHA Phase 6
Our analysis of DHA Phase 6 remains the same as last month.
DHA Lahore Phase 6 continues to attract genuine buyers and the only sector which has gained 3 to 4 Million in the last year. 2 Kanal plots in E Block are a good option for investment as the prices are relatively good. There are various pockets in E , F , K , C. L and D block where you can still find a 1 Kanal plot in less than 2 crores.
10 Marla plots in D & L block of Phase 6 offer room for growth and are available at 135 to 150 Lacs. 7 Marla plots are also available in D Block and will also offer you a good return on your investment.
MB of phase 6 is developing into a better market than CCA 1 of Phase 6 , you can now find many brands such as Molty foam, Al fatah, Gloria Jeans, Coffee planet etc opening up and the trend will continue in days to come thus making the main road facing MB commercials a worthy rental generating investment.
CCA 2 of Phase 6 is showing recession now , I have never been a big fan of it in the past and i believe it has been an investment bubble for some time now. Prices will probably go down a bit more before stabilizing.
Recommendation
a. Buy residential plots in DHA Lahore phase 6 if available at a lower price than the market. That will pay you off in a few months.
b. Good opportunity to buy commercial on Main MB in front of N and L Blocks of Phase 6 and P block of Phase 7 if the prices take a drop.
DHA Phase 7
Same as last month in general.
DHA Lahore Phase 7 has slowed down and the prices have taken a dip specially in lower portions of X, U , T and Y block which are not in possession. While R, S, upper portion of T, Q and P block remain in demand followed by upper portion of U block. This is generally because of the genuine demand and house construction trend in these areas.
5 Marla residential files of Phase 7 have taken a dip and now trading at 34 lacs and do offer a good investment opportunity. This may not be a short term investment though as it will only give you some reasonable returns in at least six months to one year.
You can watch a video update of DHA Lahore Phase 7 on our website as well.
Recommendation
Same as last month
a. Phase 7 is not really the best investment option but is most suitable if you have limited budget to construct a house.
b. Considering the over all bearish market of Phase 7 I will advise you not to invest in Phase 7 commercial files unless they reach figures of 210 to 215 Lacs. The downside risk is more so I will not risk an investment at the present prices and will wait it out.
c. Buying 5 Marla file between 34 to 36 Lacs is a good investment if you are looking for small investment opportunities.
DHA Phase 8
While it may still take some more time for Phase 8 to start a positive uptrend, it does seem to be a good investment for midterm and long term time frames. We have recently uploaded a video showing development and construction of houses in DHA Lahore Phase 8. The prices have settled down and i believe that they will keep not go down any further , however how long will they remain in the same price zone can not be ascertained right now, it can be 6 month to an year or even 2 years in a worst case scenario before we see a positive rally.
Phase 8 is destined to become the commercial and residential hub of DHA in years to come.
The work has started on the business hub in Phase 8 and will surely help the Broadway commercial activity in near future.
Broadway commercial has been on the back foot for almost more than year now and it has seen a down side of atleast 20%. Now may be the right time to get back in and wait for a come back. Read all you need to know about Broadway commercial investment in focus in our latest article.
Ex Park view of Phase 8 is a great option for genuine buyers and the prices are still my favorite for a 2 Kanal plot. Reasonably good plot is available in almost 400 lacs and i believe it is the best area in entire DHA Lahore to buy a 2 Kanal plot in this price.
4 Marla commercial files of Ex Park View The prices of 4 Marlas files have been very volatile. Surprisingly Shivpur file recorded a new low at 235 Lacs , where as Malikpur did come down to 260 as we suggested in November. I can not assure you of a certain time frame but these are the best commercial files to purchase for mid term and long term scenarios and the present prices are very lucrative for investment as well.
Z Ivy green is undergoing speedy development and i was surprised by the quick development in my recent visit. I believe that DHA will probably hand over possession of Z block in 2019.
Recommendation
a. We strongly recommend to buy residential plots on dips for investment or if you wish to make your own house. You can also look into 10 and 5 Marla plots in Y block in good location for a long term investment, however in comparison 9 Town 5 and 8 Marla is much better to invest.
b. Buy 4 Marla Shivpur or Malikpur files in Phase 8 Ex Park View anywhere between 240 to 260 Lacs.
c. We will now recommend you to buy 4 Marla commercial between 400 to 500 Lacs and 8 Marla between 750 to 950 Lacs in good areas of Broadway.
DHA Phase 9 Town
The prices have generally stabilized after a jump of almost 20%. This is normal after a quick rise and I will expect that from here on the prices will move upwards steadily in years to come. It is a very good investment if you wish for a solid profit in next few years.
Meanwhile the commercial plots of E block plummeted further, they will now continue to trade in these prices for some time before moving up again.
Recommendation
a. If you have some spare money it is best to invest in 9 Town residential plots for now as the prices are rising even faster than what i expected. We may not see a quick rise in prices now but Phase 9 Town will defiantly increase by 10 to 20 % every year as more houses are constructed.
DHA Phase 9 Prism
The prices went down quick and almost lost 20% from the all time high. It still has potential to go down further however in my opinion if you are looking for long term investment it may be ok to invest in 9 Prism as of now if you keep in mind that it may still have a limited down side potential.
Commercial prices are already very high in 9 Prism and are totally inflated, we do not recommend buying commercials in the present prices specially not the Oval commercial, which has been the center of commercial activity in 9 Prism. I will only recommend commercial investment in 9 Prism in only a few lucrative locations. If you are interested in commercial investments you may also consider some other areas in DHA Lahore as under:
- Broadway Phase 8
- MB Phase 6
- Commercial files of Park View Phase 8 , Phase 7 , Rahber and 9 Town.
- CCA 1 & 2 of Phase 6
Recommendation
a. Sell before its too late or hold it for long term.
b. I do not recommend buying in 9 Prism at this time.
DHA Phase 10
As our analysis suggested the price of Phase 10 file will come down and so it has. It is now trading at 45 Lacs and i am a bit worried that it may come down to 40 Lacs or even below it.
Recommendation
a. It is better to wait a bit more before investing in Phase 10 files. The prices are going down now and i think best is to buy them if they reach 40 Lacs.
DHA Phase 11 Rahber
No news of Balloting so far and we can already see some dents in prices. We may see some more downside in prices in December as selling pressure increases and rumors die.
If balloting happens we are very sure that the plot prices will go higher. We are expecting residential plot prices of 5 Marla plots to start from 35 Lacs till 40 lacs after balloting. 4 Marla Commercial plot price will be between 250 Lacs to 300 Lacs after balloting.
Recommendation
a. We recommend buying 4 Marla commercial at 200 Lacs for a Short term investment.
b. The residential file however is trading at 31 Lacs which is again not a very attractive price for investment but will certainly give you decent returns in short-term because of expected Balloting.
USE OUR DISCUSSION FORUM IF YOU HAVE A QUESTION AS WE CAN ANSWER IN DETAIL AND OTHER MEMBERS CAN ALSO POST THERE OPINION FOR A FRUITFUL DISCUSSION.
Captain (Retd) Shahnawaz Yaqub Bhatti
Investment Consultant and CEO at Imlaak
Mob : +92 333 1717170 ( Whatsapp)
Dear Captain Shanawaz
please suggest plots to invest 110 lac commercial or residential for good return in next 6 months.
Dear Waeeem,
There are quite a lot of different options available to you , it is much better that you come over and discuss with me in person . In general however investing in 9 Town of DHA Lahore will give you very good results in next few years.
Jazak Allah
Dear Captain Shanawaz,
What do you think about PRISM 1 Kanal file for investment which is around 70-71 lakhs? I heard there are lot of un-balloted good location plots in PRISM and we might get a good location in next mini ballot.
Kindly advise.
Regards
Saadat
Dear Saadat,
I would suggest that you do not invest in files of 9 Prism as of now.
Jazak Allah
Capt sb,
Your property analysis is very helpful. Really appreciate your efforts for monthly market details.
Please advise what is the location of DHA 9 Town new files.
Best Regards.
Please put some comments on DHA peshawar
Read this please
https://www.imlaak.com/dha-peshawar-files-balloting-and-its-impact/