MRA – November 2017 DHA Lahore Property Market Report
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MRA – November 2017 DHA Lahore Property Market Report
Disclaimer : MRA (Monthly Real Estate Analysis) – November 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 suggested in October, we saw a big trading trend setting in 9 Town of DHA Lahore. The prices have risen 20 to 25% in less than a month and will continue to go higher in November. In general however the real estate market continues to struggle and showing almost negligible growth and price corrections in inflated areas. The political turmoil in the wake of ineligibility of the deposed Ex PM Mian Muhammad Nawaz Shareef is also effecting the realty sector negatively to an extent. This in my opinion is a golden opportunity for any one who is interested to take advantage of the lower prices and invest in selected areas where we are expecting genuine demand in near future.
Lets have a look at each sector of DHA Lahore one by one:
DHA Phase 1 to 5
Generally good for buying a house or a plot for your own home. Possession of M block has been announced and as suggested in October it has not effected the prices so far. I would refrain from investing in M block of Phase 5 and wait for a dip in prices.
DHA Phase 6
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, 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.
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
DHA Lahore Phase 7 is slowing 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 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
We have recently uploaded a video showing development and construction of houses in DHA Lahore Phase 8. The downward trend seems to slow down as house construction has started to spark some interest in Phase 8. However it will take some time before we see a renewed interest in Phase 8 from investors. I believe it is a good time to make an investment here specially in U and V blocks at a price of 2 crores for a 1 Kanal plot.
I strongly believe that with all the activity starting in Phase 8 in residential and commercials, it will soon become a hub of investment in DHA Lahore.
The work has started on the business hub in Phase 8 and will surely help the Broadway commercial activity in near future.
Broadway commercial is one of the best genuine investments you can make today. It is a developed commercial zone which should be one of your best bets when it comes to genuine growth and development. There is a renewed interest of investors in Broadway now as more commercial plazas keep popping up. The house construction in Phase 8 will also help the Broadway commercial to gain momentum in near future. The prices have remain stable in October and will remain so in near future and it is a good opportunity to find a good plot before it starts moving up as the commercial activity starts to develop here in next couple of years. 8 Marla B and C block plots located around parking or the back of main road are the best options for investment as of now. 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 Marla files have been very volatile. While Malikpur has been in demand the prices of Shivpur file plummeted to a new low of 240 Lacs. We did suggested in October that the price gap may increase between both these files and this is what exactly has happened. I wont be surprised if Malikpur files come down to 260 Lacs as well in November.
Z Ivy green is undergoing speedy development however i do not recommend investing in it at this moment
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 at this time 9 Town 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
9 Town is performing more than what I expected, the prices in C block have risen more than 20% so far and continues to go higher. I believe they will go up to 70 Lacs before settling down. A block is only second to C block when it comes to price rise, followed by B and D block respectively. It may be wiser to just invest in B block for now unless you are planning to construct a house for which C Block is my favorite.
The commercial hype of 9 Town has finally ended and prices have even plummeted below the pre-balloting prices for certain plots. Those who have got lucky in balloting with a good location plot will only reap some benefits. At an average every plot price has came down at least 5 Million from its post balloting price.
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 see prices gaining another 10 to 15% in November.
DHA Phase 9 Prism
Well the Myth has broken and our past analysis is now coming alive in 9 Prism. It is seeing a major dip in prices and will continue to suffer amid the present real estate scenario. If at all you want to invest in 9 Prism i will suggest that you stay focused in C, B, A , P, D and upper portions of F, G blocks.
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 are 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 again in October and we can already see some dents in prices. If we do not hear any news in November than i believe the prices will start coming down further.
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 210 to 215 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)
Can you please share your thought about DHA Peshawar
Dear Aamir, kindly read our latest blog post https://www.imlaak.com/mra-november-2017-pakistan-real-estate-analysis/
Jazak Allah
Sir you suggested to invest in DHA phase 8 y block , 5 and 10 marla plots. What have I learned about block y is that it is too deep and the development may extend beyond 2 years. Sir! I will be grateful if you guide me a bit more about the above said investment.
best regards
Dear Bilal, I should have been more clear, we strongly recommend buying a residential plot in Phase 8 proper on dips or you can also look into investing in Y block 5 or 10 Marla plots on reasonable price. So although I feel its a good investment because of its location however it may not be the best at this time because of the issues you mentioned above.
I will recommend that you look into 9 Town for 5 Marla plots as of now.
Jazk Allah
Buy 5 marla in 9 prism j block and wait for 1.5 years. Inshallah it will touch 60+ for sure
Good whole view.
Sir DHA Gujrwanala ka kya scene hai.?? what will be the balloting rate??
Please read this https://www.imlaak.com/mra-november-2017-pakistan-real-estate-analysis/
Excellent analysis. we appreciate your efforts
Price of DHA Multan status?????
Dear Wajid,
DHA Multan prices have gone down as well and now at 44 Lacs.
Jazak Allah