7 Reasons, you need a luxury apartment
You may be wondering if it is wise to invest in a luxury apartment rather than buying a mid budget house or a plot. If money is not the consideration most of us will prefer to buy an independent home rather than an apartment, if we live with our family and children. This is more applicable in countries like Pakistan where people are more concious about there privacy etc. None the less apartments like Askari 11 have been very popular because it gives you all the space you need in almost 30 to 40 % less than the average house in Askari 11.
However for luxury apartments we can not say the same as they come at steeper prices and almost more or less the same as that of an average house. In Lahore we can say for sure that only Gulberg area offers luxury apartment in less prices than the average houses in that area. But in Places like DHA Lahore, the luxury apartments come almost at par with the house prices.
So do we really need these luxury apartments or it is some trend thats going to reduce in value over time. Thing is that the premium luxury apartments provide much more than the bare necessities not just in terms of amenities but also in terms of life style and investment value.
Why is a two seater Ferrari more expensive than a 7 seater Volks wagon?
However there is a bigger purpose of these luxury apartments besides glamour and luxury which makes them not just an accessory but a necessity. Let us take a look at the real uses of such apartment buildings and why they have gained popularity across the globe.
Expats Holiday Home
Most expats I come across aspire to come back to there country on holidays and be able to call some place there home. The affiliation and emotional attachment with your home land is undeniable and as parents we want our children to follow our foot steps and feel what we feel.
In the past people would buy expensive homes and spend millions on its upkeep year after year just to come back to all the troubles & horrors of owning an independent home you want to use as holiday retreat, including maintenence, security, maids and servant crises and above all loosing a lot in terms of depreciation.
However luxury apartments are changing that for good. Now when you buy yourself a home in Pakistan it will not cost you millions in upkeep, rather if it is a serviced apartment you will be getting your money back as rental returns rather than loosing it. In addition when you come back, you can enjoy the comfort of living in a luxury enviornment and give an experience to your children who will keep longing to go back again and again.
There are a lot of reasons you would want a second home most importantly if you do not live in Lahore but you regularly visit it for buisness, shopping or recreational purpose. In such scenario buying a luxury apartment makes more sense than a house as you can enjoy the luxury that comes with it without the worries and fuss of owning a home.
Maintaining a home for such use is not only expensive but also insecure. You will need to keep guards/watchmen and maids . At an average maintaining a home you only use for a few days in a month costs you at least 50000 PKR a month. However you can get all of that and much more in less when you buy a luxury apartment.
Single Home or Women only
Living alone can be hard and it makes much more sense to opt for an apartment rather than buying a home. How much money it will cost you is not going to effect your decision as much as where you are going to live. The choice is easy it is much more suiteable to live in an apartment if you are single and If you are a single person and if you can afford a luxury apartment than why live in an ordinaryone. It makes much more sense to live in a luxury apartment rather than owning a big house and worrying about it.
There are a large number of Pakistanis who fill this bill including expats who live abroad while there families live in Pakistan. Than there are singles who are either here for work from otehr cities or do not have any one else in the family to live with. This is even more applicable for women(Divorced or widows) who live alone or with there kids. Not only these apartments are much more secure than single family homes they also offer much more leisure and a lifestyle that fits royals.
Luxury apartments specially serviced apartments are the best choice for retirment homes. A large number of Pakistani families suffer this fate when kids grow up and move, some to other countries and some to other cities. It may just be a good idea to leave that big house and move into a safe and secure luxury apartment without having to worry about its maintainence and security.
This is also great for socialization as you can meet similiar people in such buildings and provides you a lot of activities to pamper yourself with like a world class gym, sauna, swimming pool etc.
Why would you want to wear a grand complication Patek Philippe tourbillon watch which costs in Millions rathar than a simple casio one when both serve the same purpose.
Truth is that luxury always comes at a price and people are ready to pay for it, this is applicable to real estate industry as well. The trend which may seem new in Lahore is a time tested decades old in the modern world and as usual we are just following what is already a succesful model.
Yes, this life style is for the rich and famous as luxury apartments in major downtowns around the world cost you millions of dollars and some thing only the elite can afford. However in Pakistan it is still affordable and you might want to jump in before things really take off.
Luxury apartments and specially serviced apartments offer a much better investment value than owning a home. The rental returns are higher than houses thanks to all the amenities. These apartments provide a stream of rental income which is very attractive for many investors who want fixed income per month.
A consistent flow of rental will also ensure that the property will offer steady capital gains as well over time.
Serviced apartments are a step ahead in this department as they offer a great alternative to hotels and are filling the void. Air bnb is a success story we all know about and the most popular property on there panels across the world are serviced apartments as people coming on holidays or buisness tours prefer renting out a serviced apartment building rather than a hotel specially when they are accompanied.
You will really need a large amount of money to maintain a world class gym at your home or a heated swimming pool. Many people do go for it but usually end up unable to maintain it because it requires special care and maintence from experts.
So if you are the one who wants to live an active life style without having to ever worry about mainitaining those world class facilities at your own expense, luxury apartments are the way to go.
Apartments comes with various options, from offering cheaper alternative to homes to new standards of luxury life style. They fill the void while serviced apartments such as Downtown and Madisson square best for investment and rental values, luxury apartments such as Goldcrest Mall, Springs Gulberg, Address 73 and Raya apartmemts / condos best for long term living and average apartments such as Askari to provide you a low cost alternative to a big house.
No matter what your need is, these apartments cover the whole spectrum of housing sector and Lahore is going to watch the trend grow in years to come.
Captain (Retd) Shahnawaz Yaqub Bhatti
Investment Consultant and CEO at Imlaak
Mob : +92 333 1616160 ( WhatsApp)