Price Trend DHA Lahore March 2018
Price Trend DHA Lahore March 2018 is a guideline to what the price movements have been the past month. This month has seen an increase in the number of transactions especially commercial transactions have been on the rise. Different sectors have witnessed different price movements. The overall market sentiment has been positive after quite a while now. This is a major improvement.
Phase 5 has witnessed a slight improvement in prices. This improvement is a genuine increase as witnessed in mature phases over the past years. The commercial prices have been stable at the already set higher rates. The rental return is less than 0.5% in most cases which is an anomaly.
Either the prices need to come down or the rents need to increase. For personal office building B and D block commercials are not a bad option at relatively cheaper prices.
Phase 5 M block prices are still stable and have yet to recover from the price dip after the announcement of possession. This is the right time to invest in M block due to lower rates.
Phase 6 prices are relatively stable these days of residential plots. Prices which had previously increased in February, 2018 have remained constant in March. Few blocks which were considered underpriced have seen an increase. Prices previously increased in H block, G block, E block, C block etc. remained stable.
Commercial properties have seen stability in the prices. CCA 2 has set a new high and is being traded in those prices. MB has slowed down after a few transactions of more than 10 crores. The prices remain stable. No further transactions are taking place at higher prices. Other commercials such as CCA 1 and L block are relatively stable.
Phase 6 E-Extension is on the rise with the news of possession just around the corner.
Overall Phase 6 is always a good buy, whether it’s residential or commercial. Rarely have the prices dipped after a high.
Phase 7 has seen a fair bit of trade in the month of March, 2018. Prices have been more or less stable. Good blocks have seen better trade volume. Residential 5 marla files have remained stable. Commercial plots and files are still on the low side. Commercial plots have witnessed a betterment in trade volume.
CCA 4 and CCA 5 have seen a bit of sales which is a good sign, the overall trend is low.
Phase 8 has been stable but with increase in the overall trade volume. The overall increase in the trade volume in DHA ensures that the prices will go up in times to come. End users have started purchases because the prices aren’t going down further. This realization was to come soon than later. It is a good sign that people understand the fact prices have hit low and increased a little, from hereon it’s an upward track.
Favorites have been W and T block. U block is catching up along with V block. As discussed previously I predicted people will start to understand that U and V are underpriced and the gap between these blocks and the lower W and T will eventually close. Y block is still witnessing little or no trade which means eventually it’ll see an abnormal rise after the wait.
Commercial plots have seen a bit of trade. Broadway has witnessed an increase in inquiries. Deals concluded in March will see transfers in April or May. 4 marla in Broadway has seen a better trade volume. The prices in Broadway remain stable at the low rates. CCA 1 and CCA 2 have seen a fair amount of trade. Prices have remained constant.
Ex-Park View has seen a betterment in prices as predicted in the previous article. 4 marla commercial files are at their lowest which means it is a good time to invest. 1 kanal prices are on the rise as well. Ex-Park view I believe provides a calm and quiet living experience. One the best residential community DHA has to offer. Lack of a mature commercial area is fulfilled by adjoining areas as the location is superior.
Ex-Air Avenue finally in the month of March, 2018 has witnessed an increase in the sale of houses. This means people with budget pockets prefer living Ex-Air Avenue. With basic stores and necessities within the community this is a good residential aspect. Budget buying within a good community continues. Overall trade volume has been slow, which is an indicator that the prices might not increase soon. But on the other hand it is a good buy as the prices are lower. Commercial aspect of the community is weak in the sense it’s not up to its full potential. I believe there is a chance for growth especially in commercial buying.
Phase 8 Z block or IVY Green has seen a fair amount of trade. Good news is for people with commercial holdings. The main road which leads to IVY Green is being built. This might not have a major impact on the prices right away. I believe that the possession will be given sooner than later. Considering the fast paced development this is a very good buy and if you can hold until possession it’ll give remarkable returns. Exit just before the possession to gain maximum returns.
Overall price trend has remained positive.
Phase 9 Prism
Phase 9 has seen an increase in the trade volume. I highly recommend buying anywhere between 110-120 lacs at a good location. 1 kanal will eventually give hefty returns and are more liquid. 5 marla and 10 marla is also a good buy at this time. The price will remain stable until the year end in my opinion or increase just slightly making up for the development charge(s) paid and a little on top.
The overall trade volume has increased. For people looking to construct you will have to wait a bit. Buying right now is the correct decision. There is an inherent risk the price might not move with increase in paid development charges but I still believe it’s worth taking the risk. Prism would go up and down several times until possession.
Phase 9 Town
Phase 9 town prices are stable as of now. With the increase coming to a halt this is a sound investment as of now. It is a good buy for anyone looking to construct a house and put it up for sale. Phase 9 town gives similar monetary returns on sale of houses as Phase 6 five marla which means the profit margins are greater.
Commercials are at their lowest which means that this is the right buying time. E block has no certain timeline for when the development starts. One option is buying in CCA a possession plot. E block is longer term game but once development starts it’ll give exponential returns. This might be the right buying time with at least 3 years holding time.
Phase 10 is a good buy as of now. You have to hold for 4-5 years for good hefty returns. Ballot will take place once acquisition is complete. It’ll take a while before ballot but I believe in the next 2-3 years ballot can be expected. Price Trend is relatively stable with little fluctuations in prices.
Phase 11 Rahbar and Halloki gardens have seen a slight increase in prices. The prices will continue to grow for a while before being stable. It might not give high returns. Only invest in Phase 2 extension files residential or commercial and hold on for 2 years at least to gain maximum returns. There will be a couple of opportunities to sell before and after the ballot immediately which I believe is a good trade.
Overall Price Trend varies for various sectors/phases. I hope this article gives you a better understanding of ROIs, profit percentages as well as where and where not to invest given your risk appetites and holding periods.
Managing Partner Imlaak
MBA Finance (Cardiff, UK)