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Reply to Foreigner,

(99052)
Wednesday, April 6, 2016 01:12 PM 

This is a reply to below post of Foriegner as I can't seem to post a reply there due to some error on website:



First of, am not a dealer. I invest. And isn't that why we are all here on this forum? :) Currently I have investments in multiple phases of DHA in both residential and commercial.

Through the last decade or so experience of investments and reading and learning from other knowledgable members of this forum I have concluded that the highest return on investment is either on a 5 marla cutting as highest number of buyers readily available in market OR on commercial property. ROI is the holy grail for serious investors. And its maximum ONLY in above two categories. 2 kanal and kanal have much lower ROI than these categories.

Secondly, I wrote a detailed post on why 7 commercial file at 205 is the best investment at this time a day or two ago and you can look it up in below posts of yesterday/day before. As to you point about getting a bad location in ballot, that probability of hitting it big time (getting a main bcd/corner/facing large parking plot) or getting stagnant (bad location plot) always remain in file business be it commercial or residential. Many risk averse people tend to liquidate their files just prior to ballot when files take a sudden jump on ballot news. If you are risk averse sell your files (commercial or residential) just when market peaks before ballot and exit with a handsome money. If you are a risk taker like myself, hang in there and see what the fate has in stored for you. Sometimes you do hit BIG :)

Concern Citizen replied on Wednesday, April 6, 2016 09:36 PM 

Kibla Shah Jee, What make you think that this non sense investment can on forever. Eventually at some point market will crash due to affordability. Then what will happen to those who has invested their life time savings.

Shah replied on Thursday, April 7, 2016 07:04 AM 

Dear Concern Citizen
One needs to understand that stock market and property, though having any similarities, are fundamentally different.

Investing in both stock market as well as in property to reap rewards in short term is risk prone if one accounts for the economic/market cycle phenomena that you have hinted in your post. And thats something nobody and almost no financial model can safely predict.

However in long term property market always emerges as a winner. But of course one needs to have holding power for sailing through the troughs in market cycles.

Summary: If you have a good holding power, invest in property and stick/switch investments as per your best judgements of market trends and forecasts. Stick to your investments when market drops and hold on till market gets into the next boom. You will eventually emerge with a good ROI.

However if you have a weak holding power, and only in property for making quick gains in a short term, keep in mind that if and when market takes the down swing you could loose part of your investment as you will be forced to liquidate in down swing as not having enough holding power. So if you fall under this category of short holding power/short term investor, plz undertake a property investment only if you are a risk taker.

Above is true for all property in all housing schemes, residential and commercials alike. This is property 101!
:)
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