Investment in the real estate sector is considered among the top investment options. If you come up with a thought that you will invest to make a good profit, then this sector demands a few things from you. First, you have to be very patient. As investment may take a very long time to return you the profit. Second, only those investors can invest who have enough money in hand. Lastly, you must have a backup plan or enough resources to meet your daily needs after paying the installments and other transactions where you invest. Simply put, if you have the capacity to meet above three things then what are you waiting for? It is easy to come, invest, make a profit and enjoy. There are still eager buyers in the market of real estate.
Although investment in real estate sector is safest and profitable option, but since few years, Pakistan’s economic and political stability is questionable. Investors seem fearful to invest. Businesses has been shattered down. GDP rate is in the downfall. Inflation rate has been getting higher. In short, in that situation, it becomes very important for the investors to discover best investment opportunities. Currently, investors find handful options.
What is the reason? It is due to increased mortgage interest rates and because of overall economic uncertainty. Then what can be the right option, where one can be abled to invest by taking calculated risks? It can be decided by looking back to past records. Previous data forecasted that, in spite of economic and political instability, where many sectors are no more showing potential for profit, investment in the real estate sector has been returning meaningful profit yet. In fact, according to a report, new home construction is projected to increase by 8% in 2019. That’s the good news, both for the sellers and the buyers. Here benefits have been shared for both buyer and seller in real estate market.
For the sellers, a nice profit may be on the horizon. The number of homes sold last year is still expected to rise, even if it’s at a slow pace. Here are few tricks for the sellers to play safe.
- Aware with competition: Sellers must keep in mind that a lot of buyers are being priced out of the market, which could lead to fewer offers for your home. So what should you do about this? Be aware of your competition. You need your home to stand out from similar ones in your area.
- Hire an agent; prepare your home for potential home buyers and work with a real estate agent to help you list your home at the right price.
- Wait for the right moment; be sure to wait for the right offer. Some buyers may try to gut punch you with a low number. If you aren’t in a hurry to move, wait for an offer that gives you the most profit. Remember, the less desperate person always has the upper hand when negotiating.
For the Buyers, if you’re going to buy a home in this expensive market, you absolutely must find out how much house you can really afford. Commit to staying within that budget amount. Don’t rush into a home purchase that doesn’t make financial sense for you. If you want to get prepared to buy and you’re committed to buy, here are some options to consider:
- Do research: Check the location, see the home, ask the price and see your budget every time. Be connected who really knows the area is the best way find a home that fits your budget and lifestyle.
- Keep saving: if you stay patient and motivated, you can save enough money for downtown payment before the time.
- Limitize your luxury lifestyle: If you can’t afford to buy the house you want, be willing to give up luxury living style. Find the least expensive home in the best neighborhood you can afford and you can upgrade as your income and savings increase over time.
There is no secret that, real estate market is risky as current market conditions are uncertain. Therefore, buying/selling a home can be stressful, but good real estate agents will guide you to streamline the process. It’ll help you think through all the important parts when you go to invest in this market.