Within one to three years of making an investment, a passive income can begin to materialise from real estate as a business. Over the course of the past few years, we’ve witnessed a significant increase in the value of real estate, which has inspired a large number of individuals and investors to enter this industry. Both Pakistanis living abroad and foreigners are constantly on the lookout for lucrative business opportunities in their home nation, which they view as a secondary source of income.
The question then becomes: Can individuals from other countries buy property in Pakistan? Yes, it is perfectly legal for them to buy land in Pakistan even though they are currently located outside of the country; however, they will be required to complete a number of legal formalities in order to stay clear of any potential complications in the not too distant future. We have gone over all of these criteria in great detail, which will undoubtedly be of assistance to you.
Are Foreigners Allowed to Purchase Real Estate in Pakistan?
Yes, it is very simple for foreigners to purchase property in Pakistan. Simply submitting the following documents to the home department in order to move forward with the process was all that was required by them to move the process along.
- A copy of their valid visa, as well as six photos in the appropriate size for passports, must be provided.
- A photocopy of the landowner’s CNIC must also be included with the submission at the time it is made.
- The person who owns the property will be given a questionnaire, which must be turned in together with proof of ownership and copies that have been attested.
- It is required that a foreign worker submit a letter of employment, which should include all pertinent information, including their position within the company, total amount of time spent working for the company, and their contact information.
- It is recommended that a contract be drafted for the owner of the property, in which he states that there is currently no one living in the residence at that time.
- It is clear from the instructions given by the government that violating these rules will result in the contract being cancelled and severe legal action being taken against either the owner or both of them.
- On the other hand, this process is unquestionably difficult, which deters international investors from putting their money into Pakistan’s real estate market. Because our current security system has gaps, the government and its departments are under obligation to put these regulations into effect.
Some Words of Caution for Overseas Pakistanis Considering an Investment in Real Estate
Investment That Is Risk-Free
You shouldn’t take any unnecessary risks while you’re away from home; instead, you should focus on undertaking projects that have been officially sanctioned and verified by the relevant authorities. It is best to steer clear of such projects and look instead for properties that have already been cleared for development if the clearance process is still ongoing. In the past, we have observed that individuals make investments in these projects, only to have the government revoke its approval of those projects. Therefore, checking the official websites of the relevant authorities for confirmation about projects is the most effective course of action to take.
Previous Playlist and Track Record
In contrast to Bahria town and DHA, very few housing societies have reached their final stages of development, and the majority of the projects are still in the planning stages. If the proprietor or developer of that scheme has a solid reputation and a history of successful business operations, then this is a positive sign because such individuals never betray the trust of their customers and complete all legal work within the allotted amount of time. You can track the progress of the work and other stuff by visiting their website and checking their social media pages.
Refrain from Participating in Untrustworthy Projects
Numerous cases involving illegal projects that collected money from other countries have been brought before the NAB and various courts. Ultimately, all of these illegal projects were found to be fraudulent. The worst kind of con occurs when a single piece of real estate is sold illegally to more than two individuals at the same time. To prevent this from happening, it is important to collect all of the relevant information regarding the project and the property owner. Check the current status of it and carefully inspect all of the documents and components. One must make sure that a housing project’s approved layout and development plans are in place before making an investment in that housing project. The best way is to inquire with other individuals who have already invested in that venture. Because they have already gone through the process, they are in a better position to offer advice regarding it.
Original Documents
If you want to make sure that everything is in order, you shouldn’t rely on photocopies of the files but rather insist that the seller provide the original documents. In order to prevent confusion and problems in the future, paperwork needs to be clear.
Instructions Regarding Legal Matters for Pakistanis Living Abroad
The Overseas Pakisatanis Foundation (OPF) is an organisation that should be associated with by citizens living abroad because it offers legal and financial advice to investors interested in Pakistan. Always remember to transfer payments using a legal method in order to avoid getting into any trouble. Make sure that you get yourself registered with the FPCCI and the Security Exchange Commission of Pakistan ( SECP ).
It is your responsibility to check all documents properly in order to prevent any hassles from occurring, as the government encourages overseas citizens to invest in real estate. When using a general power of attorney, exercise the utmost caution.
Why Should Foreign Investors Put Their Money Into Real Estate in Pakistan?
The real estate market in Pakistan is exploding, producing remarkable results. Foreign investors have an advantage over locals in many respects, including the fact that they can make investments in expensive or commercial enterprises more quickly. The real estate industry, in contrast to other businesses such as automobiles, technology, and retail, will provide you with an immediate increase in either your income or the value of your property market. In addition, the government has made it easier for foreign investors to get involved in the real estate market by providing various facilities. Before making any investments, you need to make sure you have reviewed all of the relevant legal guidelines and instructions.
Conclusion
There is no doubt that purchasing a desirable piece of real estate can quickly increase your value in the market, and the success of your hunt has everything to do with it. In order to gather information about that plan, you should consult your sources, which may include social media, newspapers, and official websites.