Billions of rupees of black money flooded into the real estate sector when former Prime Minister Imran Khan introduced incentives for tax evaders, allowing them to legalize their illicit funds. This led to an artificial boom in the sector.
Observing the market dynamics, hundreds of thousands of ordinary people with moderate incomes also entered the fray, hoping to invest in property for their children’s future needs. However, they were misled as major investors sold off their properties to individual buyers, leaving them in distress.
Some invested their retirement savings, while others used their accumulated savings or provident fund money, all with the innocent hope of securing their children’s futures. However, they fell victim to real estate tycoons, unaware of their exploitative intentions.
Developers and builders described the real estate boom during the PTI era as a bubble that burst, leaving countless small investors in dire straits. The previous government’s policies, coupled with economic recession, severely impacted the real estate sector and harmed the investments of common people.
The situation exploited by developers and their associates perpetuates losses for average investors. They lure investors with low down payments, installment plans, and promises of timely plot delivery. However, overselling of files and manipulation of prices lead to panic selling and financial losses for investors.
This engineered tendency enriches property giants at the expense of ordinary people’s hard-earned money. The sector’s vitality could contribute significantly to the national economy if major players and corrupt officials were held accountable.
Strict regulations must be imposed on the real estate sector to prevent further exploitation of small investors. Societies should be required to legally acquire land, refrain from overselling files, offer transparent payment plans, conduct fair balloting, and ensure timely development and possession.
The federal and provincial governments must overhaul rules and laws governing the real estate sector to safeguard the investments of small investors and restore confidence in the market.
