NOTE: Frequently asked questions list common questions and answers on a particular topic. Therefore, you should ignore any question or answer that does not fit the context. Moreover, answering every possible question for all contexts remains difficult.
Frequently Asked Questions About Property Investment
Do I Invest in Property or Not?
- Property investment always gives fruitful results if you hold long enough.
- People have invested in real estate for centuries.
- In general, people call property a dead investment because it requires patience.
- Minimum holding for residential or commercial property should be 5 years.
- Ten years usually ensures handsome returns.
Tip: Dealers, agents, builders, and even authorities may highlight short-term investments mainly to serve their own benefit.
What is a File?
- A file means property that has not gone through balloting.
- Even if the authority has balloted it, the property may not exist on ground.
- Furthermore, even if it exists on ground, the builder, developer, or authority may not have granted possession.
- Without possession, construction cannot start.
- Consequently, until possession arrives, investors must treat such property as a file.
Tips:
- File prices can rise or fall sharply with market conditions.
- In most cases, investors pay land cost over three years.
- Furthermore, they pay development charges over another three years.
- This schedule creates a structured payment plan.
- Therefore, before you invest in a file, stay clear about your expected holding time.
What is a Plot?
- A property becomes a plot only when the builder, developer, or authority grants possession.
- With possession, construction can start immediately.
Tips:
- After the ballot, dealers and agents often sell or buy a file with a plot number and call it a “PLOT.”
- However, authorities may change the plan due to technical reasons, unfair practices, or to oblige officials.
- Therefore, plot numbers may change.
- Buyers should only treat it as a plot once possession arrives.
- Any property before possession should remain a “FILE.”
- Physical possession plots stay more stable in all market conditions.
- Files and plot files fluctuate sharply with market changes.
- People call them plot files when society allots numbers after a ballot but does not yet give possession.
What is a Society?
A society provides organized urban planning with facilities for living and business.
Basic Facilities
- Electricity
- Water
- Gas
- Sewerage
- Road Network
- Commercial Area
Advanced Facilities
- Parks
- Play Areas
- Hospitals
- Schools
- Extras such as Golf Course, Club, Gated Security, etc.
Types of Societies in Lahore
- Authority-Run: LDA (Faisal Town, Johar Town, Avenue 1) or DHA
- Cooperative Bodies: Wapda Town, NFC, Model Town, UET
- Private Developers: Bahria Town, Urban Developers, Eden Builders
Tips:
- LDA acts as Lahore’s master planner since the 1975 LDA Act.
- DHA runs parallel in cantonment with A-class projects.
- Cooperative bodies provide affordable quality living.
- Private developers deliver modern, state-of-the-art projects.
How to Verify a Society?
Before you buy, confirm:
- Does the society register with SECP or Cooperative Department?
- Does the society transfer land into its own name in revenue record?
- Does the society hold a valid NOC from LDA, CDA, GDA, MDA, or FDA?
- Does the society arrange on-site utilities such as water, gas, electricity, and sewerage?
Tips:
- Never invest in pre-launch bookings.
- Always wait for official booking launches advertised in newspapers.
- The ad must show location, schedule, installment plan, and possession year.
- Always check newspaper warnings issued by authorities against unapproved projects.
- Review lists of approved/unapproved schemes and confirm with the authority office.
- Remember: marketing firms or agents often highlight only the projects they handle for profit.
What is Balloting?
- In real estate, balloting means the authority assigns plot numbers to allottees.
- Ballot means allocation decided by drawing lots.
- Two types exist in Pakistan’s property market:
Booking Ballot
- When a developer offers a project on installments, people apply.
- Then the authority holds a ballot to decide successful and unsuccessful applicants.
Plot Ballot
- Authority allots numbers against files and issues maps.
Tip:
- Nowadays, many use the word ballot to mislead.
- Always ask clearly:
- Is booking confirmed or through ballot?
- When will they hold the plot ballot?
Which Location is Best?
- People often call Facing Park, Main Boulevard, or Corner plots best.
- However, the best location is always what fits your budget.
What is Short Term & Long Term Investment?
- People usually link quick gains with short term and longer gains with long term.
- However, the true measure depends on delivery, not profit.
Rules
- Delivery within 1–2 years = Short Term
- Delivery after 2+ years = Mid or Long Term (depending on duration)
Factors
- Prices rise for many reasons, yet delivery stays the main measure.
- Occupancy pace also matters.
- Quick delivery with slow occupancy delays growth.
- Fast occupancy boosts consistent growth.
- Therefore, investors must check both delivery and occupancy.
Tip: Always ask agents or authorities for official delivery timelines.
What is Difference Between Allocation & Affidavit Files?
Affidavit Files
- Created when a landholder surrenders land to DHA.
- DHA issues two files of one Kanal for each acre.
- DHA writes seller’s name but leaves purchaser’s name open.
- Landholder fills buyer’s name and submits with fee voucher.
- DHA transfers file and issues intimation letter.
- Buyer then pays membership fee and receives allocation letter.
- Transfer fee ranges from 6,500–20,000.
- Buyers pay no CVT, Stamp Duty, or Advance Tax.
- Transfers complete in 3–4 days without buyer/seller present.
Allocation Files
- Start after affidavit conversion or direct allotment.
- Buyer holds allocation letter.
- Authority applies NDC and charges Stamp Duty, CVT, Advance Taxes, and DHA fee.
- Both seller and buyer must appear for transfer (except overseas/on-behalf cases).
- Buyer must personally collect the letter.
- Transfers take 7–10 days.
Tip: Affidavit files cost more than allocation files because of lower transfer charges. Both stay equally secure since DHA issues them.
When Will Ballot, Development, and Possession Happen?
- Investors often ask this from agents or dealers.
- Agents share limited knowledge.
- They usually rely on CROs, who often lack complete awareness.
- As a result, investors feel dissatisfied due to incomplete or wrong details.
Tips:
- Contact only the authority for accurate answers.
- Only developers or authorities know actual ballot, development, and possession timelines.
- Therefore, rely on official updates, not agent assumptions.
How Much Holding Time Must Investors Plan?
General Timelines:
- Minimum: 1 year
- Reasonable: 3 years
- Sufficient: 5 years
- Enough: 10 years
- More than enough: 15 years
Growth Patterns:
- Mature projects grow slowly but stay stable.
- Underdeveloped projects grow fast but carry higher risk.
Tips:
- Always define holding time before investing.
- Holders win, so holding capacity ensures strong positions.
- Consult your agent, but never invest if you cannot hold for at least a year.
- If you have time to track daily trends, you may consider less than 1 year.
- Otherwise, avoid short-term investments.
- Always plan to hold until possession.
- If you cannot pay installments, avoid booking.
Which Investment is Better: Residential or Commercial?
- Commercial investments usually give higher returns and rental income.
- Residential investments serve personal living needs.
Tips: Decide by checking:
- Do you need dual-use (residential + commercial)?
- How large is the local population for commercial demand?
- What amenities exist for residential comfort?
Which is Better: Cash Payment or Installments?
- Only individuals can answer this based on their goals.
Factors:
- Do you invest purely for return?
- Do you need it for personal residence or business?
- When do you plan to build?
- Can you manage installments easily?
- Can you wait until possession?
Tip: Do not book if you cannot hold until possession. Premature selling risks losses, while dealers and builders profit.
Do I Contact More Than One Agent?
- Yes, never rely on a single source.
- Consult at least 5 agents before buying or selling.
Tip: Use property portals to find agents. Always prefer agents with offices in the same society.
What are Commission Charges?
- Traditionally, agents charged 2% each from buyer and seller.
- Due to competition, many now agree to 1% or negotiate.
- In rentals, agents usually charge half of one month’s rent, agreed between tenant and landlord.
What is the Price for a Plot in Lahore?
- Lahore’s vast size makes price ranges wide.
- For example, a 5 Marla residential plot may cost 2 lacs in some areas and 70–80 lacs in prime areas.
- Dealers often highlight only where they work and profit most.
Tip: Always decide your area first, then survey the market.
Where to Invest in Lahore?
- Locals and overseas Pakistanis ask this most often.
- Every part of Lahore offers opportunities depending on individual needs.
- People already live everywhere.
- Dealers promote only societies they handle for profit.
Tip: Only buyers can choose the best area. Consider:
- Budget
- Location priorities
- Family accessibility
Buyer’s Checklist for Choosing Location
- Consider children’s education.
- Evaluate workplace/business access.
- Check family proximity.
- Define personal preferences.
Questions & Answers (Darul Uloom Karachi)
- Can I sell my flat after booking with down payment, even though I did not take possession and the builder did not start construction?
- Can I sell property after paying Biana, even though the seller did not transfer it and I did not take possession?
- Can I sell a plot in an underdeveloped society after booking and paying, even though the society did not allot a number?
Rewrite it all with same structure but use maximum transition words and avoid passive words
Please Download following Fatwa for the answers to above asked questions
Property Fatwa about Sale Purchase of Installment Plots Homes Flats
Mufti Tariq Masood explaninig the Selling & Buying of booking forms:
Also read:
File Estate vs Plot Estate vs Real Estate: Understanding the Difference | eProperty®
Downtown or ramada lahore better for rental income?
Dear Sir,
DownTown will be a better choice as compare to Ramada in terms of location. Due to its prime location we are expecting more rental yeiled for DownTown. Also DownTown is fully furnished by Wingchair.
Yes but didn’t it said that ramada is give 10% rent yeild but downtown is only 7% guaranteed yeild?
Dear Zubair Bhai,
Is Ramada offering net 7%? Also in DownTown you are not bound to give them for rent, you are allowed to rent yourself and get a better yield. There is no binding. Ramada is not fully furnished, DownTown is fully furnished by Wingchair. Also DownTown location is very prime and can use for offices cum residence.
Aslam o Alikum
I want to buy a file of Al kabir town in lahore near raiwind road.
Plz guied me because this is my 1st time
Dear Salman Bhai,
We only deal with DHA Lahore, Peshawar, Quetta, Multan, Gujranwala, Bahawalpur, LDA City Lahore and Naval Anchorage Gwadar
I heard the dha multan 1 kanal files that are selling for less than 50 lakh now will be worth more than 1-1.5 crore in around only 2 years time after possession and people start living etc. Is that true? If yes, it means it will be a better buy than dha guj right now?
Dear Umair Bhai,
Its look hard to reach upto 1 or 1.5 cror in next 2 years but definite with the passage of time it price will go up. I will suggest DHA Gujranwala over Multan.
Dear Atif Bhai,
I am looking for 1 kanal boulevard/ main boulevard or corner plot (ideally with extra land) in DHA bahawalpur, if you got some option please let me know.
Dear Rizwan Bhai,
Please send message to WhatsApp hotline at:
https://wa.me/923111042111
Due to recent gov policies im predicting plot trading to be very down. So im thinking to invest in any apartments or the like. Whats the best developing project or apartments project to invest in now? Jazakallah.
Dear Rashid Bhai,
Its your own choice, you may get capital gain on small investments like, DHA Quetta, DHA Multan, DHA Gujranwala & DHA Bahawalpur etc. Or for monthly rental income you can go for apartment.
Do You know of any good apartment projects happening?
Dear Safia,
Please contact us at our whatsapp hotline https://wa.me/923111042111
Dha guj or dha multan a better investment for long term?
Dear Sister Saima,
You should choose DHA Gujranwala now
Why is guj better than multan right now?
Dear Sohail Bhai,
After ballot DHA Multan development charges will be started, further investment will be required. However Multan will be also good for next 3 years holding time.
Which block is best for capital gains for 5 marla plots in phase 9?
Dear Wahab Bhai,
It vary as per budget, budget is not issue buy in Sector & K for low budget and good return go for upper cutting of Sector J.
What do you mean by upper cutting of block J? Is it on the side next to the graveyard or opposite side?
Dear Sir,
If you look at J block it has 3 portions in vertical direction, I am talking about the upper cutting portion which is near to interchange.
Aoa pls update me about declaration of property especially for plot on instalments ( file ) ? Tax will b on actual total cost for a file or the amount we have paid to society like a gulberg etc
Regards
Dear Amir Ishaq Bhai,
It is payable on upto date paid amount.
Hello Sir, There are plots in DHA multan 5 marla on Cash , they say NOC is ready, what is that means. Can you explain.
Dear Wasim Bhai,
It mean it is ready to transfer. 5 Marla ready to transfer available at 21 lacs
So what is the difference between the one on Installment or the one on Cash. After balloting both will be same status and what is the own of 5 marla Installment and is this the right time to purchase or after balloting it is better to purchase.
Dear Wasim Bhai,
No difference at all, other then the payment plan. If you want to try luck for location then you can buy now, it you want to buy a confirm good location plot for next 3 to 5 years holding then buy after ballot even you have to pay premium to buy a good location.
Dear sir please advise for investment purposes in Lahore with a budget of 50-55 lakhs. What’s the best place to put that money?
Dear Munir Bhai,
DHA Phase 9 Prism
DHA Phase 9 Town
Jazakallah. What about same budget in Karachi?
Dear Munir Bhai,
We are not dealing in Karachi at the moment
Please If you have money spend it on a bussiness and creat jobs for people. Don´t make it impossible to live in pakistan by buying and keeping the land unused. it is called zajeera andoozy.
Dear MAnzoor Bhai,
Yes Govt. should regulate Real Estate Sector.
Best place to invest in Gwadar that’s good according to you?
Dear Sikandar Bhai,
Buy areas near to Gwadar City only and having valid NOC from GDA.
Dear brother What do you think about investment in plots in Gwadar? There is a new project Green Palms the plots are very good price. You think it is a good investment or too risky?
Dear Jutt Bhai,
Project is located at Main Coastal Highway, and approx 27 KM away from New Town Monument which is called city center now a day. Development work at site is going on, this may take some years to be occupied. For long term holding it will be a good project.
Dear Atif bhai,
I have a plot in LDA Avenue block C. It’s 1 kanal and it’s value is still the same since I purchased it! I bought it many years ago but there’s still some issue I don’t understand and it’s not increasing At all. Do you think I should sell it or will it increase in future? Because last 10 years it’s not increasing which is very surprising to me.
Thank you.
Dear Haris Bhai,
I am not sure about location of your project, but in fact prices has grown in LDA Avenue 1. May be you bought at peak time, and then market came down. Can you please tell me what offer you are getting today for your plot?
Atif bhai,
It’s plot number 523A and it’s one kanal. I’m only getting an offer of around 70 when i bought it for almost the same price 10 years ago! How’s this possible? Thank you.
Dear Haris Bhai,
I am not directly dealing with LDA Avenue 1, that’s why not updated with the rate history. But I remember from 2013 to 2014 price was high for 1 Kanal plot in LDA Avenue 1. However if you are interested to sell it, kindly send message to our whatsapp hotline at https://wa.me/923111042111
I am slightly concerned for other people reading this forum’s sake. I dont understand how you can recommend Lda city to everyone when Lda avenue turned out to be a terrible investment for anyone unlucky to invest there like me many years ago! You tell me atif bhai had I invested this much money (70 lakh more than 10 years ago was worth so much even more than now) for a 1 kanal plot anywhere else in the whole world not just lahore i would have been very happy by now. Only Lda avenue is worthless so I hope all these people you are recommending investing in Lda city don’t end up very disappointed like me.
Dear Haris Bhai,
Everyone has different experience with property. Person investing today in LDA Avenue is happy to invest due to possession area. LDA is the actual master planner of Lahore and has various successful project in timeline. Yes there were / are some issues with LDA. But now LDA has improved a lot. LDA City Investment is recommend for next 3 to 5 years holding time.
Dear Atif Bhai,
I’m looking to buy a plot/file in Lahore around 5/M – 10/M within a budget of 2.5 Million for a investment or property purpose. I can hold this investment atleast 5 years.
Please suggests me best options to invest in Lahore. My interest goes towards LDA city but bit confused.
Jazak Allah.
Regards,
Faysal
Dear Faysal Chaudhry Bhai,
In this budget LDA City suit you. You can buy it. Please use our WhatsApp Hotline for details https://wa.me/923111042111
Salam aleikum.
I was asked by an agent whether for to buy a 10 marla plot file using the affidavit or allocation. By my understanding i think allocation seems safer as it involves me physically being there to see what’s going on. What do you recommend I should do and is there any major difference?
Dear Sultan Bhai,
Yes allocation is safer. Although affidavit is also safe but if you agent cheat with you then you may be in trouble while buying affidavit file. However if you are buying affidavit through a registered agent then you are in safe hands.
Hello sir What do you think about DHA phase 9 in Lahore? Is it good for investment? Because it took 13 years for balloting but now all the issues are settled. Is it a good time to buy it or will there be further issues in future?
Dear Rauf Bhai,
Yes, DHA Phase 9 Prism is investment for future living.
Hello sir what do you think about state life phase 2 in Lahore? I have a plot there it’s value is not increasing since last 1 or 2 years. Do you think it will increase in coming years or I sell it now?
Dear Rauf Bhai,
Although it took a lot of time and still not clear when it will be available for house construction, so far no development at all.
In my opinion seller should hold it.
Sir what do you think about DHA phase 9 in Lahore? They took 13 years for balloting but now all the issues are settled. Do you think it’s good time to buy a plot there for investment or will there be further issues in future? Thank you.
Dear Salam Bhai,
For investment cum living DHA Phase 9 is good buy now.
Hello sir just wanted your opinion on whether to buy a 10 marla plot file in DHA bhawlpur or DHA gujrawala? Which one according to you will offer better returns in the long term? Also is now a good time to buy them or do you think the price will decrease further in the coming months?
Thank you so much for your time.
Dear Sulaiman Bhai,
DHA Gujranwala 10 Marla will be a better choice then DHA Bhmahawalpur in long term.
What is the future of LDA City, Lahore? Should we purchase file or plot there?
Dear Zahid Bhai,
LDA City is under developed project and this is long term investment. You may invest in LDA City considering 3 to 5 years holding time.