Revaluation of immovable property.

Byline: MARYAM NAWAZ KAYANI-Islamabad.

A lot of clamour was heard regarding the new policies implemented by the government in the real estate sector. The real estate business community and other relevant stakeholders of about 40 major cities were seemingly upset as the government announced new market prices for the immovable property on December 1st, 2021. The decision to increase the prices came under the government's plan to generate greater tax revenue from property and boost the economy of the country. The new evaluation caused a hike in prices from 100 to 600 percent depending on various factors of residential and commercial properties. The rapid and enormous change will only cause a rippling effect in many quarters of the economy involving immovable property. Hence, an uproar was seen and felt throughout the country especially Punjab, and the decision was halted within a week of the said announcement.

Significant stakeholders' inclusion in the revised decision is needed for the revaluation of changes in property prices as promised by the Chairman of the National Assembly Standing Committee on Finance and Revenue. Although, this news is a sign of relief compared to the storm that brewed for the real estate community, yet it only softens the blow. It is not a major concern for only real estate property owners and dealers, including builders and construction businesses per se, but it will affect the other segments as well. Those planning private and public investments in schools and hospitals will have to look again at their decisions to invest. Other major reviews would include banks taking collateral referrals for loans, judiciary resolving property cases, and people spending money saved from a lifetime, on...