The real estate sector is one of the largest stores of national wealth. However, despite this, the industry is dealing with many challenges like problems in the property valuation process, forgery, lack of access to information, malpractices, etc., that need to be addressed to realise the sector’s potential. However, one of the major problems that investors and consumers face is property valuations and the verification of documents in the buying or selling process.
There is a need for digital transformation in the real estate sector to address these challenges. By digitising real estate data, launching an online property verification system, launching an online land registry system, devising a conceptual master plan based on modern urban planning principles, and conducting a demographic study of a population’s skillset to ascertain the best course of development in future, the real estate sector can be revolutionised in the coming years.
To bring digitisation to the real estate industry, the government has taken the initiative to introduce a Biometric Verification System (BVM) for safer property transfers. The National Database and Registration Authority (NADRA) and Capital Development Authority (CDA) signed the agreement. Approximately 20,000 transactions of sale, purchase and transfer of properties take place annually in the CDA.
The BVM will bring transparency to property transactions by verifying the citizens and their family members biometrically to address the challenges faced by any organisation. It will also provide accurate identification and minimise the risk of unwanted breaches within the CDA. The system will undoubtedly counteract all the predicaments created by the traditional Patwaar system and bring transparency and practicality to land ownership and transfer mechanisms.
The real estate industry is the backbone of a country’s economic growth. According to a report by Mckinsey and Company, almost two-thirds of the entire global wealth is stored in the real estate sector. As one of the important sectors of Pakistan’s economy, the real estate industry needs transparency to promote ethical corporate practices, create awareness and eradicate malpractices.
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