The real estate sector of Pakistan has vast growth potential. Every year, 40 billion USD are invested in the sector, out of which 15-20 billion USD are invested by overseas Pakistanis. As the real estate sector receives massive investments from locals and overseas Pakistanis, it is crucial to ensure transparency and accountability in all types of real estate transactions. The majority of middle-income homebuyers invest their entire life savings in this sector. Therefore, it must aim to provide full security to the investments of these people.
Currently, the state of determining ownership of land and approval from local government authorities is tedious and confusing for most real estate investors. According to the State Bank of Pakistan, out of the 1000+ high-rise commercial projects of Islamabad, 750 remain unapproved or are currently under the approval process. These commercial projects hold a significant amount of investor capital and the lack of approval from government authorities means that those investments can be jeopardized. To make investments safe and secure, there is a need to bring rigorous checks and balances in the real estate sector, especially related to approval and ownership of land and property.