Making an investment decision is not as easy as it may seem, especially given the prevalence of real estate scams in Pakistan, which, if you are not vigilant, can result in a significant loss of money.
To select the best investment possibilities, it is essential that the investor perform extensive study. However, it can be difficult to know where to begin with the abundance of information available online. You must confirm that the real estate project you are investing in has met the OADD criteria in order to overcome these obstacles:
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Ownership,
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Clearance Certificates/NOC’s
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Deliverance/Previous Project
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Demand
Ownership:
It is essential to first confirm who the land’s owner is. The owner might not have the authority to sell it in particular circumstances. Do your research before making any decisions because this could lead to a multitude of issues in the future. The first step is to determine if there are any records on the property with the local municipality or land registry office. Finding the owner or obtaining additional information about the property could be challenging if it is not registered. By ordering a simple property report with Prop Sure, you can obtain a complete report on the ownership of the property.
Documents and clearance certificate:
Another crucial aspect to take into account is the property, society, dwelling, or rental’s approval status from an authorized regulatory authority.
Putting money into an unauthorized real estate project can be risky; if it turns out to be a fraudulent operation, it may be difficult to get your money back. It’s also possible that unapproved societies won’t provide the same level of security and advantages as approved organizations, Therefore, it’s crucial to conduct your homework and confirm that the necessary authorities have given the society you’re thinking of investing in its approval before making a decision.
Similarly, you should confirm that the plan has a No Objection Certificate (NOC) from the relevant authorities and does not, therefore, contravene any laws or regulations.
All 12 NOCs required for any housing project are listed below:
- Ownership records
- Project’s site plan or approved layout development project’s initial planning permit
- From the design venting committee, with approval (DVC)
- Letter of approval for a building plan from the building control directorate, CDA
- Evaluated by the appropriate authority and approved building plans
- Certificates of third-party vetting
- CDA clearance for the access road (where applicable)
- Letter of approval from the national highway authority (NHA)
- in the case of the GT road height clearance certificate (CAA)
- Approvals for utility connections
- Letter of approval for a fire suppression system
- Building completion certificates and approval from the Pakistan environmental protection agency (PAK-EPA)
Without a NOCs, investing in a housing project might be dangerous because there is no assurance that the project will be approved.
Deliverance/Previous Project:
It’s a good idea to find out if the developer has completed previous projects before deciding to invest. This will give you a sense of their performance history and whether or not you can expect them to finish the present project on schedule.
To find out if the owner has had any complaints or legal action, you can also contact your community’s housing authority or government. Finally, inquire whether those who have previously contributed to one of the owner’s projects were happy with the outcomes by speaking with them.
Location/Worth of project:
The location is another crucial aspect to take into account when investing. Is the house in a sought-after, premium location? If so, there is a far larger probability that the property will increase in value and you will be able to sell it for more money. You can look at market trends, examine the neighborhood, and consult real estate professionals to receive their perspective of the project.
For more information contact Aura Properties, we provide free consultancy & available to assist you regarding any Real Estate query.
Research & written by:
Sanah Abbasi