Dear LRE
Would you please discuss the effect on property values of continuous fall in interest rates. In such situations return on deposits/savings also reduces and peoples draw their money from banks and put them on property investments. It has happened in past also.
Thanks.
RZ replied on Tuesday, January 27, 2015 12:53 PM
I normally say it is difficult to earn money but very difficult to keep specially when it is not making any profit. Current drop in interest rate is a very healthy sign and certainly people will think to get their money out and will try to make use of it. In Pakistan there is not much places to invest and people's favorite choice is real estate and there is nothing like Defense Housing Authority Lahore and in DHA there is nothing like DHA-9 , there are high chances of real estate to get boosted in general and DHA-9 in particular. Rest Allah knows better. |
SIM replied on Wednesday, January 28, 2015 07:03 AM
Will the low inflation rates also affect property negatively? |
Ejaz Ahmad replied on Wednesday, January 28, 2015 07:23 AM
On the contrary low inflation creates assets price( stock market / real estate etc.) inflation. |
BUZ replied on Friday, January 30, 2015 06:17 AM
Could be a big hike in the real estate. |
