Investing in apartments can be a great way to build wealth over time. There are several reasons why you should consider investing in apartments, including:
Cash flow: One of the biggest benefits of investing in apartments is the potential for cash flow. When you own an apartment building, you can rent out the units to tenants. This can provide a steady stream of income, which can be used to pay for expenses and to reinvest in the property.
Appreciation: Over time, the value of the property is likely to appreciate. This means that you can sell the property for a higher price than what you paid for it, which can result in a significant profit.
Tax benefits: Investing in apartments can also provide tax benefits. For example, you can deduct depreciation on the property, which can help to lower your tax bill. Additionally, you can also deduct expenses related to the property, such as repairs and maintenance.
Professional management: Investing in apartments can also be a great way to invest in real estate without having to manage the property yourself. There are many professional management companies that can handle the day-to-day operations of the property, such as finding tenants and collecting rent. This can free up your time and allow you to focus on other investments.
Diversification: Investing in apartments can also be a way to diversify your portfolio. Instead of putting all of your money into stocks or bonds, you can invest in real estate, which can provide a hedge against inflation and economic downturns.
Affordability: Investing in apartments can be an affordable way to get into the real estate market. Unlike single-family homes, which can be quite expensive, apartments can be purchased for a fraction of the cost. This allows you to invest in real estate with a smaller amount of money.
Leverage: Investing in apartments can also be a way to leverage your money. You can often purchase an apartment building with a small down payment and then finance the rest of the purchase with a mortgage. This allows you to control a large asset with a relatively small amount of money.
High Demand: The demand for rental properties is always high, regardless of the state of the economy. People always need a place to live, and as population grows, the demand for rental housing continues to increase.
Rising Demand of Apartment living in Pakistan:
In recent years, the demand for apartment living in Pakistan has been on the rise. There are several reasons for this trend, including:
Urbanization: Pakistan is experiencing rapid urbanization, with a growing number of people moving from rural areas to cities in search of better job opportunities and a higher standard of living. This has led to an increased demand for housing in urban areas, particularly apartments.
Affordability: Apartments are often more affordable than single-family homes, making them a more attractive option for many people. Additionally, many apartments are now being built with a variety of amenities, such as gyms, swimming pools, and community spaces, which can be more cost-effective than maintaining these amenities on your own.
Convenience: Apartment living also offers a level of convenience that many people find appealing. Many apartments are located in or near urban areas, making it easy to access public transportation and other amenities. Additionally, many apartments come with maintenance and security services, which can be a major benefit for people who are busy or have mobility issues.
Socialization: Apartment living also provides a level of socialization that many people find appealing. Many apartments have common areas, such as community spaces, that can be used for socializing with other residents. Additionally, many apartments are located in or near urban areas, which can provide opportunities for socializing with people from diverse backgrounds.
Government Policies: The Government of Pakistan has also been playing a vital role in promoting apartment living. The government has been encouraging private developers to build more apartments, and it has also been providing incentives to people who want to buy apartments.
Lifestyle: Apartment living has also become a more desirable lifestyle choice in Pakistan. Younger generations are increasingly choosing to live in apartments, as they provide more flexibility, less responsibility, and more freedom to travel and explore.
Residential Building or Commercial Building:
When it comes to investing in real estate, choosing between a residential building and a commercial building can be a difficult decision. Both options have their own set of benefits and drawbacks, and it ultimately comes down to what best suits your needs and goals.
Cash Flow: Residential buildings tend to have a more stable cash flow, as people will always need a place to live. Rent from residential units can provide a steady stream of income. Commercial buildings, on the other hand, may have more variable cash flow, as it is dependent on the success of the businesses operating within the building.
Appreciation: Residential buildings may appreciate in value over time, as the demand for housing typically increases with population growth. Commercial buildings may also appreciate in value, but this can be more dependent on the success of the businesses operating within the building and the overall health of the commercial real estate market.
Tax Benefits: Both residential and commercial buildings may offer tax benefits, such as deductions for depreciation and expenses. However, it’s important to consult with a tax professional to understand the specific tax implications of each type of property.
Risk: Residential buildings tend to be less risky than commercial buildings, as the demand for housing is typically more stable. However, commercial buildings can also be a good investment, particularly if they are located in a growing area with a strong economy.
Management: Residential buildings typically require less management than commercial buildings. Residential tenants typically have longer-term leases, and there are fewer businesses to manage. Commercial buildings, on the other hand, may require more management, as the tenant turnover can be higher and there may be more businesses to manage.
Purpose: Residential buildings are typically used for living, while commercial buildings are used for business or commercial activities. It’s important to consider the purpose of the building and whether it aligns with your investment goals.
Apartment life in Bahria Town:
Bahria Town is a well-known real estate development company in Pakistan, known for its high-end residential communities and luxury apartments. Living in an apartment in Bahria Town can offer a variety of benefits, including:
Luxurious Amenities: Bahria Town apartments come with a wide range of luxurious amenities, including swimming pools, gyms, saunas, and community spaces. These amenities are designed to provide residents with a high standard of living and a sense of community.
Security: Bahria Town places a high emphasis on security, with 24/7 surveillance and security personnel on site. This provides residents with a sense of safety and security, and can be particularly beneficial for families with children.
Convenience: Bahria Town apartments are located in or near urban areas, making it easy to access public transportation and other amenities. Additionally, many apartments come with maintenance and security services, which can be a major benefit for people who are busy or have mobility issues.
Community Living: Bahria Town is a planned community, with a variety of amenities and facilities that are designed to promote community living. This can include parks, recreational areas, and community spaces. This can provide an opportunity for residents to socialize with one another and build a sense of community.
Quality Construction: Bahria Town is known for its high-quality construction and attention to detail. Apartments in Bahria Town are built to a high standard, with features such as high-quality finishes and energy-efficient systems. This can provide residents with the peace of mind that their apartment is built to last.
Investment Opportunity: Buying an apartment in Bahria Town can be a great investment opportunity, with the potential for appreciation over time. Bahria Town is a well-established and respected developer, and owning a property in one of their communities can be a wise investment choice.
When it comes to choosing between an apartment and a house, there are a variety of factors to consider, including lifestyle, budget, and long-term goals. Both options have their own set of benefits and drawbacks, and it ultimately comes down to what best suits your needs.
Lifestyle: If you value convenience, low maintenance, and proximity to city amenities, an apartment may be a better fit for you. Apartment living typically requires less maintenance and upkeep, and many apartments offer amenities such as gyms, swimming pools, and community spaces. On the other hand, if you value privacy, outdoor space, and the ability to make structural changes to your living space, a house may be a better fit for you.
Budget: The cost of buying or renting an apartment is typically lower than that of a house. Additionally, apartments often have lower utility costs and maintenance expenses. However, if you have the budget for it and you can afford a house, it can be a great investment with potential for appreciation over time.
Long-term goals: If you are looking for a long-term investment, a house may be a better choice as it can appreciate in value over time. However, if you prefer a more flexible living situation and do not plan on staying in one place for an extended period, an apartment may be a better choice.
Community Living: Living in an apartment can provide a sense of community and socialization, as they often have common areas, such as community spaces, that can be used for socializing with other residents. Additionally, many apartments are located in or near urban areas, which can provide opportunities for socializing with people from diverse backgrounds.
Maintenance: One of the biggest downsides of owning a house is the maintenance and repair cost. As a homeowner, you are responsible for any repairs or maintenance needed. In contrast, if you live in an apartment, most of the maintenance and repair work is taken care of by the landlord or management company.
People who are buying or investing apartments:
In Pakistan, apartments are being bought by a diverse group of people including:
Young Professionals: Many young professionals, such as recent graduates and young entrepreneurs, are choosing to buy apartments in Pakistan. Apartments offer a convenient and affordable housing option for people who are just starting their careers.
Families: Apartments are also becoming an increasingly popular housing option for families in Pakistan. Many apartments are now being built with multiple bedrooms and amenities such as playgrounds and community spaces, making them a more attractive option for families.
Investors: Apartments are also a popular investment option for people in Pakistan. The potential for cash flow and appreciation make apartments an attractive investment opportunity.
Retirees: Apartments are also becoming a popular housing option for retirees in Pakistan. Many retirees are choosing to downsize and move into apartments, as they offer a more convenient and low-maintenance housing option.
Foreign Investors: Apartments in Pakistan are also being bought by foreign investors, particularly those from the Middle East and Gulf countries. These investors often see Pakistan as a good place to invest in real estate due to the growing population and increasing urbanization.
NRIs: Many non-resident Pakistanis also invest in real estate, particularly in apartments, as it could be a good investment opportunity, and they can also use it as a place to stay when they visit Pakistan.
ESPA Builders is one of the most renowned real estate developers in Bahria Town Rawalpindi with three projects underway, namely:
- Evershine Heights
- Evershine Business Centre
- Golf Empire
The above mentioned projects are located at the prime locations of the Bahria Town based on niche to accommodate the diverse needs of the clients and investors.
Evershine Heights, a flagship project by ESPA Builders, is located at the most cherished location of Bahria Town Rawalpindi. Standing tall right next to statue of liberty, Evershine Heights, a multipurpose building with dedicated floors for businesses and residential apartments is one of the top investment option for the investors.
Evershine Business Centre, a complete commercial project right next to new head office Bahria Town Rawalpindi symbolizes a promising future. This commercial project offers spacious shops, offices and apartments. What sets this project different from others is its ideal location, which is to become a hotspot for commercial activities in Bahria Town.
Golf Empire, designed to uplift the lifestyles by providing peace, tranquility, serenity and privacy to its residents is ideally located in Bahria Garden City. This residential project is ideal for the people who prefer living in nature and also close to city. If you are the one who enjoys privacy and prefer serenity, Golf Empire is a perfect fit for you.
Pakistan is witnessing a rising trend in apartment living and is continue doing so as the world is moving towards vertical living and is the need of the hour and Bahria Town has evolved as a benchmark for all the developers.
In conclusion, investing in apartments can be a great way to build wealth over time. It can provide a steady stream of income, appreciation, tax benefits, professional management, diversification, affordability, leverage, and high demand. It is important to do your research and understand the market before making a decision to invest.