While travelling on the roads of Islamabad, through the clusters of buildings, one can’t help but get lost as they look outside their car windows. You observe the capital divided into zones, conjoined together like a spider web with a vast network of roads and overhead bridges. While taking a journey through the expressway towards Rawalpindi (the better yet louder and busier half of Islamabad) the majestic amaltas trees light up the city on fire as you look back during the golden hour, turning Islamabad majestic.
While travelling through these ways or on any roads, do you ever wonder how the roads, the sceneries, the buildings are all so connected?
Well, whatever you see on land outside through your car windows, the viewpoint on Daman-e-Koh, or better yet as far as your eyesight reaches, it is all real estate…
Confused?
Don’t be. Let’s get to learn a couple of things about real estate.
Q. What is real estate?
Real estate is any real property that may include land, buildings, fixtures, structures, utility systems, and roads, which adds not only to having land rights, but also air and underground rights that are below the land.
Q. How are roads, buildings or fixtures a part of real estate?
If you want to understand how the industry works, you must know that are 4 different types of real estate.
Q. What are the types of real estate?
The four different types of real estate are:
1. Land:
The land is considered to be the baseline in the real estate sector. It not only includes vacant land, but also farmland, underdeveloped land property or early developed land and land that can be reused.
However, it is essential that before purchasing land, one must be fully aware of the potential and the problems associated with it because the development of any land is strictly regulated. Hence, for safety purposes in the future, all further investments should be cleared to bring the land to a buildable state. The land should then be acquired by the developers or buyers.
2. Residential:
This includes construction, selling or buying, or renting of buildings or structures used as homes. Within the residential property, there are multi-storey houses, apartments/ condos, villas, huts or rooms. The type of house depends on the size and wants of the family.
3. Commercial:
Commercial properties are land and buildings that are used to generate income by businesses as they carry out their operations. Within the commercial real estate shopping malls, stores, office buildings, parking lots, medical centres, hotels, residential apartments and school buildings are included.
4. Industrial:
Industrial real estate refers to any land and/or building that is used for industrial activities such as factories, mechanical productions, research and development, construction, transportation, logistics, warehouses, storage, etc.
Q. Who are the different stakeholders in real estate?
Stakeholders play a significant role in the smooth functioning of the market, as the performance of the market, particularly changing trends or fluctuation affects them in one way or the other.
In real estate there are four major stakeholders:
1. Buyer:
A buyer is a major stakeholder in any market. Talking about the real estate sector, buyers in the real estate marketplace are the ones who have the money that is needed to or is floated that helps run the real estate market.
2. Seller:
Sellers in the real estate market satisfy the demand of a buyer by fulfilling the requirements of a party who wants to buy the home.
3. Investors:
People who buy the property at low prices or cheaper rates to gain profits when the property is sold after there are increases in its value and worth are investors.
4. Developers:
Developers cater to the needs and demands of the society by bridging the gap between the construction facility and the consumer’s need. They provide infrastructure to the growing economy. They develop real estate in sectors like housing, office space, commercial, etc. A developer offers value in terms of design, cost, functionality, and location in the real estate sector.
Q. What are four basic property laws to abide by while conducting real estate transactions?
The real estate laws in Pakistan have a major impact when one deals in the transactions of property in Pakistan. It is essential to abide by these laws if you are a real estate agent, buyer, or seller. When dealing with real estate transactions in Pakistan, the four basic laws to abide by are:
1. Registration Act of 1908:
Divided into 15 sections, the Registration Act of 1908 guides on all matters of real estate registration in Pakistan, along with describing the time and place of presentation of the documents separately.
2. Transfer of Property Act 1882:
This law discusses the details regarding the transfer of any type of real estate in Pakistan. This law directly impacts the buy and seller in the transaction.
So, if you want to know more about who is entitled to transfer the property, operation of transfer, oral transfer, and what types of properties can be transferred, this is the law you should refer to.
3. Stamp Act of 1889:
Directly affecting the revenue of the government, the Stamp Act of 1899 briefs about the different stamps that are used in buying and selling of properties in Pakistan. Every buyer and seller has to pay a certain amount to the government in place of the stamp papers that are used to make agreements legal while buying and selling of real estate in Pakistan.
4. Land Revenue Act 1967:
This act discusses the complete structural hierarchy of the land and revenue department in Pakistan. This act briefs about the different powers that are allocated to different land and revenue department offices and their due jurisdictions. It also tells about critical issues like conducting surveys, marking of boundaries, partitions, and arbitrations.
These were some major FAQs about real estate that we have answered for you. If you want to know more about real estate watch real estate TV shows.
Have more questions? Leave us a message in the comments below!
