KARACHI, May 23: As the Defence Housing Authority has started a campaign to register the estate agents dealing in eight phases of the DHA, two groups of estate agents are fighting each other: one favours the registration while the other opposes the move. The DHA has fixed an amount of Rs100,000 for the registration of brokers and estate agents dealing in the DHA area. But the authority appears to have come under fire with the cropping up of a group who has knocked the doors of the court to challenge the decision.
Property market sources said that well-organized estate agents were reported to have approached the DHA to introduce the registration of estate agents dealing in the DHA in order to check the mushroom growth of estate agents who had cropped up at a time when prices of plots and bungalows had reached an alarming proportion, rising by over 200 per cent in the last two to three years.
The sources say that the opposition group thinks that the move is aimed at sidelining small and medium sized agents in order to capture the entire business of the posh area. However, it is not only in the DHA area but also in other parts of the city where petty shopkeepers, pan walas, fruit and vegetable dealers, car dealers, meat sellers, etc., are impersonating estate agents and dealing in sale and purchase of property. They are said to be dealing as a part-time business in order to take advantage of booming real estates market.
The sources said that many so-called estate agents having no background of property dealing ended up flouting a genuine deal, bringing bad name to the professionals in the business. There were reports that such unscrupulous people befooled many by disappearing with token money or failing to check the documents of sale and purchase, etc.
Many so-called agents have no office or accommodation as they operate from their houses. Market analysts believe that estate agents are equally responsible for flaring up of the property price as they know that buyers and sellers are bound to follow their tongue twisting techniques.
Parekh Estate chief executive Abdul Wahab Parekh said that overall the DHA move was good as it would let many so-called brokers, who operate without any office, pack up their business. “But there is one apprehension in the decision that it will help the business of limited brokers grow, as many brokers will have to change their business and find other avenues to operate this business.” He said that registration was necessary as there should be a check and balance of the authority to find out the genuineness of millions of rupees dealing.
Mr Parekh said only those agents who had well-organized setup would opt for the registration, while many small agents would find themselves in a difficult situation. He also did not agree over the discretion of the DHA to register the brokers or not. If a broker has an office and a workforce he should be allowed registration.
