ISLAMABAD, May 8: Rates of real estate in different sectors of the federal capital have increased by over 500 per cent in the last five years, diminishing hopes of the middle class to own property despite government’s assurances about resolving housing problems. According to owners and property dealers, the rates increased when overseas Pakistanis invested their assets in real estate in their homeland after the 9/11 incident.

The sudden increase in the demand triggered an unprecedented hike in property prices. Similarly, another reason behind the increase was development work in different sectors of Islamabad. In 1999, 50x90 feet plots in sector F-10 were sold at Rs6 million, while now the same values at Rs20.5 million each. Likewise, a 180x115 feet plot is now available at Rs40 million against the previous rate of Rs10.25 million.

In 2000, owners of 50x90 feet plots in sector F-11 demanded Rs1.3 million from prospective buyers but now the prices have jumped to Rs10.35 million.

A plot of 180x115 feet was sold at Rs10.25 million five years ago, however, now one would have to invest Rs40 million to own it.

In sector E-11, the recent prices of 50x90 feet and 35X65 feet plots are Rs10.35 million and Rs8 million, respectively.

Similarly, in sector E-12, the rates of 50x90 feet plots have jumped from Rs10 million to Rs1.7 million in five years. Price of 35x90 feet plot was Rs4.4 million against the previous rate of Rs0.8 million.

In sector G-11, a 20x40 feet plots is being sold at Rs4.5 million, which was available at Rs0.5 million.

For a 25x40 feet plot, owners are demanding Rs6 million while its old rate was only Rs1 million five years ago. Similarly, in the year 2000, 25x50 feet, 30x60 feet, 40x80 feet and 50x90 feet plots were sold at Rs2.5 million, Rs2.8 million, Rs3.2 million and Rs4 million, respectively. However, the latest prices are Rs5.2 million, Rs8.3 million, Rs10.35 million and Rs20.2 million, respectively.—Inamullah Khattak