To stop the investors getting cheated out of their investment in property by property developers, the government of Pakistan should pass laws similar to what was enacted for the car manufacturing industry when they were not delivering vehicles on time and without commission. Now car dealerships have to deliver the vehicle within six months or they would be charged interest on the customers’ payment (investment).
Similarly, for the property industry, there should be a law to ensure allotment of advertised property within one month of payment. No property development scheme should be allowed to sell plots or memberships without purchasing any land. Transactions of property dealers should be monitored and they should not be allowed to charge high commissions or speculate on prices. The development companies should also have an “out” clause or rule for all its members by law. A regulatory authority should also be created to enforce rules, resolve complaints and ensure safety and quality of development work through third party validation.
These rules will ensure the safety of our investment. They will also ensure that investment is used for property development to help overcome the housing shortage in Pakistan. And it will stop the illegal activity of selling properties of millions of rupees on a few rupees worth of paper file only.
ENGR SHAHRYAR KHAN BASEER
Peshawar
