REAL ESTATE

1
REAL ESTATE
Institute of Cost and Management
Accountants of Pakistan
National Investment Conference-2005
ByManzurul HaqChief ExecutiveInternational
Housing Finance Limited
2
Construction Sector

• Globally Contributes
• 10-12 of GDP
• 7 Employment
• Over 200 Industries move with the sector

3
Housing Sector in Pakistan

• Available housingstock 19.2 million units
• Required stock 24.8 million units
• Shortfall 5.5 million units

4
Housing Units by Tenure (in million) Census 1998
5
People Per Room

• Pakistan 3.0
• India 2.6
• Turkey 1.3
• China 1.1
• U.S.A 0.5
• Average 100 1.14Countries

Source U.N. (Habitat)
6
Urban Housing

• Organized Others Societies 50
• Katchi Abadies 50

7
Outstanding Housing Finance Loans as age of GDP
8
Real Estate Financing

• Informal Sector 97
• Formal Sector 03

9
Mumbai
(Rs per sq. ft)
Source HDFC
10
Delhi
(Rs per sq. ft)
Source HDFC
11
IMPROVED AFFORDABILITY
Mortgage Market in India
1 Lac 1,00,000
Property price estimates in suburban Mumbai
Affordability equals property prices by annual
income
Source HDFC
12
The Way Forward

• Public / Private Partnerships
• Land Banks