Inflation can contribute to an increase in property prices. When the general price level rises, the cost of construction materials, labor, and other inputs for real estate development also tends to increase. These rising costs are often passed on to buyers, leading to higher property prices. Inflation can reduce the purchasing power of individuals and make it more challenging for potential homebuyers to afford properties. As the cost of living rises, people may have less disposable income available to allocate towards real estate purchases. This can result in decreased demand and slower activity in the real estate market.

Inflation can influence investor sentiment and confidence in the real estate market. High inflation rates may create uncertainty about the stability of the economy and impact investor confidence. This can result in a more cautious approach to real estate investment and a slowdown in market activity. The average housing price in Pakistan in the city center of this country is estimated at $883 per square meter, and outside the city, the average housing price is $365 per square meter. Considering the inflated markets of Pakistan, it seems that housing prices are also growing strongly in this country. But apparently this is an illusion. In fact, house prices across Pakistan fell by 4.35 percent in the year to the second quarter of 2019, but when prices are adjusted for inflation, nominal prices rose by 4.15 percent.

The real estate sector is an engine of economic growth for Pakistan and yet it has been neglected for decades. By introducing formal training courses in institutions, a revolution can be created in this sector. Iman and Zeeshan Alikhan; Two Pakistani-English brothers decided to fulfill their childhood dream to help more people find a home. The first phase of fundraising for this startup happened in 2012 when several investors announced their readiness to support them. In 2015 and 2016, the second and third stages of capital raising were carried out. Zameen currently has more than 4 thousand full-time and part-time associates in more than 34 cities of Pakistan. This startup has already reached a level of credibility at the level of proptechs in the region, which has held several domestic and international exhibitions.

Inflation can affect the cost of construction materials, labor, and other inputs for real estate development. Developers and builders may face higher costs, which can impact their profit margins and influence their decisions to undertake new projects. Inflation-induced cost increases can lead to delays in construction timelines or adjustments in project designs. Inflation can impact rental prices in the real estate market. As the cost of living rises, property owners may increase rental rates to compensate for higher expenses. This can affect the affordability of rental properties and potentially impact demand from tenants.

In order to implement the plan to build five million houses in five years, the government of Pakistan provides 90% of housing costs to low-income families. The prime minister of Pakistan made this promise during his election campaign to solve the problem of the lack of cheap housing. Currently, housing finance in Pakistan is 0.2%; While it is 10% in India, 30% in Malaysia, and 80% in England and America. In this plan, facilities are given to houses below three million rupees (about 600 million tomans) and the bank pays 90% of the cost of the house. Incentives have been provided for banks and financial institutions to increase loans. Special groups such as widows, orphans, martyred and war-affected families have priority in Pakistan's housing plan.

People who intend to enter the territory of this country with investment generally try to do it by buying property or by registering a company, another method is a combination with an entrepreneur visa for someone who has a strong business plan and wants to do so. achieve a good result. Keep in mind that Pakistan is a very powerful country in various fields and it can be a great option. Buying a house in Pakistan and getting residency can be another investment method.

Inflation can influence interest rates set by central banks. If inflation is high, central banks may respond by raising interest rates to control inflation. Higher mortgage interest rates can make borrowing more expensive, reducing the affordability of properties and potentially dampening demand in the real estate market. Inflation can impact investment decisions, including those related to real estate. Some investors may view real estate as a hedge against inflation, as property values and rental income can potentially rise with inflation. However, high inflation rates can also create uncertainty and volatility in the market, leading to cautious investment behavior.