How much do real estate agents make in Pakistan?

 

Just like any other corner of the world, real estate and lodging is the basic necessity of the masses in the country. Keeping in view the population boom in the country, and land demand for lodging and investment purposes, real estate is the most stable market in Pakistan. Its contemporary industries contribute more than 30% to Pakistan's GDP. Real estate agents are the backbone of this industry, so it is a very suitable career option in Pakistan. With a little insight into the market, a person can earn a good real estate business salary in this industry. A real estate agency can easily make millions by simply getting good real estate agents on board and serving customers' interests. And above all, now the educated lot is taking over this industry. Patwari and Munshi culture is almost eliminated even from the remote areas of the country and highly educated people are coming into this business. This is changing the dimensions of the industry and making real estate a world where there are good career opportunities for people from all sorts of backgrounds. People, especially youngsters who are committed to finding good career options that meet their financial objectives all while providing opportunities for advancement, stepping into this market is the perfect option for them.

Real estate career in Pakistan

A private institution, SalaryExpert, which is powered by the Economic Research Institute based in California, conducted a very detailed survey on real estate as a career. Here is the crux of all of their findings:

• The average base salary of real estate agents is Rs 1,452,996 (PKR)/yr
• The average hourly real estate business salary is Rs 698.56 (PKR)/hr
• The average bonus real estate agents earn is Rs 217,078 (PKR)/yr
• Entry-level salary in the country is PKR 860,800
• A senior-level real estate agent (8+ years of experience) earns an average salary of Rs 1,859,810
• The estimated salary after 5 years, in 2026 is Rs 2,504,027 (PKR) (a 72% increase. More than any other field currently)
• Almost 53% of real estate agents have completed high school or more.

Becoming a real estate agent in Pakistan

As there are presently no institutions offering certification, real estate agents in Pakistan are not legally required to be registered and get a license.

Everyone can step into the world of real estate. But afterward what makes a person stand out as a real estate agent is his industry knowledge, time investment, and customer service. These factors vary from person to person but here are some of the ways of starting in this industry on the right foot. 

Know real estate laws and taxes

Real estate agents cannot be successful without sufficient knowledge about real estate laws and taxes. Especially about the local area. Good knowledge about the locality, awareness about types of properties and their sale status, government rules and regulations, and knowledge about the conditions associated with the sale of property are some of the critical factors which real estate agents know about. 

Assisting established agents

Working with established real estate agents or a reputed real estate agency is the best way to gain hands-on experience in the industry and different aspects of the market. These entities or individuals have spent their due time in the industry and are dealing with the market on a day-to-day basis. Once you have learned the tactics and developed a good understanding of how the market is operating, you can start your autonomous practice. 

Built connections and PR

Learning how to develop good PR and connections in the industry is one of the most skills a real estate agent should possess. By forming connections with buyers and with fellow realtors, you can drive a very good volume of leads. 

While building the connections, you should stick to the motto of “quality over quantity”. Just build good relations and keep following up with those leads. Some effective ways to make connections in this industry are:

• Do not take online networking for granted. This industry, especially from a buyers' perspective, has heavily shifted to online platforms. For example, there are several discussion forums on Facebook where buyers are asking questions regarding real estate all the time. As a real estate agent or real estate agency, these online channels can be the goldmines for you to find leads as well as develop connections.
• Maximum engagement in the local community. Unless you are operating on a corporate level, all of your business is in your locality. Some effective ways are sponsoring local events, speaking at events, hosting walks, or simply partnering up with local businesses.
• Listen actively. This can help you understand better what exactly your potential client is looking for. Serving clients as per your expectations can help you develop a good reputation in the industry.  
• Once you have done the networking, following up with prospects is equally important. You can simply give them a call or send them an email whenever you come across real estate or deals that might interest them or fulfill their investment needs. 

Real estate business salary

Real estate business salaries can be highly lucrative but in the end, the salary can vary from one real estate agent to another. Starting from a few thousand, it can go up to millions depending upon the properties you are dealing with and the experience one has. In short, the business of real estate is highly demanding but can turn out really profitable, especially if one sticks to it for the long run and invests efforts in it. 

If you are just starting in the industry, we highly recommend you start with a reputable real estate agency. There you’ll work under the supervision of a seasoned professional, have plenty of opportunities to develop your reputation in the industry as a real estate agent, and above all understand how this business is working. Moreover, you can also pick out which segment or division of the industry works for you. 

 

Which investments have the best returns in Pakistan?

Pakistan is the land of opportunities. It offers opportunities for everyone especially when it comes to investments but the only problem is that most people are not aware of investment prospects. A huge portion of the masses thinks that keeping savings in the form of cash is a viable option and while doing so, they do not consider that inflation and devaluation of currency will decrease the worth of their savings over time. The only wise option for savings is investing it in some prospect so the savings keep on growing with time. Besides, the Pakistani economy is flourishing over time and many good investment potentials have emerged over time. 

Here are some of the top investment opportunities in Pakistan.

Real Estate

No other investment option in Pakistan can top the opportunities real estate offers. Being the largest sector in Pakistan after agriculture, the opportunities on this spectrum are unlimited. 

As declared by different official and semi-official sources, the real estate industry’s worth stands between $300 and $400 billion by 2020. Considering the overwhelming growth in the past few months, the worth of the documented sector is substantially higher than $400 billion. Unofficial estimates place the figure anywhere between 700 and 950 billion dollars.

Despite Covid-19 -pandemic, strict lockdown, and other internal issues of Pakistan, this industry is showing trends of the boom from the past 5 years. A number of privately owned good prospects emerged on the spectrum i.e.Nova City housing society Pakistan, Smart City Lahore, Capital Smart City, and Park View City Islamabad. All of these were launched just a while back but they have already started to return a very good yield of returns to the investors. 

Real estate investment is no doubt the finest investment option in Pakistan but unfortunately, the business is rife with unscrupulous tactics. Also, investing at the wrong time or putting money in the wrong schemes can lead to significant monetary loss. If you aren’t aware of the market, you should always seek help from a reputable real estate agency. Even if you are not looking to buy the property and merely need information such as SmartCity Lahore location or updated Capital Smart City prices, always turn to these credible sources. 

 

Gold

Gold investment has always been a very popular investment choice in the country. There is very little evidence in history when gold prices moved backward. Even if they did, there wasn’t any sharp decline. 

Here, investment in gold does not mean buying gold jewelry. Investment in gold is referred to as Bullion which is gold and silver investment. In this investment, gold is kept in the form of bars, ingots, or coins and it is 99.5 percent pure. These bars, coins, or ingots, which are popularly known as gold biscuits in Pakistan.

Stock Market

At the professional or higher level, the stock market is the popular choice among investors. 

Usually, Pakistanis are resistant to putting their money in the stock exchange, but with a good understanding of the market and the right choices, it can be very profitable.  

Investment in Bonds

Investment in bonds means buying prize bonds. It is the easiest and safest option and can be started with an amount as low as 100 or two hundred rupees. 

Prize bonds are offered by National Savings under the direct supervision of the State Bank of Pakistan (SBP). In case you win on several prize bonds or even one of bigger value, for example, prize bond of 40,000 which offers a first prize of 75,000,000, 2nd of 25,000,000, and third prize of 500,000, that is a very good and quick return. And if you cannot win a prize, or you need cash at any time, you can instantly convert it into cash. 

Trading in currencies

This is the simplest way of making money and even an amateur investor or person with no market knowledge can earn profits by trading currencies. 

This method is simply exchanging Pakistani Rupees for a foreign currency, such as dollars or pounds, and storing the new money until its value rises. Unfortunately, the Pakistani rupee is depreciating. When foreign currency is converted back after the rates reach greater levels than what it was purchased for earlier, leaving the buyer with a profit.

Investment in the food sector

Food is the most essential commodity. And being an agricultural country, and Pakistanis love for delicious food opens a lot of opportunities. 

If you have money and a good understanding of your local market, you can start a food outlet of your own. If you have a good volume of money to invest, you can buy a franchise of a well-known food chain i.e. McDonald's, Burger King, et cetera. These food chains offer basic setup and training and all thanks to the already reputation of the brand, you can start investing profits right away!

Health Sector

Every person's life is impacted by health difficulties to some extent. In Pakistan, demand for medications and medical equipment is usually high owing to a variety of variables, particularly in the current socio-economic climate. Take the Covid pandemic example. Masks, hand sanitizers, and even basic medicines like Panadol were in high demand. A tremendous amount of medical equipment and associated items were imported into Pakistan, leaving importers with massive profits.

You may establish a highly successful medical or pharmacy business in Pakistan with a small investment.

Conclusion

Pakistan offers so many opportunities to everyone with so much natural and human resource potential. A person can start it for as little as just Rs. 100. From this broad collection of possibilities, you can easily find the option that suits your investment needs best. 

The recent indicators of economic stability are positive, and this will lead to economic development and the country's ascension to the status of a developed nation in the near future. So, if you’re looking forward to investing, now is the right time. All you need to do is find the best option for you!