The real estate sector has witnessed a revolution in sync with the advancements in the technological era. In the same flow, recent years have shown rapid development in many real estates across the property market in Pakistan. Just a little look around the reliable property portals like Sirmaya.com will be enough to give you a glimpse of how almost all the major cities of Pakistan are developing their real estate sector.
Since real estate has developed a lot in the past few years, it is quite easy to come across an attractive deal for the property in Pakistan through a little research. The market expansion and well -organized projects have enhanced the possibility of finding the best investment opportunities. But, you need to be well-informed regarding the difference between plot and plot file if you are considering investing in new property development. In order to simplify your understanding of the subject, we will be highlighting some key points as under.
How do we define a Plot?
The plot is a term used to define a piece of land, be it residential or commercial, that can be owned by legally owned by an individual or organization. Usually, plots are marked and have a specific number that represents their nature or location. They are already mapped out by the real estate before they are exposed to the market.
Hence, it is quite helpful for investors as they can look around the property they are about to purchase. This helps them in knowing the location of the plot and gaining trust in the real estate facility.
How do we define a Plot File?
A plot file however, is a set of data enclosed in a piece of document. The data it usually contains is the size, location, plot number, society, and ownership details. These plot files are non-certified and merely a piece of paper before they go through a process of balloting and get converted into actual plots.
This reflects that plot files are just an initial product of a society that is offered at the lowest possible rates. And once the balloting phase is over, the investor gets the actual plot ownership with plot number and location.
Prime Domain of Investment: Plot or Plot-file?
Investing in the property sector of Pakistan can come with the pulling out of a significant chunk of money out of your pocket. Even though this might be your first investment plan, you still need to be smart about it. Buying either a plot or a plot file is a matter you need to look properly into. Developed plots are located in societies that have gone on the market for years, however, plot files are offered by newer societies that are in the development phase.
Due to this reason plot files are relatively cheaper as they are intended to attract more and more investment be it at lower costs. This being inexpensive can also be related to the fact that plot files have low legality. For example, a developed plot may cost around PKR 35 to 60 lacs but a plot file of the same plot can be purchased at PKR17 to 30 lacs.
Types of Plot-files
The smart moves in an investment absorb the impact of this difference quite a bit. Marking a key difference in the question of purchasing a developed plot or just a plot file. So, if you plan on buying a plot file let us take you to a little deeper journey to the center of plot files. There are two types of plot files one is Affidavit and the other is Balloting.
Affidavit Plot Files
An individual receives an affidavit file if he/she supervising the locality, hands over the property file in the favor of developers. Thus, any entity can simply get the owner as this file serves as an open opportunity for anyone to buy.
A pre-planned process of submitting the plots to the respective buyers is called balloting. A draw is carried out among the applicants of plots and the file owners in the proposed property development. There are further two kinds of balloting i.e. plot ballot and booking ballot.
Booking ballot is related to the installment submitting procedure defined for certain plots under development. Buyers take part in installment submission for this particular purchase. Whereas, plot balloting involves customers who are ready to submit full amounts to claim the plot ownership. Once the balloting process is taken care of, the allotment letter and map of the society are issued.