Property valuation rates may increase by 25 to 50 pc

The Federal Board of Revenue (FBR) has taken notice of the concerns raised by real estate agents and town developers about the abnormal increase in property prices. The new property valuation rates in 40 major cities of the country had been revised in the near past. Now, the FBR has postponed new rates till January 31, 2022.

According to the Statutory Regulatory Authority (SRO) of 2019, the authorities may increase property valuation rates by 25 to 50 pc. This rise in property values responds to the World Bank’s conditions. The logic behind this step is to bring the real estate value rates in proximity to the actual market values.

The FBR, through the Office Memorandum, issued detailed instructions on the procedure for reviewing and enforcing property price irregularities. It was decided that if a stakeholder overvalues or undervalues a property, the notified valuation tables will be reviewed.

Through its notification, the federal government notified that it would issue new revised rates on February 1, 2022.

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