FAQs
Frequently Asked Questions
Project details
- Q. What is the net/gross area?
The net/gross area depends upon the project that you are investing in. Gross area typically includes net area, circulations and parking. Net area is the actual amount of space you get in an apartment, commercial etc.
- Q. Do you offer residential or serviced apartments?
This depends upon the project you are interested in. Some projects may offer residential only and some may offer a hybrid of service and residential apartments. In addition, exploring a range of real estate use cases, our platform features projects that offer investment options in co-working spaces and tourism ventures.
- Q. Which cities do you have projects in?
The projects on our platform range from the twin-cities to Nathiagali to Bahawalpur.
- Q. Do you consult for existing societies?
Depending upon the requirements, DAO PropTech can provide consultation for a fee. For details, please Contact Us.
- Q. Do you sell plots or plot/files, or just constructed buildings etc?
DAO PropTech doesn’t deal in plots or plot files. The projects on our platform offer highly lucrative ownership and investment options in developmental real estate projects.
- Q. What is the price of an apartment (1, 2, 3 bed etc.)?
The ownership plans are highly customizable and personalized based on your individual needs. For e.g. if the size of a 1 bedroom apartment is 1,000 sq. ft. and the development round rate is PKR 5,000 per sq. ft., and if you are willing to pay the entire amount upfront, it will cost you PKR 50 lac. If you wish to purchase your desired area over a longer term, the price you pay will depend upon your upfront payment, future development round rates and the total term.
- Q. Are you selling apartment wise or square feet (sq. ft.) wise?
The projects offer both Demarcated and Non-Demarcated investment options. Depending upon your investment goal(s), you can purchase a sq. ft. area equivalent to a whole unit, or less. Or you can diversify your investment and purchase sq. ft. area in multiple projects. There are no penalties, possession charges or any other hidden costs.
- Q. What type of projects does DAO PropTech feature?
At DAO PropTech, we believe in need driven real estate solutions. The use cases range from mixed use buildings (residential and commercial) to co-working spaces and tourism ventures. On a journey to explore a variety of real estate use cases, we are keen towards providing a multitude of real estate solutions to the customers.
- Q. What is the final price of a shop / commercial space?
The final price you pay depends upon the project and how you construct your payment plan according to the developemnt rounds. Not every project offers a shop / commercial space. For e.g. if the size of a shop is 600 sq. ft. (gross) and the development round rate is PKR 6,000 per sq. ft., and if you are willing to pay the entire amount upfront, it will cost you PKR 36 lac. If you wish to purchase your desired area over a longer term, the price you pay will depend upon your upfront payment, future development round rates and the total term.
- Q. What is included in the apartment?
This depends from project to project. A typical 1 bedroom apartment will have a separate kitchen, living room / lounge and a washroom. If the project is offered as fully furnished, the apartment will also include HVAC, furniture, furnishings, crockery etc.
- Q. Are your projects earthquake resistant?
As part of our onboarding protocols, we comply with the relevant development authority’s standards and provide earthquake resistance structure where applicable.
- Q. What assurance is provided by the developer for completion?
For the customers to believe in us as dictated by the values of our company, the developers have put their stakes in the project and locked their investment until completion before seeking funding from other customers. As a policy, future funding rounds will not be initiated until previous funding rounds milestones and targets are achieved, acting as a Risk Mitigation tool for the customers at all stages.
- Q. Will I get parking with my allotted unit?
Yes, dedicated parking is offered in some of the projects. You can speak to one of our consultants for more details around the projects, or visit the projects section on our platform
Investment details
- Q. What can an investor do with the area rights they purchase in a project?
At different stages of the project development, we will be supporting the customers to make a choice out of two possible options. (1) If you haven't accumulated area enough to a whole unit, you can transfer over to co-ownership model (2) Exchange against possession-able property on the basis of our Area Exchange Matrix. This option is only available post project completion.
- Q. How can I check the location of my investment in square feet?
If you opt for non-demarcated area, at the end of the project you will have shared ownership of your unit proportional to the number of square feet you own.
- Q. Suppose I buy a house and pay tax, the ownership is transferred to me through an authority for example Bahria town. With micro investment, no authority recognizes my share in the project, is it true?
No, it is not true. You will have legal ownership of the amount of square feet you have purchased in a project. We use distributed ledger technology to transparently record this information and can be accurately accessed at any time. You can access the Blockchain proof by logging in to our portal and visit the Global Transactions section within the Transactions menu.
- Q. What is the minimum payment required?
The minimum payment depends upon the project you choose, the development round rate and your preferred ownership plan. Please visit the platform for details.
- Q. Can I start investing with less than 100 square feet?
If you wish to start investing with less than 100 sq. ft., you can opt for DAO Savings Plan. DAO Savings Plan allows you to start with PKR 250,000 followed by an installment plan to purchase the remaining area rights.
- Q. Can I get rental income in return for my investment?
Yes, you can earn rental income at project completion if you own non-demarcated area rights, and if you haven't accumulated area enough for a complete unit. In which case we will convert you to the co-ownership model and you can enjoy rental income as per your share in a specific unit.
- Q. Where can I find your payment plans?
DAO PropTech’s unique offering allows you to customize your purchase as per your needs. Visit the Plans page to explore different ownership options.
- Q. Can I book a shop or an apartment and pay later?
If you want to demarcate a unit (for e.g. a shop, apartment or a house), you can start your ownership journey with a little as 100 sq. ft. and purchase the remaining area as per your own discretion. If you are unable to purchase your desired area until completion, you can purchase it afterwards from other customers or choose the co-ownership model.
- Q. What is the legality and security of the investment made with DAO PropTech?
DAO PropTech is a registered company with the Securities and Exchange Commission of Pakistan and a certified member of Pakistan Software Houses Association for IT & ITeS (P@SHA). In addition, we have partnered up with highly credible names in the industry such as Tahir Builders, M/S Muhammad Taj Contractors and Engineers, Daikin and Hammerhead. Furthermore, upon investing, you will be given a sales agreement which confirms legal ownership of your area rights, and trackable on the open, anonymous distributed ledger.
- Q. Do you offer lump sum discounts on full payment?
No, there are no discounts on lump-sum payments. The projects on our platform offer cost-based pricing which is low compared to the traditional real estate projects and is pegged against the level of risk you take vs. the return you want.
- Q. With a single investment, can I get a monthly return as well as capital appreciation?
Yes, we can create a bespoke plan for you suitable to your needs. Speak to one of our wealth consultants for details.
- Q. Once the project is complete, who owns the property?
You will have legal ownership of your purchased area rights (whether Demarcated or Non-Demarcated) until sold or transferred to another customer.
- Q. What is the minimum down payment?
This depends upon the project and the project’s respective development round. Visit the Invest Now section on our platform for more information.
- Q. Are the ownership options given by DAO PropTech Shariah Compliant?
DAO PropTech has enabled real estate ownership options in a scientific manner that complies with the Shariah Law. We take pride in the best offerings we provide to the customers and enable access to all the information in a completely transparent manner, that too for the first time in Pakistan.
- Q. What is the Buy Back Policy?
We do not offer a buyback policy. However, you can use DAO Listings feature to sell your area rights to other investors.
- Q. Why is DAO PropTech selling Non-Demarcated Area instead of whole units?
Development Real Estate typically sells a dream and a promise. DAO PropTech allocates a portion of the whole building/project, with similar rights, to all the customers. Non-Demarcated area is a homogenous product that does not distinguish between different types of area within the building. All Area Rights, advantages of a good Real Estate investment, control of the asset and best price for the customers will be assured during the developmental phase by creating this unique homogenous product. Additionally, unlike other real estate investment options, homogeneous sq. ft. ownership through non-demarcated area rights make the journey liquid for the customers during the developmental stage.
- Q. What is the Rate of Return and Cost of Equity of the investment in any project?
As a policy, instead of overstating the profits and overselling our offerings, we at DAO PropTech believe in scientific evaluations in any developmental real estate project. Therefore, our model has an inbuilt cost of equity of 17%+, meaning, the organization and all investors may sell the area rights in the succeeding rounds with least 17% profit in Nominal Value. Market Value is expected to be much higher than this and our investors will get an opportunity to sell their area rights for the prices set by the market reaping the exponential profits.
- Q. Is the investor on-boarding process at DAO PropTech in accordance with SECP/legal compliance?
Legally, customers buying real estate need not comply with SECP regulations in Pakistan. However, we have self-imposed ‘Know Your Client (KYC)’ and ‘Anti-Money Laundering (AML)’ policies in place which will enable anyone, who according to the law of the land, can buy real estate and hence is ‘allowed to invest’ in the projects.
- Q. Can an customer book a specific area in a project?
Yes, you can demarcate a whole unit that you intend to purchase. If you are unsure about which unit you want to buy, you can opt for non-demarcated area rights and transfer over to the co-ownership model at completion.
- Q. What is the benefit of Distributed Ledger of Ownership for an customer?
A Distributed Ledger of Ownership contains records of all transactions and all owners of the project available instantly, however, all names are encrypted and kept anonymous to ensure confidentiality displaying a digital membership number only. No area can be sold until it is included in the Distributed Ledger. This eliminates fraudulent practices, over selling and enhances the transparency of information as well as the record keeping for the project.
- Q. How can an area be bought or sold?
Visit id.daoproptech.com and register yourself for free. You can visit the projects section to find out more details about the projects such as funding rounds, minimum area requirements, past selling prices etc. and start investing. In addition, DAO Listings, the state-of-the-art feature of our online tool, allows you to buy and sell area rights to and from other investors directly, subject to a small fee. You can register for free at id.daoproptech.com and start investing. Providing a smooth process for liquidity of your investment is at the core of our business.
- Q. What support will Expats get to invest in one of your projects?
Expats can buy and sell their property rights like any other investor using our digital platform, DAO BLOC (id.daoproptech.com). We have a comprehensive ‘Know Your Client (KYC)’ and ‘Anti-Money Laundering (AML) Policies in place before a digital account is authenticated.
- Q. I don't have a bank account in Pakistan. Can I use a Roshan Digital Account both to buy square footage and also receive profits/rental income?
Yes, you can use a Roshan Digital Account.
Profit / Capital Gain
- Q. How much capital gain is expected on an investment of 5 million+?
Your % capital gains, irrespective of the amount will depend upon the project, development round you invest in and the time at which you liquidate. The earlier you invest, the greater the early investors' advantage, since the risk is highest at the beginning of a project, the reward is equally high.
- Q. What is the guarantee of profit / capital gain to be given to investors?
Since the projects on our platform offer cost-based prices i.e. the prices don’t include high premiums, you invest at cost price and at completion you earn profit/capital gains at market value.
- How is DAO PropTech providing the best real estate investment options in the market?
A well thought out use case, transparency of information, cost-based pricing, development round based funding and a Distributed Ledger of Ownership are some of the key factors that make DAO PropTech the pioneer in the PropTech space in Pakistan. Investor’s risk mitigation is done in various stages of our model. Total distributed and the allocated area is as per approved by relevant authorities and distributed in development rounds based on ‘actual work progress’. In addition to that, DAO PropTech is led by a team of competent professionals who have extensive experience in the market and in their respective fields. Essentially, through DAO PropTech, you become a project partner in proprietary, verified, development real estate deals. We have all your interests covered in the best way possible.
NOC & Approval
- Q. Do you have a NOC for the projects?
Yes, all projects listed on DAO PropTech platform must have approvals and NOCs. You can view all the documentations for each project on our portal. Click here to register or sign in.
- Q. Are the projects approved?
All the projects on our platform are approved by the relevant authorities. You can find all the relevant documents by logging in. In addition, we have a rigorous Project Selection Matrix through which we score projects on a number of factors including business perspective, legal, pricing, financing etc. You can also view each project’s score on our platform. platform.
- Q. Who are the developers?
We have different developers on board for different projects. You can explore the different projects and details about their respective developers on our portal.
- Q. How can I be sure that it is not fraud? Is my investment secure?
DAO PropTech is a registered company with SECP and P@SHA. All of the transactions are recorded on an anonymous distributed ledger that is completely transparent and secure. Furthermore, you will be handed a sales agreement that ensures legal ownership of your area rights/property.
- Q. What happens if your company gets in loss later on?
Regardless of the company’s performance, your property will still remain yours as per the sales agreement.
Transactions and Taxes
- Q. Do you guys pay tax on my behalf when the profit is made or do I pay it myself after transactions?
In the spirit of transparency, we do not deduct any taxes on our own. The customer is responsible for paying any taxes that are applicable.