Residents across Islamabad, including DHA and Bahria Enclave, have been stunned by a major revision in property valuation rates after the Federal Board of Revenue sharply increased the assessed values of immovable properties by 150 to 200 percent—well above prevailing market prices. The new valuations apply across all sectors of the Islamabad Capital Territory and were introduced through S.R.O. 2392(I)/2025, issued on Tuesday.
The FBR has implemented a completely revised valuation system covering 68 residential, commercial, and rural locations, including prominent housing societies such as DHA, Zartaj Housing, Gulberg, Bahria Enclave, Ghandhara City, and B-17. One of the most significant changes is the introduction of dual taxation: Islamabad residents will now be required to pay separate taxes on the superstructure and land, with distinct rates for open plots versus built-up houses, apartments, and flats.
Under the new framework, the fair market value of immovable properties will be determined directly by the FBR. For residential and commercial superstructures, the valuation is set at Rs. 4,000 per square foot for buildings up to five years old, and Rs. 3,000 per square foot for structures older than five years.
The new rates mark a dramatic surge across key Islamabad sectors. Sector E-7 now leads with open residential plots valued at Rs. 600,000 per square yard, while sectors F-6 and F-7 follow at Rs. 500,000 per square yard. F-8 has been set at Rs. 450,000 per square yard. Mid-range sectors such as F-10, F-11, and G-6 have seen valuations rise to Rs. 350,000 per square yard. D-12 and I-8 are now assessed at Rs. 250,000 per square yard, with E-11, G-8, and G-9 valued at Rs. 180,000 per square yard.
Commercial property rates have experienced even steeper increases. D-12 and E-11 now carry commercial valuations of up to Rs. 1 million per square yard. Premium sectors—including E-7, F-6, F-7, and F-8—have reached new highs of as much as Rs. 2.5 million per square yard.
The sweeping revisions are expected to significantly impact property transactions, taxation liabilities, and market dynamics throughout Islamabad.
