FBR Revises Islamabad Property Valuations, Excludes DHA

The Federal Board of Revenue (FBR) has officially announced updated valuation benchmarks for residential and commercial immovable properties within the Islamabad Capital Territory (ICT), increasing assessed property values by an average margin ranging from 15% to as high as 75%. Notably, areas falling under the Defence Housing Authority (DHA) have been deliberately excluded from the revised ICT valuation framework.

The updated valuation rates were notified through SRO.163(I)/2026 on Monday, replacing the previously issued valuation schedules under SRO.2392(I)/2025. According to the FBR, these revised figures were finalised following extensive consultations with real estate stakeholders and property dealers operating in the federal capital.

Earlier, the FBR had significantly enhanced property valuation rates under SRO.2392(I)/2025 in an effort to bring official notified values closer to prevailing market prices. However, strong resistance and objections from stakeholders led to the suspension of that notification’s implementation until January 31, 2026. The newly issued SRO overrides the previous one, introducing recalibrated and comparatively reduced valuation figures.

As per SRO.163(I)/2026, the FBR has fixed fair market values for residential and commercial superstructures in Islamabad at Rs3,000 per square foot for buildings aged up to five years, while structures older than five years have been valued at Rs1,500 per square foot.

For rural localities within the Islamabad Capital Territory, property valuations will continue to be determined in accordance with rates notified by the Additional Deputy Commissioner (Revenue) or the District Collector, Islamabad. In instances where multiple valuation rates exist for a specific area, the higher of the notified values will be applicable.

The notification explicitly states that Defence Housing Society has been excluded from the newly revised property valuation regime applicable to the Islamabad Capital Territory.