It's a misconception. It indeed loses its value. I have seen many people who bought property in 2007, now seeing serious decline in the value. It's all about proper timing. It will increase obviously sometime but it may take a lot of time and time is money. Anyone remember how much property values increased in the whole decade from 1990 to 2000? Very little. People who bought properties in 1990 had to endure 10 years before the values sky rocketed.
Roughly speaking, property value increase in line with country's economic development. That black decade from 90 to 00 saw no investment in the country, only dirty politics and corruption, hence no property growth. Property values then sky rocketed during 00-07 as the country progressed, people got richer, got good jobs or improvement in their businesses. Since 07, due to turmoil though, it stagnated and has fallen slightly since then due to obvious reasons in country macroeconomic situation.
So what's the future? well if the country do progress economically in 2 years time then property value will increase. But is there any single indication how and why the country economics will improve even after 2 years? There is no system, no direction and policy, management is all politically appointed, criminals becoming chairman of state owned companies like OGDC and Pak Steel and political and law and order situation at its depth. What to expect from an economy where the central bank's discount rate is at 13% with rising trend?
Answer is simple, it's a saving market rather than an investment market. If you make any investment (either in plots or business) there is very high chance of loss in financial terms. So better save the funds in a secure place which can give you good return as well (12% is very good by the way).
You can always buy property once you get signals that the market is picking up, such as rise in plot prices, discount rates going down, changing economic conidtions, or change in the government policies at the very least.