Well-functioning urban land and housing markets are critical success factors for achieving robust economic growth. This paper provides an overview of urban land and housing market performance in Punjab Province of Pakistan. It describes the characteristics of well-functioning markets and argues that the Punjab's present markets are not performing adequately. In fact, there exists a range of impediments to efficient urban land and housing market performance: excessive public land ownership, inadequate infrastructure services, weak property rights, pervasive public- and private-sector rent seeking, counter-productive urban planning policies and regulations, costly sub-division and construction regulations, limited financing for property development and acquisition, rent controls, and inadequate property-tax-based revenue-generating mechanisms. The paper concludes by suggesting that a prioritised comprehensive reform agenda is needed to improve urban land and housing market performance in Punjab Province. The analytical and conceptual approach used to research this paper is based on standard neo-classical economics. Therefore, the paper does not address broader political economy or structural issues. Consequently, the paper's contribution should be viewed as limited in scope.