By the time he was a young man of twenty one years, he began to be known for his piety, his ascetic habits and his absorption in prayers. Observation and contemplation were chief traits of his character. A number of people flocked round him adding to the already large number of his disciples. This aroused jealousy of some powerful, ruthless, tyrannical persons - landlords, Pirs, Mirs, and Rulers - who became his enemies for some time. Later, seeing his personal worth, and the peaceful and ascetic nature of his fame, abandoned their rivalry. At this time he was living with his father at Kotri, five miles away from the present site of Bhitshah. It was here that his marriage was solemnised in 1713 CE with Bibi Sayedah Begum, daughter of Mirza Mughul Beg. She was a very virtuous and pious lady, who was a proper companion for him. The disciples had great respect for her. They had no children.
In the true ascetic spirit, Shah Latif was now in search of a place where in solitude, he could devote all his time in prayers and meditation. Such a place he found near Lake Karar, a mere sand hill, but an exotic place of scenic beauty, four miles away from New Hala. This place was covered by thorny bushes surrounded by many pools of water. It was simply and aptly called 'Bhit' (the Sand Hill). On the heaps of its sand stones he decide to settle down and build a village. As it was sandy, he along with his disciples dug out the hard earth from a distance and covered the sand with it to make the ground firm. After months of hard labour, carrying the earth on their heads and shoulders, the place was now fit enough for the construction of an underground room and two other rooms over it, along with a room for his old parents. A mosque was also built and the houses of his disciples properly marked out. In 1742, whilst he was still busy setting up a new village, Bhit, he got the sad news of the death of his dear father.. Soon after this Shah Latif shifted all his family members from Kotri to Bhitsah, as the village now began to be called. His father was buried there, in accordance to his will, where his mausoleum stands only eight paces away, from that of Shah Abdul Latif, towards its north.