This article is for you if you own a property or are a first-time buyer of a real estate piece of land. Because Graana.com provides important information for transferring or handing over the property in Pakistan, it is also worth noting that property tax in Pakistan is also likely to apply. In Pakistan, there are a few common conditions for transferring or handing over the property ownership, such as:
- To give a property as a gift
- Getting the Property in the Event of an Inheritance
- Selling and transferring ownership of property
These are the most common scenarios for transferring property ownership from one party to another. Property ownership is commonly and legally claimed by the person who possesses its title. In other words, property transfer refers to the transfer of title ownership from one person to another. As stated in a few of the preceding conditions, the transfer does not always imply a property sale. But, in this blog, we will discuss this transfer procedure in terms of sales;
Transferring the property in Lahore, Pakistan is done as follows:
Byanya or Token:
If the contract between two parties for the property transfer goes well, the token is followed by a bayana. In most cases, the buyer must first pay the token, which is a specified amount given to the seller to indicate a real desire to purchase. Then there’s a discussion, or as some could call it, negotiations, about buying a house. As a result, the seller stops all dealings and negotiations with other parties, effectively reserving the property to be sold only to the person who pays for the token. The token is given back with some deductions following a successful deal.
After the initial conversations are completed, the parties sign a byana, which is a written agreement. The agreement entails:
- The property’s detailed information
- The actual terms and conditions of the Property’s sale
- Both parties must be agreed on a total amount.
- The date by which the buyer must pay the remaining amount once both byana and token have been paid.
Necessary Documentation to Transfer the Residential Property in Lahore, Pakistan:
The following documents are necessary for the sale or transfer of property in Pakistan:
- Both the buyer and the seller should have recent passport-size photographs.
- Genuine and valid CNIC copies
- The seller’s original title deed (means a document of title). The title deed is the paperwork that confirms or proves the seller’s ownership.
- The sale deed is the most essential property document in the country, as it is an agreement signed by both the buyer and seller.
Let’s have a look at some necessary documents to transfer the commercial property:
Here are a few of the necessary documents you must consider before moving forward with your commercial investment such as a Plots for sale in Lahore.
- Approved Plan of the Property
- Completion certificate
- Sale Deed
- Property Tax Receipts
- Power of Attorney
- Mother Deed
- Encumbrance Certificate
- Bank Approval Certificate
Whether you’re purchasing or selling a commercial or residential property, pay close attention to detail to ensure you don’t ignore anything, no matter how minor it may appear.
Necessary Documents for Transfer Process:
Documents required for the transfer process include the following:
- ‘Fard’ is another name for the Fard-e-Milkiyat (Record of Rights). This form can be obtained at the property registration office by the seller. It’s a kind of guarantee from the appropriate authority that the seller owns the property.
- A Non-Demand Certificate (NDC) is another vital document, indicating you don’t owe any property dues. This can be obtained from the relevant development authority office in your locality.
- For example, if you are interested in a residential property such as a house for sale in Lahore inside a private residential housing scheme, then you will usually need a letter from the security to complete the transfer. This could be used as a Fard document.
Getting Stamp Paper and Paying Taxes:
While buying the property, the buyer must also submit the following property taxes:
- 3% Stamp Duty
- 2% Capital Value Tax
Writing The Sale Deed Accurately:
If you know what you’re doing, you can hire a lawyer or write it yourself. It is common practice to hire a layer or another professional (Deed Writer) to write the sale deed accurately. You will be able to prevent any unforeseen complications that may occur if written without sufficient knowledge or experience if you hire a professional.
The Completion of the Sale Deed:
You must take it to the office of the Sub-registrar at the end of the transfer process. A magistrate or Sub-registrar listens to both parties and, if satisfied with all the prior proceedings, will approve the transaction as well as register the deed. The deed may now be regarded as the recipient’s legal possession. After the deed is registered, the transfer is done successfully.
Crux:
If you want to transfer commercial properties such as shops or plots for sale in Lahore. But, when it comes to transferring one of the best residential properties such as apartments or houses for sale in Lahore, then you need a prescribed transfer process that must be considered by both parties.
In this context, your research must be thorough, and you must be aware of all the benefits and drawbacks of the finalized property. Before purchasing any property, conduct extensive research. Visit or contact Graana.com to gain knowledge of the best commercial or residential properties in Lahore, Karachi, Islamabad, Rawalpindi, and other cities of Pakistan.
