Laws Related to Real Estate Business in Pakistan

Just like other countries of the world, the buying and selling of real estate in Pakistan is also directed by realty laws. Property ownership, titles, sale, purchase, leasing and other transactions relating to real estate in Pakistan are governed by different laws, most importantly the Transfer of Property Act 1882Land Revenue Act 1967Stamp Act 1899, and Registration Act 1908. There are also several provincial and municipal laws and regulations impacting property transactions in Pakistan. However, in order to make smooth realty transactions and avoid frauds, it is indispensable for the citizens of Pakistan to strictly abide by these real estate laws while making real estate transactions

Following are the main laws that are imposed on the buying and selling of real estate in Pakistan:

Registration Act 1908

Registration Act 1908 was originally formulated confirm the registration of the real estate. Registration Act 1908 has in total fifteen sections.  In Registration Act 1908 one can find all the necessary details about the establishment of registration; it explains where the properties can be registered. It is quite a comprehensive law which guides common people on all matters related to realty registration in Pakistan, and leaves no ambiguity.

Stamp Act 1899

The Stamp Act 1899 demands the buyers and sellers to pay a certain amount to government in lieu of the stamp papers used to make the legal agreements or contracts regarding real estate in Pakistan. Buyers and sellers of real estate can legally validate their buying and selling of properties through the use of Stamp Act 1899. The cost of stamp papers may fluctuate depending on the economic situation of the country.

Land Revenue Act 1967

Land Revenue Act 1967 lays out the complete structure and hierarchy of the land and revenue department in Pakistan. Land Revenue Act also provides clear guidelines on the collection of land revenue. The critical issues of conducting surveys, marking of boundaries, partition of land, and arbitrations are also instructed by Land Revenue Act 1967.

Transfer Of Property Act 1882

Property purchase in Pakistan has never been seamless and risk free. The land records system is primitive and there exist pitfalls and loopholes that lead innocent buyers to fraud and trickery. Therefore, people should carefully and vigilantly check the property title of the seller before any transaction takes place or any contract is signed. Transfer of Property Act 1882 provides guidelines to buyers and sellers about the mode of transfer of Pakistan real estate and details regarding qualification of people entitled to make transaction. It directly impacts the buying and selling of property in the country. Transfer of Property Act 1882 elucidates about persons entitled to transfer the property, methods of transfer, and what types of properties can be transferred.

Since these Pakistan real estate laws have a major impact on the buying and selling of property in Pakistan, therefore it is crucial for real estate agents, and other parties involved in real estate transactions to have a basic know how of these laws to avoid mix-ups in buying and selling properties in Pakistan.

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About Author

Aujala Marrium is a freelance blogger and she has been writing informative articles and reviews for a few years online and she especially likes to write on marketing, investments and real estate. Follow her on Google +.