How to Transfer Property Ownership in Pakistan: Step-by-Step Guide

Want to transfer property ownership in Pakistan?

You’re in the right place. I have over 10 years of hands-on experience as a Transfer Officer, helping buyers, sellers, and heirs navigate the property transfer process quickly and safely.

Here’s what you’ll learn in this guide:

• How to transfer property through a sale
• How to complete a gift (Hiba) transfer
• How to transfer property to legal heirs (inheritance)
• What documents are required for each type of transfer
• How to calculate taxes and fees correctly
• How overseas Pakistanis can transfer property
• Common mistakes to avoid during transfers

Follow this guide to transfer property fast, safely, and hassle-free, without missing any legal steps or paying unnecessary fees.

Transfer property with confidence – fill out our easy form now!
Get accurate legal documents and avoid costly mistakes with PropDocWizard

What is Property Ownership Transfer?

Legal Meaning of Property Transfer

Property ownership transfer is the legal change of title from one person or business to another. This gives full legal rights to use, control, and sell the property.

In Pakistan, property can be transferred through:

• Sale
• Gift (Hiba)
• Inheritance
• Partition

The general steps are:

1. Confirm property details through due diligence
2. Draft and sign a sale or transfer agreement
3. Pay required government fees and taxes
4. Register the transfer with the relevant authority
5. Update official property records

Why Registration and Mutation Matter

When you register your property, the government officially recognises you as the legal owner. Registration is processed at the Government Registrar’s office, which makes the property transfer legal and binding. This step protects both buyers and sellers, preventing anyone else from claiming ownership later. For example, if a buyer pays in full but the property is not registered, the sale may not hold in court.

On the other hand, mutation updates the property details with the local patwari or revenue office. Mutation ensures the land records reflect the new owner’s name, helping prevent disputes, legal claims, or future confusion. It also allows you to pay taxes accurately, such as property taxes and local development charges, and ensures that official documents reflect your ownership.

For Projects and Societies like TopCity, Airport Green Garden, and JKCHS

For projects and societies such as TopCity Islamabad, Airport Green Garden, and JKCHS, mutation is not required. In these cases, as per government directions, you only need to obtain a Registry from the relevant authority. The registry makes the transfer official and legally recognised, so your ownership is fully secure.

However, for raw or agricultural land, you are responsible for registering the property and completing the mutation (called Inteqal) with the local patwari. This step ensures that land records reflect your ownership, protecting your rights and preventing future disputes. For example, farmland purchased outside a society needs mutation to show the correct owner in government records.

Pro tip: Without mutation, you can still proceed with the property transfer, which saves money that would otherwise be spent on local record updates. That said, for agricultural or raw land, completing the mutation is strongly recommended to avoid complications later.

In other words, know your property type: for society or project plots, registration is sufficient; for land, registration plus mutation ensures ownership is officially recognised both legally and locally.

Common Mistakes in Property Transfer

Many people make costly mistakes when transferring property in Pakistan. Avoiding these errors can save you time, money, and legal trouble.

• Giving possession before registration
  Handing over the property before completing registration is risky. While the buyer may have physical control, the legal ownership remains with the seller. This can lead to disputes if the seller changes their mind or a third party claims ownership of the property. That’s why you should complete registration before transferring possession.

• Not checking for existing encumbrances or loans
  Some properties have pending loans, mortgages, or legal claims. If you skip checking for encumbrances, you may inherit debts or face legal complications. For example, if a house has an unpaid loan, the bank can claim the property even after the transfer. Always obtain a Non-Encumbrance Certificate or No Demand Certificate (NDC) before finalising the transfer.

• Skipping legal review of sale deeds or gift deeds
  Many buyers and sellers sign agreements without carefully reviewing the contents. While the documents may appear complete, missing clauses or errors can invalidate the transfer or lead to disputes later. For instance, a poorly drafted gift deed may be contested by family members. That’s why you should read the sale deed or gift deed thoroughly and, if possible, review it with someone you trust who understands property documents, such as a lawyer or a professional familiar with sale and gift deeds. This ensures your documents comply with the law and protect your rights.

Pro tip: Always verify ownership, clear dues, and confirm legal compliance before signing or giving possession. Doing these simple steps reduces risk and ensures a smooth property transfer.

Key Steps in Property Transfer

Transferring property in Pakistan involves several clear steps. Following them carefully ensures your ownership is legal, secure, and recognised by authorities.

Title and Deed: What They Mean

The title proves you are the legal owner of the property. It gives you the right to use, sell, or transfer the property. The deed, on the other hand, is the document that officially transfers ownership from the seller to the buyer. In other words, the title shows ownership, while the deed completes the transfer.

Sale Deed: Your Proof of Transfer

A sale deed is mandatory in any buyer-seller transaction. It documents the agreement, including property details, price, and parties involved, and confirms the transfer of ownership. For example, without a sale deed, the buyer may face legal challenges if the seller disputes the transaction.

Registration: Making the Transfer Legal

Always register the property with the sub-registrar or relevant authority. Registration makes the transfer legal and binding. While registration is required for all property types, the registration process may differ between societies and raw land. For example, housing society plots often require only a registry, whereas raw land requires full registration with the government office.

Mutation: Updating Official Records

Mutation updates the property records in government or local databases. It ensures the new owner’s name appears in official records, preventing disputes or confusion. On the other hand, societies such as TopCity, Airport Green Garden, and JKCHS may not require mutation, as their internal records are sufficient. A mutation is primarily required for agricultural or raw land.

Possession: Handing Over Property

Possession means the buyer receives control of the property. This is usually confirmed through a possession letter or handover receipt. Giving possession before registration is risky; always complete the legal steps first.

Do You Need a Lawyer?

• Not always: Small society transfers can be done independently.
• Required: Cases involving disputes, overseas owners, inheritance, or minors’ property.

Pro tip: Even if a lawyer is not required, always read all documents carefully. You can also review them with someone who understands the contents of the sale or gift deed, such as a lawyer or property expert. This prevents errors and protects your legal rights.

CDA:
In Islamabad, the CDA manages and regulates property transfers, registrations, and record updates.

Read Also: ICONS Area Guides and ICONS How-to Guides to stay updated and learn more.

What Does Transfer of Property Mean? And How Do You Transfer Property Ownership in Pakistan?

After you buy a property in Pakistan, the next step is to transfer the ownership into your name. In legal terms, you truly own a property when you hold its title.

In simple terms, a property transfer is the transfer of legal title from one person to another. This isn’t just for sales. You can also transfer property through a mortgage, gift deed, lease, or exchange.

In real estate, most transactions involve immovable property such as land, houses, and buildings. But a plot file is considered movable property because it exists in the development system rather than as a physical asset.

Which law governs property transfers in Pakistan? The process is governed by the Transfer of Property Act, 1882, and the Registration Act, 1908.

Common Ways to Change Property Ownership in Pakistan

Ownership of real estate in Pakistan can change in several legal ways. Understanding each method helps you complete the process smoothly and avoid disputes.

Sale / Purchase

In a sale or purchase, the ownership of the property shifts when the buyer pays the seller and registers the title with the relevant authority. While payment transfers possession, ownership is not legally complete until registration. For example, a buyer who takes possession without registering the deed may face legal challenges if the seller disputes the sale.

Gift (Hiba)

A Hiba, or gift, allows a donor to voluntarily hand over ownership to a donee. This must follow legal procedures, including preparing a gift deed, securing witnesses, and, if required, registering the document. On the other hand, small gifts within a family may be tax-exempt, but registration ensures official recognition and protection.

Inheritance / Legal Heirs

When an owner dies, the property automatically passes to the legal heirs under Sharia law, as confirmed by court-issued heirship certificates. For example, daughters receive half the share of sons according to Islamic inheritance rules. Completing the heirship process ensures each heir’s ownership is recognised in government records.

Partition

In a partition, co-owners divide a property into separate portions. This is common among siblings who inherit jointly. While dividing the property may seem simple, it requires formal documentation and, in some cases, court approval to make the ownership change official.

Relinquishment

A co-owner can voluntarily relinquish their share, transferring it to the other owners. This is done through a relinquishment deed, which must be registered to make the title change legal.

Divorce Settlement

During a divorce, property may be divided between spouses under the divorce agreement or a court order. Updating the ownership ensures legal recognition and protection of each party’s rights.

Donation to a Trust / Merger or Acquisition

Corporate or charitable property transfers follow specific legal procedures. For example, a company donating real estate to a registered trust must execute a donation deed and register it, while a merger or acquisition may require corporate approvals and updates to land records.

What Is a Title Document?

Many people ask, “What does a title in property mean?” In short, it’s the official document proving you are the legal owner. It gives you the right to use, sell, or transfer the property. Titles can cover physical assets such as real estate and vehicles, or intangible assets such as trademarks and intellectual property.

When you hold the title, you have full legal control over the asset.

What Is Immovable Property?

Immovable property is a fixed asset attached to the ground. It includes plots, houses, apartments, shops, and commercial buildings. You cannot move it without changing its nature or structure.

Who Can Transfer Property in Pakistan?

In Pakistan, you can only transfer property if you:

• Are at least 18 years old
• Are mentally sound
• Are legally allowed to sign contracts

If you are a minor (under 18), have a mental disability, or are legally barred from signing contracts, you cannot transfer property.

The Contract Act of 1872 defines a contract as a binding agreement between two parties. To make a valid transfer, you must understand and agree to the contract terms.

Why Mental Soundness Matters

Even sound-minded people often make costly mistakes. Many skip reading the sale deed, agreement, or affidavit before signing. This can lead to disputes and legal problems.

Always read and understand all terms before you sign any agreement, affidavit, or undertaking. It’s the simplest way to protect your rights and avoid future trouble.

What Is a Sale Deed?

People often ask, “What exactly is a sale deed?” The answer is simple: it’s the legal document that records the sale of a property and transfers ownership from the seller to the buyer.

Need help with the Child Registration Certificate (CRC)? Our step-by-step guide to obtaining a B form will walk you through the process.

Required Documents for Buyer-Seller Ownership Change

When you transfer ownership from a seller to a buyer, having the right documents is crucial. These papers prove identity, ownership, and agreement and ensure the title update is legal and dispute-free.

Basic Documents

These documents are required for almost every transaction:

• CNIC copies of the buyer, seller, and two witnesses – to verify identities.
• Seller’s affidavit with signatures confirms the seller’s consent and intent.
• Undertaking from the buyer with signatures – shows the buyer accepts ownership.
• Sale Agreement – outlines the property details, price, and sale terms.
• Original Title Deed – proves the seller legally owns the property.
• Sale Deed – officially transfers the property rights to the buyer.

Extra Documents for Specific Cities or Societies

Some areas, especially Islamabad, Lahore, Karachi, or private housing societies, may require additional documents:

• Fard-e-Malkiat (Record of Ownership) – verifies the legal ownership of the property.
• Non-Demand Certificate – confirms all dues and charges are cleared.
• Allotment or Allocation Letter from the housing society – sometimes replaces the Fard-e-Malkiat.
• Non-Encumbrance Certificate – ensures the property has no mortgages, loans, or legal claims.

Pro Tip: Local requirements can vary by city, society, or project. Always check with the relevant authority before starting the process to avoid delays or extra costs.

Ownership Change Costs in Pakistan

When you update a property title or complete a real estate ownership change, understanding the taxes and fees is essential. Costs vary depending on whether you are the buyer, the seller, or an overseas owner.

Taxes and Fees for Buyers

When the buyer acquires ownership, the following charges usually apply:

• Transfer Fee – set by the relevant authority, housing society, or developer.
• Stamp Duty – usually 1% of the DC (Deputy Commissioner) value of the property.
• Registration Fee – generally around 1%, paid to the government or society.
• Advance Tax – varies by tax status: 1.5% for filers, 4.5% for late filers, and up to 10.5% for non-filers.

Taxes and Fees for Sellers

The seller must also consider taxes, mainly Capital Gains Tax (CGT), which depends on the tax filing status:

• Filer: 3% of the property value
• Late Filer: higher percentage
• Non-Filer: up to 10%

Example – 5 Marla Plot in Airport Green Garden

• Buyer: Transfer Fee Rs. 45,000; Stamp Duty Rs. 24,625; Registration Fee 1%; Advance Tax 1.5–10.5%
• Seller: Capital Gains Tax 3–10% depending on tax status

Why Your Tax Status Matters

Tax obligations differ for filers, non-filers, and overseas Pakistanis. For example, overseas Pakistanis with a NICOP may be considered filers by default, but the 2025–26 budget now classifies them based on actual filing history. Always confirm your status before completing any ownership update, as mistakes can lead to penalties or delays.

Pro Tip: Planning and confirming fees with the society, housing authority, or FBR helps avoid surprises and ensures a smooth title update.

Airport Green Garden Buy/Sell Deals — Limited Inventory!
Unlock premium plots near Islamabad Airport with verified titles and fast closing.
Trusted by investors. 👉 Explore Airport Green Garden buy/sell opportunities

Tax on Inherited Property in Pakistan

One common question is: “Do I have to pay tax on inherited property in Pakistan?”

The answer is no. Pakistan does not impose an inheritance tax. Beneficiaries and legal heirs do not pay any tax when inheriting property or assets.

Ownership Updates for Overseas Pakistanis

Overseas Pakistanis can update property titles in Pakistan even if they are abroad. With proper preparation, you can transfer ownership legally and securely.

Power of Attorney (PoA) Requirements

If you cannot be present in Pakistan, a Power of Attorney (PoA) allows a trusted representative—such as a family member, lawyer, or property agent—to handle the ownership change on your behalf. The PoA must be duly notarised and registered with the relevant authority to be valid. Without a properly registered PoA, the transfer can be delayed or rejected.

Transferring Without a Pakistani Bank Account

It is possible to complete ownership changes without a Pakistani bank account, provided you have a valid PoA and complete tax documentation. However, some societies may still require proof of tax filing or compliance with overseas banking regulations, so always confirm requirements in advance.

Common Mistakes by Overseas Owners

Overseas Pakistanis often make mistakes that delay ownership updates or create legal issues:

• Not registering the PoA with the sub-registrar or society office.
• Ignoring specific housing society requirements, like extra forms, witness signatures, or fee payments.

Pro Tip: Always read the PoA contents carefully and, if possible, review it with someone who understands property deeds, such as a lawyer or trusted property expert. This ensures your overseas title update is legal and dispute-free.

What is an Inheritance Property Ownership Transfer?

Inheritance refers to the process by which a person inherits property from a deceased person.

When a person dies, their legal heirs receive their property, including cash, real estate, jewellery, vehicles, stocks, and bonds.

For instance, when a mother, father, or spouse passes away. You may need to transfer the property into your name.

For that, we discuss real property, which means the transfer of real estate to successors.

You can transfer property to any living person of sound mind.

Pakistan follows the Sharia rules for the division of property. Two laws protect inheritance rights in Pakistan:

• Muslim Family Law Ordinance, 1961
• The West Pakistan Muslim Personal Law, 1962

Muslim law says the family gets the property when someone dies. That means the wife, son, daughter, mother, father, etc., get a share, but the amount varies.

A question people have is:

What is the daughter’s share of the father’s property under Islamic law?

In Pakistan, Islamic inheritance law states that a daughter’s share in her father’s property is half that of a son’s. Daughters receive half of the share allotted to sons.

Case Study: Transferring Ownership to Legal Heirs and Selling a Property – A Step-by-Step Guide

Back in the day, a husband came to me and said my wife had passed away.

Further, she was an allottee of a plot. She left behind a son, two daughters, a husband, and a mother, her legal heirs.

I would like to transfer ownership of that plot to the legal heirs.

I replied: Obtain a legal heirship certificate from the court. 

The key point is that you must obtain legal heirship from the court where the property is located. For example, if the property is in Islamabad and you live in Multan. Accordingly, you must obtain the certificate from a court in Islamabad.

Let’s get back to the story.

After obtaining the Heirship Certificate (also known as the Wirasat Nama) from the court, it was returned to me. The court declared the shares in accordance with Islamic Sharia.

The deceased husband said. He wanted to sell the property because he needed funds for the construction work underway. 

The problem was that his two children were minors, while the other was an adult.  

The point is that you cannot sell a property registered/allotted in the minor’s name.

The solution is to obtain a “Guardianship certificate” from the court.

The next step is to apply for a “Permission to Sell” from the court through an advocate.  With that, you will be able to sell the minor’s property.

Documents Required

Here is the list of documents required for property transfer in the name of legal heirs:

• Death Certificate of the deceased.
• Legal Heirs-ship Certificate (Issued by a Court of Law or Nadra)
• Family Registration Certificate (FRC) by birth
• Copies of CNICs of all the legal heirs
• Administration Certificate NADRA (In the case you process through NADRA)
• Undertaking from all legal heirs

Key Information: A Legal Heirship Certificate and Wirasat Nama are equivalent documents, both verifying the legitimate heirs of a deceased individual

Legal Heirship Certificate = Wirasat Nama

You can obtain a legal heirship certificate from either NADRA or a court.

The key point is that both sources are valid. They can issue certificates in accordance with the law. There is no difference between the two.

However, the process for obtaining a certificate of heirs differs.

Who Can Apply?

Anyone who is a legal heir aged 18 or older and holds a CNIC can apply for a transfer with the required documents.

How much does a property transfer by inheritance cost you?

To process the change in the title of the property, you’re required to pay the following:

• Transfer Fee (Some societies/authorities receive half the ongoing transfer fee, while others have fixed the amount. The CDA charges a transfer fee for all property types. This fee is Rs.5000/- (Five Thousand only) for transferring property to legal heirs.
• Inheritance Property Transfer Taxes (No taxes applicable except Registry charges and stamp duty)

Remember: People often make the mistake of paying intermediaries to prepare transfer documents.

Read Also: Top 10 Property Websites in Pakistan

Inheritance Transfer (Step-by-step)

Here is a step-by-step guide to transferring property ownership to legal heirs:

Step 1: Submit Document

First, visit the transfer office (for a Society/Project; otherwise, the Revenue Registrar’s Office).

Submit all required documents to the office that processes the transfer.

Step 2: Property Transfer

Second, per the Housing Society/project or Government department (CDA, Housing Foundation, JKCHS) SOPs and procedures, the property is transferred to the legal heirs according to the share mentioned in the succession certificate/legal Heirship certificate.

The transferring authority divides the deceased’s property among the legal heirs. The property share is the shares mentioned in succession.

Step 3: Update Ownership Records

Lastly, the title document issuing authority updates the owner’s name to the legal heirs (successors).

With that, they remove the previous owner’s name. 

Therefore, they issue you the title document reflecting the updated owners. 

I have a question: How do you sell a minor’s property?

The answer to this question is that you can’t sell a minor’s property unless you get “Permission to Sell” from a court of law.

With that, a court of law issues “Permission to sell” after a person obtains a “Guardianship Certificate” from the Guardian Court. In it, a father or close relative is designated as the Guardian of a minor.

The crucial thing to remember is that a court of law issues permission to sell only upon producing a “Guarantee by a guarantor holding property.”

It usually takes a week, depending on your documentation and lawyer competency.

What is Property Transfer as a Gift (Hiba)?

Hiba is an Arabic term that means “Gift.”

In Pakistan, transferring property ownership as a gift (Hiba or family transfer) is a step-by-step procedure. It allows a person to give their property to another person without paying any money.

The main point is that a property transfer as a gift must meet three (3) conditions:

3 Pillars Criteria for Gifting Property

Here are the three criteria for gifting a property:

1. The donor has love and affection for the Donee
2. Have possession of Property that the Donor plans to gift
3. Donee accepted the Gift

How does it work?

A person who wants to transfer their property as a gift (donor) executes a Gift Deed (Hiba Namah) in favour of the person receiving the gift (donee).

Two witnesses are required for the family transfer of property.

Required Documents

Here are the documents required for transferring ownership through gift (hiba):

• Affidavit by the Donor
• Gift Declaration by the Donor
• Acceptance of Gift by the Do-nee
• Undertaking by the Donee
• Recent Passport-Size 2 Pictures of the Donee
• Family Registration Certificate (FRC) by Birth
• CNIC of Donor, Donee, and two witnesses

Gift (Hiba) Property Transfer (Step-by-Step)

Here is the step-by-step process to transfer property through the gift (Hiba):

Step 1: Prepare Documents

First, visit a stamp vendor to obtain all legally required documents for the transfer.

For this purpose, stamp paper vendors require documents such as an Allotment letter and CNICs of the Donor, Donee, and witnesses.

After preparing the legal papers, sign the register listing your entries with the stamp vendor. Then, get the legal stamp papers notarised and signed.

Step 2: Execute the Gift Deed

Second, bring these stamps and other original documents, accompanied by two witnesses, to the office of the society/project/Registrar.

After that, the donor and donee must sign the deed of gift, with two witnesses present.

Step 3: Register the Gift Deed/Execute Transfer

Third, the key point here is to register the gift deed with the sub-registrar’s office, provided the title change authority is the registrar. This step makes the transfer official and public.

The property transfer process is handled by the relevant office for a society or project. The procedure consists of biometrics, group photos, and witnesses in the presence of a transfer officer from the organisation.

Remember: You may receive a Registration/Application/Transfer Form. Please complete and submit it.

Step 4: Pay Taxes and Registration Fees

The fourth step is to deposit applicable taxes (if any), such as CVT, Stamp duty, and registration fees. The amount varies by location and property value.

The key point is to inquire about transfer fees and taxes before beginning the transfer process. The transfer fee for a gift is usually half the full fee set by the relevant authority or the property’s size. Some charge a fixed fee for all transfers. CDA charges only Rs. 5000/—, a flat fee for all.

On the other hand, some organisations charge only transfer fees (half/full) and are tax-free.

Step 5: Update Property Records

After registering, officials update the property records to show the new owner.

Note: The donor must be of sound mind, and the gift must be given voluntarily. The donee must accept the gift.

Pro tip: You can save money when transferring property titles within the family, such as between parents and children or siblings. Using a gift deed may help reduce transfer taxes. Always consult a legal professional for guidance.

• A father-to-son
• A mother to son
• A brother to a sister and vice versa
• Wife to Husband and vice versa

You may also like:

• Top Cement Manufacturers in Pakistan
• Top Brand Saria Prices in Pakistan
• Top Companies’ Battery Prices in Pakistan

People often ask how property can be transferred from a father or mother to their son in Pakistan.

How do you transfer a property from a parent to a son/daughter?

The answer to the above question is that if a parent is alive, you transfer property by gift.

If your parents have passed away, follow the inheritance process to transfer. It involves obtaining a legal heir certificate, transferring documents, and registering the transfer.

Likewise, if your father or mother is alive, your parents can gift their property to a son or daughter.

A question a donor or donee asks is:

What is the tax on hiba property in Pakistan? Does Pakistan impose a tax on property gifts?

The short answer is “No” in Pakistan. There is no tax on hiba (gifting) property. The country does not have a gift tax, so donors and donees are not required to pay any tax on the property.

However, a stamp duty applies if you register your property with the Revenue Department.

FAQs (Property Transfer)

A gift deed is a legal document that transfers property ownership from the donor (the person giving the gift) to the donee (the person receiving the gift). The deed should include the property details, the donor’s and donee’s names, and their signatures.