Buying and selling property is not an easy task as one has to pay attention to every small detail while making a decision. Many laws have been introduced to keep the process smooth and to safeguard investments and properties.
Same as other countries, Pakistan also has realty laws to govern property ownerships, titles, selling, purchasing, or leasing, and also the transactions made while dealing in real estate.
In this article, we’ll talk about these laws one by one to provide clarity.
Registration Act 1908
The Registration Act 1908 was introduced to guide the general public on all the matters related to registration and about their legal rights and obligations that affect a particular property so they could avoid getting into any fraud. This article has 15 sections in total that cover different aspects related to the registration processes.
Stamp Act 1899
The Stamp Act 1899 demands all the citizens of Pakistan, whether they are buyers or sellers to pay a certain amount to the government against the stamp papers which are used in almost every official deal or agreement regarding Real Estate.
These deals or agreements can be validated with the help of the Stamp Act of 1899. However, the price of a stamp paper may vary concerning government rules and regulations.
Land Revenue Act 1967
Land Revenue Act 1967 is also known as Punjab Land Revenue Act, 1967. In this act, Land Revenue means the part which government will receive from the land owners (agricultural land) being a superior owner.
This act indicates the relationship between government and land owners along with providing clarity on the matter of collecting land revenue.
Furthermore, this act educates about some of the important issues regarding surveys, demarcations, the partition of lands, and arbitrations.
Transfer of Property Act 1882
Transfer of Property Act 1882 deals with the transfer of property from one person or one family to another. Due to the unsophisticated or traditional land record system there exist pitfalls and loopholes due to which many buyers are victimized by fraudsters.
To safeguard your investments one should keep in mind and verify the following essentials of a valid transfer before signing a contract or deal.
- The person selling the property should be above 18
- Should be Mentally stable
- Should not be bankrupt or disqualified by law
- The owner of the property must be alive
- The property must exist
- The property should not be used for illegal activities (for sellers)
- Money used in paying for a property must be legal
- Property cannot be sold in exchange for something illegal i.e. weapons etc.
- The property should be transferable, it should not be preoccupied
- The property should be registered (if necessary)