Unlock Key Pakistan Property Terms: Your Simple Guide with Real-Life Examples
Want to decode the most essential Pakistan real estate terms that drive every property transaction?
I’ll show you how to master key terms in the Pakistan property market. These terms helped me avoid scams, save money, and make smarter property decisions.
The best part? These strategies still work and will protect you from costly mistakes.
Let’s dive in and learn how to navigate the complex world of real estate in Pakistan with simple, proven methods.
Ownership and Legal Papers
These documents prove who owns a property and protect your rights.
Fard Malkiat
Your proof of ownership. Shows your name, plot size, and location. Issued by the land record office.
Example: Before buying a 5-marla plot in Lahore, check the seller’s fard to make sure they own it.
Inteqal
The official change of ownership in government records. Without integration, the land remains in the old owner’s name.
Example: You pay for a plot but skip the integral. On paper, you’re still not the owner.
Registry
The registered sale deed. Signed before the registrar to make the sale legal.
Mutation
The authorities transfer the property’s ownership when they update the land record after a sale, gift, or inheritance. Confirms the new owner officially.
Patta
An older term for a land ownership deed. Still used in rural areas.
Aks Shajra
A small map showing the exact location of your plot within a larger area.
Example: In a village dispute, an aks shajra can settle boundary arguments.
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Land Record Numbers
Land Record Numbers like Khewat, Khatooni, and Khasra are key to identifying land ownership and boundaries in Pakistan. Understanding these terms helps ensure smooth property transactions and avoid costly mistakes.
Khewat, Khatooni, and Khasra — The Land Record Trio
These three terms are the backbone of Pakistan’s land record system. They work together like parts of an address.
Khewat No
- Think of this as a group ownership number.
- It lists all people who own shares in a piece of land.
- Officials use it to identify the group of owners in a revenue estate (mauza).
Example:
Khewat No. 12 in a village may list Ahmed, Bilal, and Sara as joint owners of 50 kanals. Each owner may hold a share, but officials still record the land as a single block.
Khatooni No
- This is a subdivision of the Khewat.
- It shows who is actually in possession (kabza) of each part of the land, whether they own it or rent it.
- Used to track possession and cultivation details.
Example:
Within Khewat No. 12, Khatooni No. 3 may show that Ahmed is farming 10 kanals, while Bilal has rented his five kanals to someone else.
Khasra No
- A khasra no is the exact survey number for a specific piece of land.
- Think of it as the plot number in the rural land record
- It tells you exactly where the land is and how big it is.
Example:
A certain kKhasra No. 55 might be a rectangular 2-kanal piece near the main road.
Key Takeaway:
- Khewat = List of owners.
- Khatooni = List of possessors or cultivators.
- Khasra = Physical land piece with a survey number.
Jamabandi
A record book listing owners, cultivators, rent details, and taxes.
Roznamcha Waqiati
The daily diary of the local land officer (patwari) notes land-related events.
Authorisations and Commitments in Pakistan Property Deals
In Pakistan’s real estate sector, some documents provide legal permission, while others make written promises. These documents protect both buyers and sellers. They also make property transactions smooth and transparent. If you know these terms well, you can avoid disputes and delays. Let’s break them down one by one.
Power of Attorney
A Power of Attorney is a legal document that allows someone else to act for you in property matters. They can sell, buy, or manage land on your behalf.
Example: An overseas Pakistani gives a Power of Attorney to his brother so he can sell a plot in Karachi without the owner flying back to Pakistan.
No Encumbrance Certificate (NEC)
The NEC confirms that the property is free from any loans, mortgages, unpaid taxes, or court disputes. It is an important safety check for buyers.
Example: The buyer requests a Non-Encumbrance Certificate (NEC) before making payment to ensure the property has no hidden debts.
Undertaking
An Undertaking is a written promise to do something as part of a property deal. It holds the person accountable.
Example: A seller signs an undertaking promising to clear all utility bills before handing over the house keys.
Sale Agreement
The Sale Agreement is a legal contract that lists the property price, payment plan, and all terms and conditions. The parties sign it before the registry to lock the deal.
Example: In a housing society, a buyer and seller sign a sale agreement to fix the price and schedule before starting the transfer process.
Indemnity Bond
An Indemnity Bond is a written promise to protect the other party from any loss or legal claim.
Example: If the seller loses the property’s original papers, they sign an indemnity bond to assure the buyer that they will bear any loss or issue caused by the missing documents.
Authority Letter
An Authority Letter is a written permission for someone to handle specific property-related work for you.
Example: A landowner gives an authority letter to a builder to submit building plans to the city authority on their behalf.
Biyan-e-Halfi (Affidavit)
The individual signs a Biyan-e-Halfi, also called an affidavit, as a sworn statement before an oath commissioner. It confirms that specific facts are accurate.
Example: A seller swears in an affidavit that there is no legal case or claim on the property.
Declaration
The owner writes a Declaration to clearly state the property’s ownership, use, or any other important detail
Example: The owner may declare that a piece of land will be used only for residential purposes.
Land Size Units in Pakistan — Simple Guide with Examples
People in Pakistan measure land in many ways, and they often use the same word to mean different sizes in different cities, which easily confuses. Knowing these units will save you from costly mistakes.
Marla
A marla’s size varies by city.
- In Lahore, one marla is 272 square feet.
- In other cities, it can be smaller or bigger.
- Example: A 5-marla plot in Faisalabad may not be the same size as a 5-marla plot in Lahore.
Kanal
One kanal equals 20 marla. Since Marla’s size changes by area, Kanal’s size also changes.
Example: A 1-kanal house in Islamabad may be slightly bigger than one in Multan.
Square Yard (Gaz)
One square yard equals 9 square feet. This unit is widespread in Karachi for houses and plots.
Example: A 200-square-yard house in Karachi equals 1,800 square feet.
Square Foot
A square foot is a standard unit for measuring flats, shops, and offices across Pakistan.
A 1,200-square-foot apartment in Gulshan-e-Iqbal, Karachi, can fit three bedrooms.
Acre
One acre equals eight kanals. This is used mainly for farms and large plots.
Example: A mango orchard in Multan may be spread over 10 acres.
Murabba
A murabba is a rural unit equal to 25 acres. It’s common in Punjab’s agricultural records.
Example: A landlord may own two murabba of wheat fields in Sargodha.
Hectare
One hectare equals 2.47 acres. Government departments often use this for official records.
Example: Officials might list a forest reserve in Khyber Pakhtunkhwa as 150 hectares.
Property Sale and Development Types in Pakistan
In Pakistan’s real estate market, plots and files come in different categories. Each has its meaning, process, and value. Knowing these terms can help you make wise choices and avoid scams. Let’s break them down.
Balloted Plot
A balloted plot has its number and location assigned through an official draw. Housing societies hold balloting events to decide where each buyer’s plot will be located.
Example: After balloting, you learn your plot is in Block C, Street 5, near the park.
Unballoted Plot
The developer offers an unbooked plot, but hasn’t decided its location yet. Buyers usually wait for the subsequent balloting to find out where their plot will be.
Example: You book a plot today, but you won’t know the exact street until the society holds its subsequent balloting.
Open File
An open file gives you allotment rights but does not yet have a plot number. It is a tradable document in the property market.
Example: An investor buys an open file from a seller, hoping it will become a prime plot after balloting.
Affidavit File
An affidavit file is issued directly by the housing society to a buyer without involving a middleman. It is often safer since the transaction happens with the society itself.
Example: You visit the society’s head office, pay directly, and receive an affidavit file in your name.
Allocation File
An allocation file is linked to the society’s land but does not yet have a plot number. It shows you have rights to a future plot.
Example: The society confirms your allocation in Sector D, but will assign the plot number later.
Installment Plan
An instalment plan lets you pay for the property in smaller amounts over time instead of paying all at once.
Example: You pay 12 monthly instalments to complete the price of your plot.
On Possession
On possession means you pay the last amount when you take control of the plot. This often happens after development is complete.
Example: You pay the final 10% only when you receive the possession letter and keys.
Down Payment
A down payment is the first amount you pay to book a property. It secures your spot in the project.
Example: You pay a 20% down payment to reserve a plot in a new housing scheme.
Premium / Own Money
Premium (or own money) is the extra amount you pay when demand for a plot is higher than its original booking price.
Example: A plot booked for PKR 2 million is in high demand, so you pay PKR 300,000 extra as a premium to the seller.
Taxes and Fees in Pakistan’s Property Deals
When you buy or sell property in Pakistan, you must pay certain taxes and charges. These payments keep the deal legal and help fund development. Knowing each cost enables you to avoid surprises at the last moment.
CVT (Capital Value Tax)
Capital Value Tax is charged on the total value of the property. It is usually a small percentage, but it can add up for high-value plots.
Example: You buy land worth PKR 5 million. The CVT rate applies to this value and is paid to the government.
Stamp Duty
Stamp duty is the tax you pay to register your sale deed. Without paying stamp duty, your registry will not be legal.
Example: While registering your plot in Lahore, you pay stamp duty along with other fees at the registrar’s office.
WHT (Withholding Tax)
Withholding tax is an advance income tax collected at the time of sale. Both buyer and seller may have to pay it, depending on the deal.
Example: At transfer time, you pay WHT as part of the government’s property tax collection system.
FED (Federal Excise Duty)
Federal Excise Duty applies to some types of property sales, especially in commercial deals. It is less common in residential plot transfers.
Example: A commercial shop transfer in Islamabad may include an FED payment.
Development Charges
Development charges cover the cost of making the plot ready to use. This includes roads, street lights, sewerage, and parks.
Example: You book a plot in a new housing scheme, but you also pay development charges over time for basic facilities.
Transfer Fee
The transfer fee is paid to the housing society (i.e JKCHS) to change ownership in their records. It is separate from government taxes.
Example: Before Bahria Town transfers a plot to your name, you pay their transfer fee.
Advance Tax
Advance tax is another term for withholding tax. It’s the same payment, just called by a different name in property deals.
Example: When the agent says “advance tax,” know it means you will pay WHT to the government.
Land Types in Pakistan — Simple Guide with Examples
In Pakistan, land is divided into different types. Each type has its own rules and best use. If you buy the wrong type for your plan, you can face legal trouble or lose money.
Agricultural Land
Agricultural land is meant for farming and growing crops. You cannot legally build houses or factories on it without special permission.
Example: A 25-acre farm outside Multan is used to grow wheat and sugarcane.
Residential Plot
A residential plot is for building homes. It can be part of a housing society or a standalone piece of land.
Example: A 10-marla plot in DHA Lahore is bought to build a family house.
Commercial Plot
A commercial plot is for shops, plazas, and offices. It is usually located on main roads or busy markets.
Example: A plot in Karachi’s Tariq Road is used to build a clothing store.
Industrial Land
Industrial land is for factories, warehouses, or production units. It is often found in industrial zones.
Example: A 5-kanal plot in Sundar Industrial Estate, Lahore, is used for a textile factory.
Amenity Plot
An amenity plot is for public services like schools, hospitals, parks, and community centres. These cannot be sold for private use without legal approval.
Example: A plot in a housing society is reserved for a government school. For instance, a plot allotted to FDE Islamabad, and they built a high school in the G-15 sector of Islamabad.
Common Property Issues in Pakistan — Explained with Examples
When buying or selling land in Pakistan, you must watch out for specific property problems. If you ignore them, you could lose your money or get stuck in long legal cases.
Encroachment
Encroachment happens when someone takes part of your land without permission. It could be a neighbour building a wall on your plot or a shopkeeper using your space.
Example: You own a 1-kanal plot in Islamabad, but your neighbour builds a shed two feet inside your boundary.
Disputed Property
A disputed property is already involved in a legal fight over ownership or use. Buying such land can drag you into court for years.
Example: Two brothers claim the same inherited plot in Faisalabad. The case is still in court.
Stay Order
A stay order is when a court stops the sale, transfer, or any change to a property until a case is resolved.
Example: You agree to buy land in Karachi, but later learn there is a stay order blocking the sale.
Leasehold
Leasehold means you own the property only for a set time, such as 33, 50, or 99 years. After that, ownership returns to the government or society unless renewed.
Example: Many Karachi properties in Cantonment areas are on 99-year leases.
Freehold
Freehold means you own the property forever, with full rights to sell, transfer, or build.
A residential plot in Lahore’s Model Town is freehold, allowing you to pass it on to your children.
Mortgage
A mortgage is when you use your property as security for a loan. If you don’t repay, the bank can take the property.
Example: You mortgage your house to a bank to get funds for your business.
Housing Society Terms in Pakistan — Simple Guide with Examples
When you buy land or a house in a housing society, you’ll hear specific terms again and again. Knowing them helps you avoid scams and choose the right property.
NOC (No Objection Certificate)
An NOC is official approval from the city or development authority. It proves that the society is legal and can sell plots.
Example: A housing scheme in Lahore with LDA’s NOC means it has met legal requirements.
Non-NOC Society
The city authority does not approve of a non-NOC society. Buying there is risky because it could be shut down or demolished.
Example: Some illegal societies near the Islamabad Highway have no CDA NOC.
Possession Letter
This paper gives you the right to take control of your plot. You usually get it after paying full dues.
Example: After clearing all instalments, you receive a possession letter in Bahria Town Karachi.
Allotment Letter
The allotment letter shows the plot number and confirms it is yours in the society’s records.
Example: DHA issues you an allotment letter for a 1-kanal plot in Phase 8.
Demarcation
Demarcation is marking your plot on the ground so you can see its exact location and boundaries.
Example: Society staff physically mark the corners of your plot with pegs.
Corner Plot
A corner plot touches two streets, making it easier to design with extra entrances. It usually costs more.
Example: A corner plot in Gulberg Lahore costs 15% more than a regular one.
Park Facing
A park-facing plot looks directly over a park. It offers better views and a peaceful environment.
Example: Families often pay more for park-facing plots in Islamabad’s G-11 sector.
Main Boulevard Plot
This plot is on the society’s main road. It’s more expensive due to its high visibility and easy access.
Example: A main boulevard commercial plot in Bahria Town is ideal for a restaurant.
Q&A — Pakistan Property Terms
Q1: What is Fard Malkiat in Pakistan?
Fard Malkiat is the official paper that proves you own land or a plot. It shows your name, plot size, and location. You get it from the local land record office.
Example: Before buying land in Islamabad, check the seller’s documents to make sure they are the real owner.
Q2: What is Inteqal in Pakistan property?
Inteqal means the official transfer of land ownership in government records. Without inteqal, the land still belongs to the old owner on paper.
Example: If you buy a plot but don’t do inteqal, you have no legal proof of ownership.
Q3: What is the difference between Khewat, Khatooni, and Khasra?
- Khewat lists all owners of land in one group.
- Khatooni shows who is using or renting the land.
- Khasra is a unique number assigned to a specific plot in the records.
- Example: In a village, Khewat No. 12 might list three owners, Khatooni shows two of them farming, and Khasra No. 45 points to the exact 2-kanal piece of land.
Q4: What is NEC in property in Pakistan?
NEC stands for No Encumbrance Certificate. It says the property is free from loans, mortgages, or legal disputes. Buyers often ask for it before paying.
Q5: What is a Sale Agreement in Pakistan real estate?
A sale agreement is a written contract that states the price, payment schedule, and sale terms before you sign the registry.
Q6: What is an Indemnity Bond in Pakistan property?
It’s a promise in writing to cover any future loss or claim related to the property.
Example: If original documents are lost, the seller may give an indemnity bond.
Q7: What is Biyan-e-Halfi?
It’s an affidavit — a sworn statement signed before an oath commissioner and often used to confirm that property has no disputes or loans.
Q8: How many marla are in a kanal in Pakistan?
One kanal equals 20 marla. However, Marla’s size varies by city, which also affects the Kanal size.
Example: In Lahore, one marla is 272 sq. ft., so a kanal is 5,440 sq. ft.
Q9: What is a ballot plot in Pakistan?
A balloted plot has a fixed number and location, given after an official draw by the housing society.
Q10: What is a park-facing plot?
It’s a plot that faces a park. These usually have a higher price because of the view and location.
If you’d like, I can convert the entire guide and Q&A into a downloadable PDF, complete with the Khewat–Khatooni–Khasra infographic, making it easy to share with clients, investors, or on social media. That way, you have a ready reference document.