Legal Procedure for Buying Property in Pakistan for Foreigners
1. Eligibility
- Foreign Nationals: Allowed to buy property, but only after obtaining approval from the Board of Investment (BOI), Government of Pakistan.
- Overseas Pakistanis (dual nationals): Can freely buy and sell property using their CNIC, NICOP, or Pakistan Origin Card (POC). No special approval is needed.
- Foreign Companies: Can purchase land for projects with BOI approval.
2. Required Documents
For Foreign Nationals:
- Valid passport with visa.
- NOC (No Objection Certificate) from Ministry of Interior (for sensitive areas).
- Approval from BOI for property purchase.
- Proof of legal funds transfer through banking channels (no cash payments allowed).
For Overseas Pakistanis:
- NICOP / POC / CNIC.
- Bank details for payment (preferably Roshan Digital Account).
- No separate BOI approval required.
3. Property Verification Steps
Before buying:
✔ Verify NOC & approval of the housing society from relevant authority (RDA, CDA, LDA, etc.).
✔ Confirm ownership documents (Title Deed, Allotment Letter, Registry, Intiqal).
✔ Check for encumbrances or legal disputes with the local land revenue office.
✔ Confirm seller’s identity and power of attorney (if applicable).
4. Payment Method
- Foreigners must pay through banking channels only (no cash, to prevent money laundering issues).
- Overseas Pakistanis are advised to use Roshan Digital Account (RDA) – it allows them to buy property remotely with full legal protection.
- Payments are made via pay order, demand draft, or online bank transfer.
5. Sale Agreement & Token Money
- Buyer and seller prepare a Sale Agreement (Bayana).
- Buyer pays token money (advance), typically 10–20% of the property value.
- The agreement includes property details, payment schedule, and conditions.
6. Transfer of Property
- Parties visit the relevant land registrar / housing society transfer office.
- Submit original documents + payment receipts.
- Pay stamp duty, registration fee, and capital value tax (usually 2–5% of property value).
- After verification, the property is transferred in buyer’s name and buyer receives Registry / Transfer Letter / Allotment Letter.
7. Taxes & Fees (approximate)
- Stamp Duty: 3% of property value.
- Capital Value Tax (CVT): 2% (for urban areas).
- Registration Fee: 1% of property value.
- Withholding Tax:
- Buyer (filer): 2% of property value.
- Buyer (non-filer): 7% of property value.
- Seller (filer): 2% of property value.
- Seller (non-filer): 4% of property value.
💡 Note: Overseas Pakistanis with NICOP are treated as filers even if they don’t file taxes in Pakistan.
8. Special Notes for Foreign Investors
- Foreigners cannot buy property near sensitive military or border areas without Interior Ministry approval.
- Large-scale projects by foreign companies require BOI project approval.
- For long-term lease (industrial/commercial land), BOI grants 99-year lease rights.
9. Safe Practices
✔ Always buy through verified housing societies (DHA, Bahria Town, Smart Cities, etc.).
✔ Avoid cash payments – always use banks.
✔ Hire a real estate lawyer for contract and due diligence.
✔ Overseas buyers should use Qeemti.com verified listings to avoid scams.
Q1: Can foreigners buy property in Pakistan?
Yes, with BOI approval and Interior Ministry NOC in some cases.
Q2: Can overseas Pakistanis buy property without approval?
Yes, with NICOP/POC via banking channels.
Q3: What is the safest way for overseas Pakistanis to invest?
Through Roshan Digital Account and verified societies like DHA, Bahria, Smart Cities.
Conclusion
The legal procedure for buying property in Pakistan for foreigners requires BOI approval, verified documents, and payment through legal banking channels. For Overseas Pakistanis, the process is simpler – they just need a NICOP/POC and can buy property directly using Roshan Digital Account.
📞 For verified properties, legal guidance, and safe transactions, you can consult Qeemti.com – we help overseas and foreign investors with NOC checks, BOI approvals, and secure transfers. Contact Ahmed at 03005673567 for assistance.