Pakistan

Pakistan

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Meer & Hasan

1

Restrictions

Can anyone (including foreigners) own and occupy real estate in your jurisdiction (including shares in property owning companies)? Are there any restrictions?

Anyone can own and occupy real estate in Pakistan, including shares in property owning companies. No restriction except security check of intended share holder in a company.

Are there restrictions on lending for the purchase of real estate by foreign companies? If so briefly give an outline?

There is no restriction.

2

Taxes

Buying

Please provide a short summary of the fees and costs (including tax) relating to buying real estate in your jurisdiction.

The information will be relative as the procedure and fees and costs will vary with area where the real estate is to be bought. However, please note that a rule of thumb, the government fees and taxes are usually 5% to 6% of the total value of the real estate. The government announces the minimum value of real estate in every area and any agreement for buying the property showing a value of the real estate less than that declared by the government will not be acceptable.

Owning

Are there taxes applicable to owning real estate and can the burden of the taxes be passed to someone else (e.g. a tenant or an occupier - not being the owner)?

Annual Property Tax on the rental value of the real estate determined by a provincial government is payable (20% of rental value). It can be shifted to a tenant or occupier by written mutual consent of the parties.

Tax Breaks

Are there tax breaks or other incentives for foreigners to buy real estate in your jurisdiction? If so what are they?

No.

3

Title of Real Estate

How is the ownership of Real Estate evidenced in your jurisdiction?

By registration of the sale deed with local Registrar of Conveyances.

Is it possible to keep the identity of owners of real estate confidential in your jurisdiction?

No. The ownership document, once registered, is a public document.

Need more information?

Contact a member firm:

Farooq A. Meer
Meer & Hasan