Some precautionary measures to safeguard your property investment decision

The real estate market of Pakistan is vulnerable to rising fraudulent activity and scams due to the easy negligence in property law and legal rights. So it is essential to comprehend some do’s and don’ts when acquiring property or house in Pakistan to ensure the authenticity of the property. Some are listed below,

• If you plan to purchase property in a private housing scheme, verify from the local regulatory authority like LDA, MDA, RDA, FDA, CDA etc. that the housing scheme is approved or not? Do not rely on the advertisement alone.
• Inquire from the management of housing society about the property they have actually acquired and cross check from Land Revenue Department / Punjab Land Records Authority Website.
• Inquire from the management of housing scheme whether they will get the land transferred onto your name in revenue record or simply allow it to you. We advise you that it is better that the land is transferred onto your name.
• If you are purchasing the property from a private person, verify the clean title of the seller from the local revenue authorities.
• In the case of agricultural land if you have purchased property in a joint holding, get it demarcated properly and partitioned from a local court.
• If you have inherited any property, get it transferred onto your name without further delay.
• After purchasing property through Registered Sale Deed ensure that mutation is entered in the land record because entry of mutation validates you as the owner of property otherwise mere sale deed does not serve the purpose.
• After every four years, you should get a copy of Jama Bandi showing your title and extent of property owned by you.
• In case of purchasing a house already having tenants, prefer to get it vacated completely replacing the previous tenants by new ones with fresh tenancy/lease agreement duly registered by Rent Registrar.
• Open plots are prone to illegal possession, hence construct boundary wall with a gate to safeguard your property.
• Before purchasing property, give notice in a local newspaper through your lawyer.
• If you have a property which is lying vacant, it is better for you to properly lock it in case of a house, and arrange for a guard.
• If you are going to lease out your property, sign a rental agreement, register it with rent registrar and also provide a copy of the same to your local police station.
• If you are making benami transactions, keep original documents of property and payment receipts with you.
• Do not make verbal arrangements regarding your investments/ properties.
• Do not purchase property in housing schemes on the basis of files.
• Don’t purchase disputed property i.e. the property in low rates then market value or any property being a court matter.
• Do not give General Power of Attorney to anyone.         

It is important to have a secure investment as a huge of money is changing hands when buying or selling the property, so make sure you follow these guidelines to ensure safety.