Pakistan real estate glossary: property terms explained

Acreایکڑ

An acre is a unit of land area equal to 43,560 square feet, or 8 kanal by the traditional measure.

Acres are used mainly for agricultural land, farmhouse schemes and large parcels bought by developers before a scheme is planned.

Allotment letterالاٹمنٹ لیٹر

An allotment letter is a document issued by a developer, housing society or authority confirming that a specific plot or unit has been allocated to the named person.

It usually states the plot or unit number, size and block, and it is one of the key documents a buyer should verify with the issuing office before purchase.

Apartmentفلیٹ

An apartment, commonly called a flat in Pakistan, is a self-contained home on one floor of a multi-storey building.

New apartments are often sold off-plan on installment plans, with a share of the price due at booking and another at possession.

Approved scheme

An approved scheme is a housing scheme whose layout plan and approvals have been granted by the relevant development authority or local government, such as LDA in Lahore, CDA in Islamabad or RDA in Rawalpindi.

Authorities publish lists of approved and unapproved schemes. Buyers should check a scheme’s current status with the relevant authority before paying.

Ballotingقرعہ اندازی

Balloting is a draw held by a developer or housing society to assign specific plot numbers to buyers who hold files.

After balloting, a file holder knows the exact location of their plot; any corner, park-facing or boulevard premium may then become payable.

Bookingبکنگ

A booking is the first formal step in buying a property, in which the buyer reserves a unit by paying a booking amount and the seller takes it off the market.

In software such as JRealtor, a booking places a hold on the unit so no other agent can sell it until the booking is confirmed or cancelled.

Cancellationمنسوخی

Cancellation is the termination of a booking, allotment or sale, either at the buyer’s request or by the developer under the agreement, often after repeated default.

What happens to money already paid depends on the terms of the agreement, which is why those terms should be written down at booking.

Capital gain

A capital gain is the profit made when a property is sold for more than the price paid for it.

Capital gains on property may be taxable in Pakistan; the applicable rules change from time to time, so check current rules with a tax adviser.

CNICشناختی کارڈ

A CNIC (Computerised National Identity Card) is the identity card issued by NADRA to Pakistani citizens and is required for almost every property booking, transfer and registration.

Overseas Pakistanis often hold a NICOP instead. Recording the CNIC against each customer also helps avoid duplicate customer records.

Co-agent

A co-agent is a second agent or dealer who works on a deal alongside the primary agent and shares the commission.

Co-agent arrangements are common when one dealer has the buyer and another has the property; agreeing the split in writing avoids disputes.

Commercial plotکمرشل پلاٹ

A commercial plot is a plot designated for shops, offices, plazas or other business use rather than for housing.

Commercial plots are usually smaller in area than residential plots but priced higher per marla or square yard, and building rules on them differ.

Commissionکمیشن

Commission is the fee a property dealer or agent earns for bringing a buyer and seller together, usually a percentage of the sale price or an agreed fixed amount.

Rates and whether one or both parties pay vary by city and by deal, so the arrangement should be agreed before the deal closes.

Corner plotکارنر پلاٹ

A corner plot is a plot at the junction of two roads, giving it two open sides and usually a higher price than a standard plot.

Developers commonly charge a corner surcharge, often expressed as a percentage of the plot price.

CRM

A CRM (customer relationship management) system is software that records every lead and customer, their conversations and their next follow-up in one place.

A real estate CRM adds property-specific details such as budget, preferred size, lead source and site visits.

Defaultڈیفالٹ

A default happens when a buyer fails to pay installments or other dues by their due date and does not clear them within the period the agreement allows.

Developers usually send reminders and notices first; continued default can lead to late fees and, under many agreements, cancellation.

Demand letter

A demand letter is a written notice from a developer or society telling a buyer how much is due, for what, and by which date.

Demand letters are typically issued for installments, development charges or possession charges.

Developerڈویلپر

A developer is a company that acquires land, obtains approvals, builds roads, utilities or buildings, and sells the resulting plots, houses or apartments.

Developers usually sell through their own sales office and a network of dealers, often on installment plans.

Development charges

Development charges are amounts a developer or society collects from plot owners to pay for roads, sewerage, water, electricity and other infrastructure.

Some schemes include them in the plot price while others charge them separately, so buyers should confirm which applies.

Down paymentڈاؤن پیمنٹ

A down payment is the portion of the price paid upfront at booking or sale, before the remaining balance is paid in installments.

Fardفرد

A fard is an extract from the revenue department’s record of rights that shows who owns a piece of land and in what share.

It is often called fard-e-malkiat and is checked before buying land recorded in revenue records, rather than land held within a society’s own records.

Farmhouseفارم ہاؤس

A farmhouse is a residence on a large plot, usually several kanal or more, typically on the outskirts of a city.

Many developers now sell farmhouse plots in planned farmhouse schemes, often on installments.

Freehold

Freehold is ownership of land and the building on it with no time limit on that ownership.

Housing societyہاؤسنگ سوسائٹی

A housing society is a planned residential scheme, either a cooperative society or a private scheme, that sells plots or homes and manages the area’s development.

In everyday use, “society” refers to almost any planned housing scheme, whatever its legal form.

Installment planاقساط

An installment plan is an arrangement in which the balance of a property’s price is paid in scheduled installments, such as monthly, quarterly, half-yearly or yearly.

Installment plans are the most common way plots and apartments are sold in Pakistan’s new schemes.

Intiqal (mutation)انتقال

Intiqal, or mutation, is the entry in the revenue record that changes the recorded owner of land after a sale, gift or inheritance.

It applies to land recorded with the revenue department; plots inside many societies are transferred in the society’s own records instead.

Invoiceانوائس

An invoice is a document that tells a buyer how much is due for a specific installment or charge and by which date.

Numbered invoices for each installment make it easy to match every payment to what was owed.

Kanalکنال

A kanal is a unit of land area equal to 20 marla.

Its size in square feet depends on the marla standard used: 4,500 sq ft with a 225 sq ft marla, or 5,445 sq ft with the traditional 272.25 sq ft marla.

Late payment surcharge

A late payment surcharge is a penalty added to an installment that is paid after its due date.

The amount or rate is set by the developer’s agreement and is usually stated in the payment plan.

Leadلیڈ

A lead is a potential buyer, seller or tenant who has made an enquiry but has not yet done a deal.

Leads come from walk-ins, phone calls, WhatsApp, social media, property portals, campaigns and other dealers.

Lead scoring

Lead scoring is ranking leads by how likely they are to buy, often as Hot, Warm or Cold, so the team calls the most serious buyers first.

Leasehold

Leasehold is the right to hold and use land for a fixed period under a lease from the owner, often a government body or development authority.

Long leases, such as 99 years, are common for plots allotted by some authorities, particularly in Karachi.

Ledgerکھاتہ

A ledger is a date-ordered record of all money received and paid out for a business, an account or a customer.

Main boulevard

The main boulevard is the widest central road of a housing scheme, and plots facing it usually carry a premium.

Many schemes place their commercial plots along the main boulevard.

Marlaمرلہ

A marla is a unit of land area used across Pakistan, traditionally 272.25 square feet, though many housing societies use 225 square feet.

Some authorities and schemes use other values, so a “5 marla” plot can differ in actual size from one scheme to another. Always confirm the square-foot area in the documents.

Murabbaمربع

A murabba is a traditional unit of agricultural land in Punjab, commonly equal to 25 acres.

The term dates from the canal colony land settlements and is still used when agricultural land is bought and sold.

NOCاین او سی

An NOC (No Objection Certificate) is a written statement from an authority or organisation that it has no objection to a particular action.

In real estate it can mean a scheme’s approval from the development authority, or a society’s confirmation that a plot has no dues before transfer.

Nominee

A nominee is the person a buyer names in a developer’s or society’s records to whom the file or plot is to be transferred after the buyer’s death.

A nomination usually simplifies the paperwork but does not by itself override inheritance law, so families should take legal advice.

Open file

An open file is a plot file that has not yet been registered in a buyer’s name with the developer, so it can change hands through dealers before registration.

The term is used loosely and in some markets also means a file not yet tied to a plot number. Open files are traded speculatively, so buyers should verify them with the developer.

Overseas Pakistani

An overseas Pakistani is a Pakistani citizen or person of Pakistani origin living abroad, and overseas buyers form a major share of property demand in many cities.

Overseas buyers often deal through a family member or a power of attorney and rely on clear schedules and documents they can receive remotely.

Park-facing plot

A park-facing plot is a plot whose front faces a park or green belt, which usually makes it more expensive than a standard plot.

Developers commonly add a park-facing surcharge to the price.

Payment plan

A payment plan is the full breakdown of how a property’s price is paid, including the booking amount, confirmation amount, installments, possession charges and any other charges.

Penthouse

A penthouse is an apartment on the top floor of a building, usually larger and more expensive than other units, often with a private terrace.

Plot fileفائل

A plot file is a document issued by a developer that entitles the holder to a plot of a stated size in a scheme before a specific plot number has been assigned.

Files are often traded before balloting; after balloting the file is linked to an actual plot.

Possessionقبضہ

Possession is the physical handover of a plot, house or apartment to the buyer, after which they can build on it or live in it.

Possession charges

Possession charges are the amount a buyer must pay before or at the time the property is handed over.

In many payment plans they are a fixed percentage of the price, payable once development or construction is complete.

Power of attorneyمختار نامہ

A power of attorney is a legal document that authorises another person to act on someone’s behalf, such as buying, selling or transferring property.

It is widely used by overseas Pakistanis; a general power of attorney covers broad matters, while a special one is limited to a stated task.

Property dealerپراپرٹی ڈیلر

A property dealer is an intermediary who brings buyers, sellers and tenants together and earns a commission on the deal.

Dealers range from one-person offices to firms with several agents, and many specialise in a single scheme or neighbourhood.

Real estate agency

A real estate agency is a firm with a team of agents that markets, buys, sells or rents property for clients and developers.

Real estate ERP

A real estate ERP is software that runs a property business’s sales, inventory, installments, accounts and staff in one connected system.

Unlike a standalone CRM, an ERP links each booking and sale to the payments, ledger and team behind it.

Receiptرسید

A receipt is written proof that a payment was received, showing the amount, date, payer and what the payment was for.

Refund

A refund is money returned to a buyer after a booking or sale is cancelled, often after deductions stated in the agreement.

Registryرجسٹری

A registry is a sale deed registered with the sub-registrar, which records the transfer of property ownership in official records.

Registration applies mainly to property outside societies that keep their own transfer records; the documents and fees required vary by province.

Rental yield

Rental yield is a property’s yearly rent expressed as a percentage of its value or purchase price.

Residential plot

A residential plot is a plot designated for building a house, commonly sold in sizes such as 5 marla, 10 marla and 1 kanal.

Sale deedبیع نامہ

A sale deed, or bainama, is the legal document in which a seller transfers ownership of a property to a buyer for an agreed price.

Square yardمربع گز

A square yard, often called a gaz, is a unit of area equal to 9 square feet and is the usual way plots are measured in Karachi and other parts of Sindh.

Surcharge

A surcharge is an extra charge added to a plot’s base price for a preferred location, such as a corner, park-facing or main boulevard plot.

Token money (Bayana)بیعانہ

Token money, or bayana, is an advance a buyer pays to confirm a deal and show commitment before the full payment or transfer.

It is usually backed by a short written agreement with a deadline for the rest of the payment. What happens to the token if either side backs out varies, so the terms should be written down.

Transferٹرانسفر

A transfer is the process of changing the owner of a plot or file in the developer’s or society’s records from the seller to the buyer.

It usually requires both parties, their CNICs, clearance of any dues and a transfer fee set by the developer or society.

Property rules and practices differ between housing societies, development authorities and provinces. Always confirm the details of a specific deal with the society, developer or a qualified lawyer.