Property and inheritance · For citizens
Stamp paper is not ownership.
In short
A sale of property worth Rs 100 or more can be made only by a registered deed. An agreement to sell, by itself, gives you no interest in the land.
By the FAI Legal editorial desk · 10 October 2026 · 11 slides · 2 min read
Myth or fact?
The deal most families trust.
- Myth: We signed on stamp paper and paid bayana. The plot is ours.
- Fact: A contract for sale does not, of itself, create any interest in the property (TPA s.54).
How a sale is made.
In the words of the law.
“Such transfer, in the case of tangible immoveable property of the value of one hundred rupees and upwards, or in the case of a reversion or other intangible thing, can be made only by a registered instrument.”
Transfer of Property Act, 1882 · Section 54, Sale how made
Three papers. Know which.
Only one of them moves ownership.
- Agreement to sellA promise that a sale shall take place later, on settled terms (s.54).
- Bayana receiptProof you paid. Not proof you own.
- Registered sale deedThe instrument the law requires for a sale of Rs 100 and upwards (s.54).
Quick quiz. Keys in hand.
Guess first, then swipe for the answer.
- A. Now, you have possession
- B. When a sale deed is registered
- C. After 3 years in the house
Answer: B. Registration.
An unregistered deed passes nothing.
“No document required to be registered under this Act … shall (a) operate to create, declare, assign, limit or extinguish, whether in present or in future, any right, title or interest, whether vested or contingent, to or in immoveable property … unless it has been registered.”
Registration Act, 1908 · Section 49, Effect of non-registration
Register the agreement too.
The law changed on this.
- Punjab, since 2018An agreement to sell, and a power of attorney, for immovable property of Rs 100 and upwards must be registered (s.17(1)(bb)).
- Islamabad, since 2022The same rule in the federal Act (s.17(1)(ba)).
- Two witnessesA written promise of future obligation is attested by two men, or one man and two women (QSO Art. 17(2)(a)).
Seller backs out?
Sue for specific performance. Watch the clock.
- Date fixed?Three years run from the date fixed for the sale.
- No date?Three years from when you learn he refuses.
- Miss itThe suit is time-barred (Limitation Act, Art. 113).
Myth or fact?
The receipt trap.
- Myth: Writing "full payment received" on the agreement makes it a sale.
- Fact: A recital of earnest money or price paid does not turn a contract for sale into a sale (Registration Act s.17, Explanation).
Check before you pay.
Ask FAI in your own words. It answers with the exact section and the judgments behind it.
- I bought a plot on stamp paper in 2019. The seller now refuses to register. What can I do?
- Is an unregistered agreement to sell valid in Punjab after 2018?
Example questions
What this does not mean
- An agreement to sell on stamp paper does not, of itself, create any interest in the property (TPA s.54).
- Writing that full payment was received does not turn a contract for sale into a sale (Registration Act s.17, Explanation).
- The rule that an agreement to sell must be registered is stated for Punjab since 2018 and Islamabad since 2022. The article does not cover other provinces.
Questions people ask
Is stamp paper proof of ownership in Pakistan?
No. A sale of immovable property worth Rs 100 or more can be made only by a registered instrument (TPA s.54). An agreement to sell gives no interest in the land by itself.
Is an unregistered agreement to sell valid in Punjab?
Since 2018 an agreement to sell, and a power of attorney, for immovable property of Rs 100 and upwards must be registered in Punjab (Registration Act s.17(1)(bb)). Islamabad has the same rule since 2022 (s.17(1)(ba)).
What happens if a document that must be registered is not registered?
It does not create, declare, assign, limit or extinguish any right, title or interest in immovable property (Registration Act s.49).
How long is an agreement to sell valid for a court case?
A suit for specific performance must be filed within three years from the date fixed for the sale, or if none, from when you learn the seller refuses (Limitation Act, Art. 113).
How many witnesses are needed on an agreement to sell?
A written promise of future obligation is attested by two men, or one man and two women (QSO Art. 17(2)(a)).
Sources
- Transfer of Property Act, 1882 · Section 54
Sale how made Pakistan Code - Registration Act, 1908 · Section 49
Effect of non-registration Pakistan Code
Educational legal information, not legal advice. Every case turns on its own facts. Speak to a qualified lawyer about your situation. Review status: Pending advocate review. How we check.
