Property Fraud in Pakistan

Pakistan's real estate market has seen substantial growth in recent years despite the economic conditions the country is facing. The industry is filled with profitable opportunities for both homeowners and investors. However, with rapid growth comes the risks of more real estate scams and property frauds that you should be aware of.

Investors and homeowners must be vigilant when buying a real estate property to avoid being a victim of a fraudulent attempt. In this article, we will look at the common types of real estate traps people can fall into and how to avoid them.

Common Property Frauds in Pakistan

Property scams happen in every part of the world. However, the common ones that we see in Pakistan include:

False Property Listing:

False property listing is a kind of fraud in which the dealer creates fake listings for properties that they do not own or have the authority to sell. They often use online mediums like websites or social media platforms to advertise the property and provide misleading information about its location and pricing.

Deceitful Real Estate Agents:

Deceitful real estate agents trick clients into buying or selling properties with incorrect or inadequate details, creating financial and legal uncertainties. They may misrepresent the value of a property or give false information about the property's ownership or legal status and take advantage of their clients by charging commissions.

Land Grabbing:

Land grabbing is another type of property fraud in which a person or group illegally takes over someone else's land. The land grabber often uses force to occupy the land, and they create fake documents to claim ownership of the land.

Fake Documentation:

In this type of scam, the person or group advertising the property creates fake documentation in a convincing way, making it difficult for the buyer to detect the fraud. This may include fake title deeds, tax receipts, and other legal documents.

Double Selling:

In double selling, the dealer sells the same property to multiple buyers. They take advance payments from multiple buyers and disappear, leaving the buyers to deal with the legal consequences of the fraudulent transaction.