The Federal Board of Revenue (FBR) has revised property valuation rates across 68 locations in Islamabad under SRO 2392. The updated valuations cover residential, commercial and rural areas and may affect property transaction costs, withholding taxes and capital gains tax calculations.
FBR Revises Property Valuation Rates Across Islamabad
Islamabad: The Federal Board of Revenue (FBR) has revised property valuation rates across 68 locations in Islamabad, updating assessed values for residential, commercial and rural properties. According to the report published on December 14, 2025, the changes were introduced through SRO 2392 to bring official valuations closer to prevailing market conditions.
The revised rates are intended to improve transparency in property transactions and strengthen documentation within Pakistan’s real estate sector. They may also influence the tax calculations associated with buying, selling and transferring property.
Revised Valuation Rates for Residential Properties
The updated valuation schedule places several established residential sectors among Islamabad’s highest-valued areas. According to the supplied report, the revised plot valuations include:
- Sector E-7: PKR 600,000 per square yard.
- Sectors F-6 and F-7: PKR 500,000 per square yard.
- Sector F-8: PKR 450,000 per square yard.
- Sectors F-10, F-11 and G-6: PKR 350,000 per square yard.
These figures represent reported FBR valuation rates, not necessarily the prices at which properties are bought and sold in the open market.
Valuation of Commercial Properties
Commercial property valuations have also been revised in several prominent locations across Islamabad.
According to the report, commercial plots in D-12 and E-11 are valued at PKR 1 million per square yard, while selected prime commercial locations in E-7 and F-7 have valuations reaching PKR 2.5 million per square yard.
Official valuation rates are an important consideration for property buyers, sellers and investors because they can affect the calculation of applicable taxes and transaction-related expenses.
Actual market prices may differ depending on a property's location, size, access, permitted use and surrounding development.
Updated Rates for Farmhouses and Rural Properties
The revised schedule also covers farmhouse locations and rural areas.
The supplied report lists the following farmhouse valuations:
- Chak Shahzad: PKR 11.2 million per kanal.
- Gulberg Green: PKR 17.55 million per kanal.
Valuations for rural localities are reported to remain under the responsibility of the Islamabad District Collector’s office.
Buyers and sellers should confirm the applicable valuation for the specific property, as rates can vary by location and property classification.
Revised Valuation of Buildings and Superstructures
The report also outlines updated valuation rates for residential and commercial superstructures based on the age of the building.
- Buildings up to five years old: PKR 4,000 per square foot.
- Buildings older than five years: PKR 3,000 per square foot.
These reported rates form part of the revised valuation framework. Property owners should check the applicable official schedule to confirm how building age, construction category and other relevant factors are treated for their particular property.
How the Revised Rates May Affect Property Transactions
FBR valuation rates are relevant to the tax treatment of property transactions. Changes to the official valuation of a property may affect the amounts used to calculate applicable taxes and duties, depending on the transaction type and the tax rules in force.
The potential implications include:
- Property buyers: Updated valuations may change the tax and transaction-cost estimates used when purchasing a property.
- Property sellers: The applicable valuation framework may affect tax calculations associated with a sale.
- Real estate investors: Revised official values should be considered when estimating acquisition costs and evaluating potential returns.
- Property developers: Accurate valuation information can support budgeting, project planning and transaction documentation.
The exact tax impact will depend on the circumstances of each transaction and the relevant tax provisions. Buyers and sellers should seek professional advice where necessary.
What Property Buyers and Investors Should Do
Anyone planning to purchase, sell or transfer property in Islamabad should verify the latest applicable valuation schedule before finalising a transaction.
It is advisable to confirm the property's sector, category, size and official valuation with the relevant authority or a qualified tax professional. Investors should also distinguish between FBR valuation rates and actual market prices when assessing a property's value.
Careful verification can help reduce unexpected costs and support better-informed investment decisions.
Conclusion
The FBR's reported revision of property valuation rates across 68 Islamabad locations introduces updated official values for selected residential, commercial, farmhouse and building categories.
The changes are relevant to property owners, buyers, sellers and investors because official valuations can influence tax calculations and transaction planning. Before proceeding with a property deal, stakeholders should review the applicable notification and confirm the current rates for the specific property.
Source: Graana.com report published on December 14, 2025.
Disclaimer: This article is based on the supplied news report and is for general information only. Verify the applicable FBR notification, valuation tables and current tax rules before making a property transaction or tax decision.