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You can’t transfer the ownership of leasehold property the same way you could have if it was a freehold property. In order to do that, you will need RAJUK’s sale permission first in compliance with its regulations. This is the first step in transferring the ownership of a leasehold property. And the permission letter that the seller gets from RAJUK to sell the property is basically known as the sale permission letter.

In this regard, it is important to know that sale permission is required only for the leasehold property. In the case of freehold property, however, no permission is required.

What properties are the leasehold property

Generally, all the properties that are under the supervision of the Capital Development Authority (RAJUK), Chittagong Development Authority or CDA, Ministry of Works or Ministry of Housing and Public Works, or National Housing Authority are basically leasehold properties. And for the leasehold properties under these institutions, sale permission is required.

The process of getting a sale permission

As a property seller, you can take the sale permission yourself. However, you can also get the sale permission through the help of a trusted and well-known agency such as Bproperty if you want. Bproperty’s extremely capable legal team will make sure everything is in order without you having to worry about any of the hassles.

There are multiple steps to be completed in order to get the sale permission for a leasehold property

  • In order to get sale permission, first, you need to fill up an application for sale permission.
  • All the information fields mentioned in the application form should be filled in carefully.
  • After all the information has been thoroughly checked by the seller, the seller will need to sign the application form.
  • Thereafter, all other necessary documents including the application for sale permission have to be prepared and submitted to the appropriate authority for sale permission, namely, RAJUK, CDA, Ministry of Works or National Housing Authority.
Signing document
Getting sale permission is a multi steps process

Next steps– 

  • After receiving the documents from the appropriate authorities, they will issue a ‘first letter’ after checking and sorting all the documents. After the first letter is issued, the seller has to deposit the prescribed amount of fee or money along with the Capital Development Authority (RAJUK), CDA, and National Housing Authority through the first letter by himself or with the help of any agency.
  • The authorities will then scrutinize everything and if all things are in order, they will approve the sale permission letter.
  • Only after receiving this final letter can the next step of registration for transferring the ownership of the leasehold property be started.

Important to know

For leasehold property, it is not possible to transfer the ownership of the property without a sale permission letter. And the registration needs to be completed within 29 days after getting the sale permission.

What about freehold property

For freehold properties (those which are not under the control of the government) there is no need to take any kind of sale permission for transferring the ownership. The seller can directly apply for registration.

For example, if you own a piece of land in Bashundhara, Badda, Dhanmondi, etc., then you can transfer the ownership directly after all the transactions of the property have been completed. No sale permission will be required in that regard.

Dealing with real estate is not as easy as many people may think. There can be numerous legal implications if not careful while transacting. So it is important that you have a better understanding of what goes on when dealing with leasehold properties.

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