From token agreement to a new Lalpurja in your name — what actually happens at the Malpot office, who has to be present, what it costs, and where transfers go wrong.
The transfer of a Lalpurja is the moment a property purchase in Nepal becomes real. Everything before it — the viewings, the negotiation, the token — is preparation. Everything after it is paperwork. Yet most first-time buyers arrive at the Malpot office with only a vague idea of what is about to happen, which is exactly the condition in which mistakes get made.
Here is the process as it actually runs, in the order it runs.
Step 1 — Agreement and token (bayana)
Once price and terms are settled, the buyer normally pays a token amount and both parties sign a written agreement. There is no legal requirement that this be notarised, but write it down anyway, and put four things in it: the total price, the token paid, the date by which registration must happen, and what occurs to the token if either side fails to complete.
A token with no deadline is how a seller keeps your money while shopping your price around for a better offer. Ten to fifteen per cent of the purchase price is a common token; more than that with weak documentation is an unnecessary risk.
Step 2 — Verify before you go further
This is the step people skip and the reason we keep writing about it. Before the balance moves, confirm at the Malpot office that the Lalpurja matches the register, that the parcel carries no mortgage, cooperative lien or court injunction, and that land revenue is cleared for the current fiscal year. Cross-check the Napi Naksa against the boundary you walked.
Step 3 — Prepare the file
Both sides assemble their documents. Missing paperwork is the most common cause of a wasted trip to Malpot, and the office will not improvise on your behalf.
Seller brings
- Original Lalpurja
- Citizenship certificate (original and copies)
- Land revenue receipt for the current fiscal year
- Recent passport photographs
- Napi Naksa / survey map
- Consent of all co-owners where the title is joint
- Bank or cooperative release letter if the parcel was mortgaged
Buyer brings
- Citizenship certificate (original and copies)
- Recent passport photographs
- PAN card where required
- Proof of funds or the bank sanction letter if financing
- Marriage certificate or relationship documents where buying jointly
Step 4 — The Rajinama (sale deed)
The Rajinama is the deed of sale. It is drafted by a registered deed writer at or near the Malpot office and it states the parties, the parcel number, the area, the classification and the consideration. Read it before you sign. Check the kitta number, check the area, check the spelling of names against the citizenship certificates — a transposed digit here becomes a correction application later.
The declared consideration in the Rajinama also drives the tax and fee calculation. Understating it to reduce fees is a widespread practice and a bad idea: it is a false declaration, and it caps the cost base you can later claim against capital gains when you sell.
Step 5 — Fees, tax and registration
At the Malpot office the registration fee is assessed and paid by the buyer, and capital gains tax is deducted from the seller's proceeds. Rates are set by the annual Finance Act and vary by municipality class, so confirm the current figures for your specific local government before budgeting.
| Item | Normally paid by | Notes |
|---|---|---|
| Registration fee | Buyer | Percentage of declared value; varies by municipality class |
| Capital gains tax | Seller | Deducted at registration; rate depends on holding period |
| Deed writer fee | Buyer (customarily) | Modest fixed amount |
| Municipal service charge | Buyer | Where levied by the local government |
| Agent commission | As agreed | Should be in writing before listing |
Step 6 — Signatures, biometrics and issue
Both parties — or their registered attorneys — appear in person. Photographs and fingerprints are taken, the deed is executed before the registrar, and the transfer is entered in the register. The new Lalpurja is typically issued the same day or within a few working days.
If a party cannot attend, a properly executed power of attorney is required. For someone abroad, that means executing it through the Nepali embassy or consulate in their country of residence. Arrange this weeks in advance; it is a common cause of postponed registrations.
Step 7 — After the transfer
Update the land revenue record into your name and pay the tax in the next cycle. Transfer the electricity and water connections. If you plan to build, apply for the building permit at the municipality with the new Lalpurja and the approved drawing. Keep the Rajinama, the fee receipts and the old and new Lalpurja copies together — you will need them when you eventually sell.
Where transfers go wrong
- Undisclosed co-owners. One heir shows the property; three others hold the title. Every registered owner must consent.
- Kitta katta not completed. The plot exists on the ground but not as a separate parcel in the register.
- Boundary mismatch. The fence and the Naksa disagree, usually in the neighbour's favour.
- Undischarged mortgage. A bank or cooperative charge nobody mentioned.
- Land-use classification. Registered agricultural, sold as building land, conversion never applied for.
- Name mismatches. The Lalpurja spelling and the citizenship spelling differ and need correction first.