Gift of real estate in Pakistan must be made in writing. There is, however, a qualification to this general rule in case of a Muhammaden. A Muhammaden may make an oral gift of an immovable property. Although allowed under law, it is not recommended to make oral gifts of immovable property because it may become difficult to prove an oral gift. Where a gift deed is executed, it must be affixed with appropriate stamp duty and it must be registered.
An oral gift, in case of a Muhammaden, takes effect if all three of these under mentioned conditions are satisfied:
Declaration of gift;
Acceptance of the gift by the donnee during the lifetime of the donor
Transfer of possession of the subject matter of the gift by the donor to the donnee
Once all of the above-mentioned conditions are satisfied, then the fact of a gift is deemed to be established.