The Domicile thing is totally un-needed in this discussion concerning foreigners, thats only in regards to locals applying for a seat in their region of pakistan, as proof as being a citizen of that particular area.
Concerning foreigners applying to medical schools in Pakistan, it is really quite simple if you are persistant. Sat 2 or whatever, probably even 1 are useless. I'll list the steps for you.
1. You need to graduate high school first, making sure you have taking the subjects of Biology, Chemistry, Physics and English. You will also need your transcripts, I would suggest getting at least 8 SEALED transcripts and dont bother opening them, you dont need so many but in Pakistan people lose things all the time so its best to have backups.
2. Your original High School Diploma. Make copies, get them attested, and never leave the original anywhere with anyone. They might ask to see it, thats fine.
3. Now, to gain admission, no matter where you want to go or apply to, you need an Equivalence certificate. You will need your sealed transcripts, copy of your passport, proof of Pakistan Origin (Pakistan Origin Card copy, pakistan origin visa if you have that, or NICOP (national identity card for overseas pakistanis) copy. I'm not sure if you'll need all this at the IBCC or not but you will for the next step, as well as a copy of your parents passport, I think one of your parents should be a foreign citizen as well. Head over to the IBCC, its much better if you know someone in pakistan who can be persistant as this is the HARDEST and most annoying thing to get done. Fill out the application form, make sure everything is filled in as they like to find mistakes. Hopefully after all that, you'll get your IBCC Equivalence Certificate and it should say PRE-MED.. If not, you will have to fight some more. And if your marks arent at least 660/1100 then you cant apply for med school here so fight and argue to have them raise it somehow.
2. Armed with your minimum of 60% IBCC Pre Med certificate, High School Transcript, High School Diploma, Copy of Passport, proof of pakistani originan, copy of parents passport, hope I'm not forgetting anything, you then head over to Economic Affairs Division near the president House in Islamabad to the fourth floor. You will find a dinky office, where you will request a form to apply. Fill it out properly, get it attested with copies of all your documents. Now, there is a list of ALL the medical colleges in the country, and you select 1, 2, 3 etc based on order of preference. When the deadline expires, they will then go through everyones preferences and the people with the higher IBCC marks will get first choice until all the seats in that college are filled in and so on. NWFP colleges are $5000 so they are usually filled by the better marks students. RMC is $7000, I think bahalpur is 5 or 7, KE is like 10,000$. If your selected to a college, you will receive a letter from them telling you.
3. If you dont like the college you were put into, or you didnt get accepted, (you should be keeping in constant touch with these guys), dont fret, as many foreigners who apply back out or give up their seats and then whoever is next in line gets it. Initially I was selected for Nishtar in Multan, but it was really a weird far away place and after a week a seat opened in RMC and I took it.
Its not really that complicated once you get the hang out if =)
Now that was for SELF FINANCE FOREIGNER students of pakistani origin who hold foreign passport!
If you happen to have higher marks then 60% or you have good contacts, you can also apply for a technical assistance seat which is like $3000 or so at the most, so you could also go that way. Best of luck.