At least eight men entered the house and overpowered at least three security guards at the main gate and abducted a 63-year-old man that local media identified as Justin Warner.
Warner had been living in Lahore for least five years and was involved in “consultancy business”, although the nature of that business has not been clarified.
Warner is believed to have travelled extensively around Pakistani cities and was due to return to the US on Monday.
Police say they have sealed all the entry and exit points to ensure that the foreign national was not taken out of Lahore.
No one has so far claimed responsibility for the abduction.
A US embassy spokesman Alberto Rodriguez confirmed that the kidnapped foreigner is an American national.