A method of handling ownership transfer in owner transfer procedure in a wireless communication system is disclosed. The wireless communication system includes a server, at least one personal network gateway and at least one personal network entity. The method includes sending an owner change notification message from the server to the at least one personal network gateway, and sending the owner change notification message from the at least one personal network gateway to the at least one personal network entity; wherein the owner change notification message comprises a service group owner element and a service group identification element; wherein the service group owner element indicates a personal network entity identification of a personal network entity having an ownership.