THINGS TO CHECK BEFORE REGISTERING YOUR PROPERTY
Investing in a home almost always requires financial commitments that can continue for at least a couple of decades. Considering the magnitude of the commitment, it is critical that the decision must be safeguarded by the meticulous maintenance of records pertaining to the property in question. In order to ensure that these property records are updated correctly during transfer of ownership, the registration of the home must be done right.
Registration of property in India falls under section 17 of the Registration Act 1908. The aim of the Act is to make sure that the transaction in question has all the correct information and that legal records of the same are maintained.
Authenticity and credibility of property
Before registering a particular property in your name, you need to ensure that all existing documents regarding the property are clear and straightforward.It is also a good idea to check on the credibility of the developer or the seller. Due diligence is extremely important to avoid untoward events in future.
Lawyer’s backing
Consult a lawyer to confirm that property documents provided by the seller or developer are genuine. This is important so that you don’t end up getting documents that are ambiguous or inexact transferred to your name.
Requisite Documents
While registering property there is a list of documents that need to be presented at the time of registration. The following is a list of documents that you need to keep with you while registering the property-
- Sale deed which exists in the name of the person who is selling the property
- The tax receipts of the latest property tax which has been paid for that property
- An agreement of sale and construction which is executed by the developer or builder in favour of the seller
- Khata/Patta certificate of the property
- Latest statements from the bank regarding outstanding loans
- Encumbrance certificates from the date of purchase till the present day
- The latest electricity bill, as well as the receipt for them, said flat
- All title documents of the landowner
- The sanctioned building plan and the occupancy certificate from the builder
- If the property is being resold then a copy of all the registered previous agreements have also to be provided
- A Power of Attorney, if there exists any.
Personal identification
In addition to documents pertaining to the property, you should also ensure that you’re carrying copies and originals of identity proof such as PAN card, Aadhaar as well as passport photographs.
Demand draft with correct amounts
When registering property, make sure you have demand drafts with the accurate amount for payment of stamp duty and registration charges. Both vary from state to state.
Getting the registration process completed is the threshold to your homeownership experience. Having all property-related documents in order not only marks the beginning of your own but also protects you from any possible disputes in the future.
Stamp Paper
The stamp duty is calculated based on the circle rate as well as the differing stamp duty for different states. Another important component is the value of the property based on which the nature of the stamp duty will vary. The stamp duty should be calculated according to the prevailing rate and non-judicial stamp paper for the same must be procured.
Checks for Approvals and Licenses
Various certificates need to be checked especially when it comes to buildings that are developed by developers. These range from the commencement of work certificate, and environmental clearances to verification of the land use as per the city master plan for the plot.
Preparation of the Sale Deed
The sale deed is one of the most important documents when it comes to registering the property. The sale deed is prepared and worked on by attorneys from both parties, i.e. the buyer and the seller. The sale deed covers various aspects regarding the nature of the transaction such as lease, sale, and power of attorney.