Documents to be verified before booking a property

Property documents are one of the most important items required while buying a property. Various documents need to be verified diligently before booking a property. This, in turn, will keep you away from varied legal disputes and aggravations. The following documents need to be thoroughly checked and clarified:

1. Systematic Registered Agreement for sale entered into between the previous parties.
2. 7/12 Extraction and Village form No. 6 (Mutation entries) of the said property.
3. Noting of the appropriate names in the Property card.
4. Approved Location Plan stating the right locations.
5. City survey plan from the appropriate authority and, or survey plan from the revenue department.
6. Layout Plot Plan approved by the local authority.
7. Architect certificate about the Layout Plot – Clarity on the common areas and the facilities by each of the entries or the structure constructed or to be constructed on such Layout Plot.
8. Latest Title and Search Report for minimum of last 25 years from an advocate/solicitor regarding the subject property
9. Non-agricultural Order attached along with the appropriate clearances from the authorities.
10. Clearance Certificate under Urban Land Ceiling Act, 1976 giving clear noting of the subject property.
11. Building/Structure Plan approved by the appropriate authority as per the Development control rules and regulations.
12. Clear Commencement Certificate
13. Clear Completion Certificate
14. Clear Occupation Certificate
15. Systematic List of Flat Purchasers.
16. Proof of payment of Stamp Duty
17. Registration compliances of the subject property.
18. Development agreement or agreement for sale executed between the landlord and the builder for development or for transferring the right, title and interest in the land and in favour of the builder.
19. Any other correspondence regarding the land or building related documents or any other papers in support of the application.
20. Draft conveyance deed/Declaration proposed to be executed in favour of the applicant.
21. Consulting a good property lawyer for better clarity is suggested before finalizing any transactions.

More detailed

• Check for rate of property currently going on in that location by asking a few people/agents etc. so that you will not land up putting up more money in the deal.
• Check if the house you are purchasing is a well maintained society registered property, so that most of the legal matters are taken care of and you are at lower risk of being cheated.
• Check both Original documents and also previous sale documents (if any) before giving token money for the deal.
• Check if that property can get loan from banks.
• If the property is very old (e.g. 10 to 12 years), you can benefit and save money while paying stamp duty which has to be made.
• Check if all previous dues have been paid (like electric bills, yearly municipal charges for property, society charges etc.).
• Ask your advocate to calculate required Stamp Duty and registration fees along with the advocate fees and be ready.
• Property clearance note and No Objection Certificate (NOC) from society is a must before you register any property.
• Do not try saving Stamp Duty charges as during litigation in most cases you cannot fight legally with it.
• It’s always a good idea to meet the society secretary of the property (i.e. flat) you are purchasing. This will keep you aware of some society pending, share certificate related, maintenance related and NOC related to the seller.
• Check the important documents before you give the token amount to purchase that property, some of the documents are Society NOC, Name of the Electricity Bill and Property Tax receipt (known as ‘Gharpatti’ in Hindi), Name of the Maintenance receipt, all the previous sequence of purchase/sale of that property agreement, complete copy of the plan (floor plan) of that building, and also check if the local Governments stamps are visible on the same.
• Most importantly, spend on the one hundred rupees stamp paper and get the signature, left thumb print with photo attached on the seller before giving the token amount and make the terms very clear on registration date and what if for some reasons, the deals get cancelled.
• Check if the property was already mortgaged before and if the things are already cleared and settled with the final note of settlement. One of the best ways is to check for all the sequence of original documents of the flat you are purchasing.
• If you are the first time buyer or, say, this is your first property to be purchased, keep some extra cash handy as you might need it for miscellaneous expenses such as post registration, society charges to be paid extra to the builder and some renovations etc.