Documentation for transfer of Immovable Property
In India, transfer of Immovable Property is covered under the Transfer of Property Act, 1882. Transfer of property, especially if it is inherited property, is a long-drawn process involving considerable documentation and legal paperwork. The property in question becomes disputable if the relevant property documents are not in place for the transfer to take place smoothly.
Definition of Property transfer
According to the Transfer of Property Act, the transfer of property is defined as the act by which a person conveys property to one or more persons, or to himself along with one or more other persons. The transfer of the property can be carried out in the present or for the future. The person may be an individual, a company or a group of individuals forming an association. Transfer of property from one owner to another involves the registration of the property to the transferee’s name by paying the required stamp duty and registration charges.
Documents required
Transfer of property and subsequent registration of the property in the transferee’s name can take place under different circumstances. Based on the situation, the documentation required, the procedure to be followed as well as the instruments employed will differ. Mentioned below are some of the documentation that will be required in transfer of property or transfer of a share of the property that excludes inherited property.
· Sale Deed:
It is a document that is prepared based on the previous ownership document that is used for the transfer of the property from the buyer to the seller. This document provides the buyer absolute and undisputed ownership of the property.
· Gift Deed:
Transfer of property in the form of a Gift deed is generally carried out if the property is one which is within the family. According to Section 17 of the Registration Act, 1908, it is imperative that a Gift deed for immovable property is registered with the Sub-Registrar of Assurances. Another important feature of this transfer is that it is irrevocable. Hence, the property once gifted cannot be transferred back nor can any monetary compensation be given for the same.
· Relinquishment Deed:
This document is employed if an individual wishes to transfer his rights in a property to a co-owner of the property. Such a transfer is also irrevocable as in the case of a Gift deed. As is the case with all documents related to transfer of immovable property, the relinquishment deed should also be signed by both parties and should be registered as well.
Seek expert advice:
Considering that transfer of immovable property involves the transaction of considerable amount of money, it is important to know the different types of documents that are used in different modes or property transfer. To prepare the relevant documents required as well as to get them verified, it is imperative to seek the services of a reputed property lawyer so as to avoid any complications in future.
