DDA Property Conversion: Freehold To Leasehold Online Process
Earlier, the conversion of properties from leasehold to freehold was a slow and tiresome process and the public was facing many problems, especially due to the need for a large number of documents, traditional manual payment mechanisms, and non-harmonization of payment statements. DDA has simplified the process of conversion by reducing the required documents, facilitating the public to view their payment details online, facilitating them to pay online.
In September 2015, the Delhi Development Authority (DDA) introduced an online property conversion system to bring transparency and efficiency to the process under which flat owners will be able to convert their leasehold property into freehold based on their self-assessment. Through this system, the conversion process for DDA Flats and Group Housing Projects can be initiated by allottees, as well as holders of a general power of attorney/agreement to sell.
Recently, to facilitate the public interface, the Land Settlement Department of Delhi Development Authority (DDA) has successfully implemented an e-mutation (online mutation application system) under the computerization project “IDLI System” for plotted properties.
He has introduced two more public services called e-conversion (online system for freehold conversion of tenant properties) and e-EOT (online application for extension of time).
Defining Terms Leasehold and Freehold Property
Leasehold Property
Freehold and leasehold refer to the state of ownership of a property. In a leasehold property, full authority over the property rests with the authority and not the current owner.
Freehold Property
In a freehold property, the ownership is with the home buyer and he has full legal authority over it.
Leasehold to Freehold Conversion of DDA Property
The conversion scheme covers almost all housing schemes under various categories, including LIG, MIG, HIG, EHS, SFS, Janta flats, and plots allotted by DDA. Flats built before 1992 at the Asian Games Village Complex are also included on a leasehold basis.
- If a bank or a lender is mortgaged flat, execution of the deed communicated will be allowed on the submission of a No Objection Certificate from the financial institution.
- If there is a legal dispute concerning the title of the flat, the conversion will not be allowed until the legal dispute is settled.
- If the application for mutation or submission is pending with the DDA, execution of the conveyance deed will be allowed, only after the necessary mutations have been made.
Procedure for Converting Leasehold Flats into Freehold
Here is how you can convert your flat online on the DDA site:
- Get the brochure from DDA Vikas Sadan and fill the application form attached to the booklet.
- If the applicant is allottee, he has to fill the Blue Form and if the applicant is the holder of the power of attorney or the contract to sell, he will have to fill the Green Form.
- Fill out the application and mention the file number, which can be found on the lease documents or other communication sent by the DDA to the allottees.
- Submit the form along with the third copy of the challan for the conversion fee received by the Central Bank of India or State Bank of India.
If the application is in sequence, the conversion application is decided within 45 days. Once confirmed, the conveyance deed will be sent to the applicant, in whose name the conveyance deed is executed by Speed Post. The recipient must stamp it from the stamp collector and submit it to the DDA office within 45 working days.
On receipt of the conveyance deed duly stamped from the stamp collector, a date for execution (ECL) will be given. Also, note that the stamp duty and registration fee will be borne by the person in whose favor the execution of the conveyance deed is allowed.
Required Documents
- Undertaking and affidavit verified or attested by a notary public/first class magistrate (as per Annex E and F of the booklet).
- Copy of possession letter issued by DDA, duly verified or attested by Notary Public/Gazetted Officer.
- Proof of physical possession of the property in whose name conversion is sought, which may include passport/voter ID card/electricity bill/water bill/house tax receipt/ration card, etc. and are duly verified or attested by the Notary Public/Gazetted Officer.
- A passport size photograph and three attested signatures of the person, in whose favor the conversion is sought, has been duly verified or attested by the Notary Public/Gazetted Officer (as per Annex J).
- The copy of the demand-cum-allotment letter issued by the DDA has been duly verified or attested by the Notary Public/Gazetted Officer.
- Bond attested or verified by Notary Public.
- A NOC from the mortgage (if the flat is mortgaged), is duly verified or attested by a Notary Public/Gazetted Officer.
Benefits of Freehold Over Leasehold
Sole Ownership
The owner of the property is no longer limited. He can enjoy free ownership.
Easy Transfer
The owner of a freehold property can transfer property without any restrictions.
Higher Value
After the property is converted to freehold, the property will have a higher value of about 15–20% than the leasehold property.
Free from Paying Ground Rent
The freehold property owner is free to pay the ground rent.
Easy Availability of Loan
No leasehold property can obtain a loan. Therefore, conversion to freehold is an additional benefit for obtaining a property loan.
DDA Flat Conversion Charges for Allottees
Flat Categories | East Zone | North, West, and Rohini Zone | South and Dwarka Zone | Central Zone |
SFS-II/HIG | ₹19,575 | ₹58,590 | ₹78,030 | ₹97,470 |
SFS-III | ₹23,490 | ₹70,200 | ₹93,555 | ₹1,17,045 |
MIG/SFS-I | ₹13,365 | ₹39,825 | ₹53,055 | ₹66,285 |
LIG | ₹9,450 | ₹28,080 | ₹37,530 | ₹46,845 |
Stamp duty of 6% in the case of males and 4% in the case of females is to be paid on the consideration amount mentioned in the conveyance deed. The registration fee is 1% of the total value of the conveyance deed.
DDA Flat Conversion Charges for GPA Holders
Flat Categories | East Zone | North, West, and Rohini Zone | South and Dwarka Zone | Central Zone |
SFS-III | ₹52,200 | ₹1,56,000 | ₹2,07,900 | ₹2,60,100 |
SFS-II/HIG | ₹43,500 | ₹1,30,000 | ₹1,73,400 | ₹2,16,600 |
MIG/SFS-I | ₹29,700 | ₹88,500 | ₹1,17,900 | ₹1,47,300 |
LIG | ₹21,000 | ₹62,400 | ₹83,400 | ₹1,04,100 |
DDA Flat Conversion Charges for Asian Games Village Complex
Plinth area (in sq mt) | Conversion Charges |
Up to 140 | ₹69,300 |
140-175 | ₹92,400 |
Above 175 | ₹1,15,500 |
Online Conversion Charges Calculation Process
Follow the below-mentioned process to calculate conversion charges for your DDA flat online:
- Visit the DDA Online Challan Generation for group housing flats page.
- Mention the zone in the first column. If you do not know the area of your locality, you can search for it in the available filters.
- Fill in the flat category and choose if your property was allocated before April 1992.
- Mention whether the freehold will be in favor of the allottee or the GPA holder.
- The conversion fee will be calculated automatically. You can also generate an invoice from here for payment.
Online Conversion Process
Step 1: Visit the DDA Freehold Conversion Portal
Step 2: Click on ‘New Applicant Registration’ and fill the registration form
Step 3: Fill the form properly as you will not be able to edit it later. Mention Aadhaar card details, property types, and contact information for OTP generation.
Step 4: Once you have created your user ID, you can log in from the given options and select services, including mutations, online appointment booking, the extension of time, and conversion. You have to select ‘Conversion’ for property conversion.
Step 5: To check the list of required documents, click here. Prepare all documents and upload them to the portal.
Step 6: Now, click on ‘Make other types of online payments‘. Enter the login and password generated in step 4. You will be asked to fill the payment details along with the challan number.
Step 7: Submit your application. Receipts will be sent to you via SMS and email. Now you can track the progress of your application through an online system by quoting your acknowledgment/receipt number.
Tracking Freehold Conversion Application Status
- Visit the DDA Freehold Status Portal
- Select property type
- Mention the User ID/Challan Number
- Search for the application
If there is something lacking in your application or accepted then the result will indicate. If you are considered incomplete by the authorities then you will get 45 working days to complete your application.
Image and Data Source: DDA Freehold Conversion Portal