Purchasing property is one of the major life events for the majority of the Indian population. Be it a brand new project or a second hand property, buying property is auspicious and a mark of success in life.
In case you are settling for a second hand property, it is very important to know all the steps of a successful and error-free property transfer process. If you haven’t already read, you can read Property Transfer Procedure in India here. You may like to know that Online Property Document Verification is now possible in India.
In this blog, we will talk about essential things you need to consider while undertaking a property transfer.
THINGS TO CONSIDER WHILE UNDERTAKING A PROPERTY TRANSFER
Name change in property tax document:
Once the ownership for a property is transferred, it is required to change the ownership name in the property tax document. You must submit all the documents required to the Commissioner of Revenue. This process might take around 25 to 35 days. The documents required in this process include the last paid tax receipt, attested copy of sale transaction deed, NoC from the particular housing society and a correctly filled application form with signatures.
Memorandum of understanding:
To buy a property, one must sign a deed. Before signing a deed, both the new home owner and the seller need to sign a MoU. MoU is a critical document which includes all the information about the cost of property, date of agreement between a buyer and a seller, the agreed duration of payment along with a thorough detail of the property.
Quit claim deed:
This deed is made to ensure that the transfer of property is done without committing to any promises about the property. The purpose of this deed is to clear up any title issues in transfer of the property during critical cases like separation of couples or any spontaneous decisions for the name transfer of the said property. This deed includes the full names of the vendor and vendee along with the price of the property, location and legal description specifying the particulars of the property.
The warranty deed gives assurance that the seller has all legal rights to transfer the property and no one else has the right to do so and also states that the property has no debts on it. The warranty deed is considered to be far more liable than the quitclaim deed as a vendee canay the trust that they will not have to face unpaid debts associated with the property. This deed promises the transfer of property to the recipient and is also known as the “Grant Deed.”
In order to recognise a person as the owner of the property in front of the government, he/she needs to submit an application with a non-judicial stamp to the respective Tehsildar with the property name transfer. One of the most important documents needed is the NoC to initiate the purchase and a testimony. This procedure helps to transfer the ownership from the buyer to the receiver after the completion of the buying process.
Hope this article helps you with things you need to know while dealing with real estate properties in India.