Document Checklist for Hassle-Free Property Buying
There are certain documents that are a must-have if you wish to or are in the process of buying property in India. These few documents will secure proof of ownership and smooth transitioning from the seller to the buyer or the property. Being the land of rich land and a vibrant population, having these documents handy is always a good idea and a safety measure. Here is the Document Checklist
A Sale Deed is the core legal document that acts as proof of sale and transfer of ownership of the property from the seller to the buyer. It is mandatory for a sale deed to be registered, and for the seller of the property to settle all kinds of necessary payments such as property tax, society charges, maintenance charges etc., before executing the Sales Deed.
Power of Attorney
A Power of Attorney or POA is a legal procedure that is used to transfer authority to another person by the owner on their behalf. Within this procedure, one can either give a Special Power of Attorney (SPA) or a General Power of Attorney (GPA) to transfer one’s rights over one’s property.
No Objection Certificate
An NOC, short for No Objection Certificate from government departments, is required in order to ensure that there are no monetary dues pending, and to make sure that the property is not under acquisition or demolition from Government authorities.
Khata Certificate and Extract
A Khata is a document that, simply speaking, is proof of the property or structure being built according to the authorized plan and regulations. It is crucial at a grassroots level to confirm the validity and legal aspects of the property in question. Khata certificate is required for two reasons: For registration of a new property and for transfer of any property.
In the process of purchasing property in India, the buyer needs to obtain an allotment letter to know the monetary amount that is outstanding to the builder or society on account of the said property, so the pending amount can be financed by the bank on the basis of the Allotment Letter. It also states and specifies all the necessary details about the property like the description of the said property being sold/bought by the two parties.
Latest Electricity Bill
Simple documents like the last few electricity bills of the current owner as well as the buyer can go a long way in ascertaining the monetary situation and the ownership of both the parties in question. These documents make the process of transition and legal proceedings much simpler and hassle-free.
Receipts for property tax bills ensure that taxes for the property are paid up-to-date to the government. The buyer must get the house tax/property tax receipts from the seller at least for the last 5 years in order to ensure that no dues are pending while also establishing the ownership of the seller.
Buying a property anywhere in the world can prove to be a tedious task. It is always better to be prepared with certain documents to make all procedures smoother and hassle-free.