Are you planning to buy a house or land in India? Purchasing any of these properties calls for certain documents for legality. Whether you’re an investor or first-time buyer, having all the required papers by your side smoothens the whole process. But here comes the main question — what documents are required to buy a residential or commercial property in India? If you can’ figure it out, no worries.
In this blog, we will discuss a list of documents required to buy a property. So check them out one by one.
Required list of documents to purchase a property in India
1. Agreement to sale
It is one of the most important documents related to property sales. It contains complete details of the property and is done between the buyer and the seller. It also includes the terms and conditions along with the buying price as agreed upon by both parties. It only suggests that the agreement is done for selling/buying the property and not the final ownership transfer.
2. Sale deed
It’s one of the compulsory documents required during property purchase. The sale deed works as evidence of the property sale and its ownership transfer to the buyer. Once the property verification is done, the sale deed process begins. But before signing the sale deed, a buyer needs to check out these documents as well:
- Property tax invoice
- Electricity bill
- Cross-verification of sales agreement terms and conditions
Remember, a sale deed needs to be registered within four months from when it was executed.
- It becomes a legit document for future sale purposes.
- It needs to get registered in the sub-registrar office.
- It works as a proof of property ownership.
- If you fail to get it registered within the timeframe, then it becomes invalid.
3. Mother deed
This document traces the property ownership while buying a flat or land. It comes in handy when taking a home loan against a property. You can connect with the local authorities to prepare this paper.
It is called mother deed because it includes the history, boundaries, ownership, and other info of the property.
4. Khata certificate
A khata certificate refers to a revenue paper containing the property information like location, size, area, and so on. It is required during the home loan application to authenticate the property. Khata certificate inclusion in property buying process is required for the application of water and electricity supply. This paper comes in handy in land buying, too.
5. Building approval plan doc
It’s a paper that builders get before commencing a construction work of a proposed residential society. It has two sections— building plan and layout approval. This document is vital to ensure that the construction is according to the layout approval and building plan. It also clarifies whether the builder has followed the stated terms of the construction. So, before you buy a residential property, make sure you collect this document.
6. Encumbrance certificate
This document confirms that the property is under no pending financial or legal liabilities. You can obtain this document from the office of the sub-registrar. It is applicable for a period of 30 years. This certificate is the proof of the property being free from any legal disputes, loans, or mortgages.
7. Possession letter
The possession letter is one of the vital documents while buying a property. The document is issued by the builder that confirms the purchasers’ ownership of the flat. It is on the name of the builder and is made after the completion certificate receipt.
8. Completion or occupancy certificate
This document confirms that the construction has gone through inspection post completion and fulfills all the criteria set by the local development body and Municipal Corporation. This certificate is also important to avail of certain utilities like drainage system, electricity supply, and water supply.
If you’re a first-time home buyer, you shouldn’t invest in a real estate property without the occupancy certificate. This will cause penalties and the property will be regarded as an illegal construction.
9. Power of attorney
This document is needed if the person, given the power of attorney, acts on behalf of the owner. Based on the authorisation provided, a power of attorney can be specific or general in nature.
10. Allotment letter
When you book an under-construction home, obtaining an allotment letter becomes crucial. The letter contains all the details, along with payment plans for homebuyers and additional fees. Those getting a home loan need this letter to confirm that bank about the amounts buyers have to pay.
What documents are needed for land ownership?
- Sale deed
- Revenue records
- Land rights certificate
- Electricity bills, water bills, and other proofs
- Lease deed (if the lease is government granted)
- Will (for inherited property)
- Gift deed (if it’s inherited as a gift)
- Partition deed (if the property is ancestral)
What documents are required for flat ownership?
- Sale deed
- Deposit proofs
- Sub-lease deed (in case of sub-leased property)
- Will (if the property is inherited)
- Gift deed
- Deed of partition
Conclusion
These are the legal documents you need to check and get while buying a flat or land. These papers authenticate the property and legalise your ownership. Besides, they provide a legitimate framework that protects you from any unforeseen violation or property fraud.
