Know About Different Types Of Property Papers Before Purchasing A Home
Understanding Different Property Papers
In India, thousands of flats are being sold and purchased on a daily basis, and also thousands of people are trapped in different types of property frauds. And why do these frauds happen? Because of the negligence of buyers while purchasing a property. Most people in India are not aware or literate enough to understand the legal complications while buying a flat; they don’t understand the papers, unquestioningly believe someone else, and get cheated. In today’s article, we will educate you about all the types of property papers that you need while purchasing a flat and will simplify each term for you.
Sale Deed
People are always confused when they listen to sales deeds. What is a sale deed? A sale deed is a kind of property document that confirms the transfer of ownership from the seller to the buyer and is the most vital document. It is important to register the sale deed within four months of sale execution with the local registry office to legalise the document. A sale deed consists of everything about the property and all the relevant clauses, so always get legal help from RERA-authorised consultants like Commercial Noida before executing the sale deed to save yourself from any fraud.
Encumbrance Certificate
The encumbrance certificate shows that the property is not due and is free from all liabilities. If You are willing to purchase a property on loan, then this certificate becomes a must, as the bank needs this certificate to verify if the property is mortgage-free and not disputed.
General Power Of Attorney (GPA)
This document is a testimony of the sale purchase deed done by an authorised person on behalf of an owner. It will be required when you apply for a loan in its original format to prove that you have bought this property from an authorised person on behalf of the owner. That authorised person could be anyone, such as a property dealer or anyone who has acted as an authorised owner on behalf of the real owner of the property.
No Objection Certificate (NOC)
The NOC is required by various local authorities to establish authenticity and safety. You must ask your developer to provide you with an NOC to ensure safety.
Allotment Letter
An allotment letter is provided by the housing board or the developer to the buyer. It includes all the necessary information about the property con, firms the purchase of the Unit, and outlines the terms and conditions of the transaction.
Possession Letter
The developer provides a possession letter to the seller, and it consists of the date on which the developer would give the possession of the property. This letter must be produced on the demand of the bank in its original form while applying for a home loan.
Completion Certificate
A completion certificate is required to be produced on demand to prove that the building is made as per the approved design.
Occupancy Certificate
An occupancy certificate is required to prove that the building is ready for possession, and you can shift to your Unit.
Copy Of Building Plan
A copy of the building plan is required to show that the building is being built according to the approved plan and complying with all the rules and regulations of the authority.
Property Tax Receipt
Everyone must pay property tax, and it is unavoidable. You must check if the previous owner has paid all the taxes and if there is no due pending on that property.
Agreement Of Sale
The agreement of sale outlines all the details of the property, such as the payment plan, possession date, features, common area details, facilities, general terms, and conditions. This agreement makes the developer responsible for the construction of the property.
The Khata Certificate
This certificate, which goes by numerous names depending on the state, is also known as extracts. It is regarded as one of the most crucial documents when registering a new property.
It will also be required if you decide to sell your property in the future and give ownership to someone else. This legal property document attests to the fact that you have permission before beginning construction and that your property is registered in the municipal records of the area. This document will be needed when you apply to a bank for a house loan.
Ratification Deed
A ratification deed is involved when you want to validate the changes that were done without any proper documentation. It means if you have done anything related to property without proper documentation, you will need a ratification deed to validate or legalise those changes done in the past.
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