Registration of the property is the process of recording of the duly executed document in the registrar office for the purpose of preserving the copies of the original documents between the parties involved in the registration of the property. The documents involved are Sale Deed, Gift Deed, Relinquishment Deed, etc. Are required to be compulsorily registered under Section! 7 of the Indian Registration Act, 1908.
Every compulsory document is required to be present during the time of registration of the property before the sub-registrar having jurisdiction over the area along with 2 witness and appropriate registration fee. Property registration is a very important thing that needs to be done by every buyer and seller at the time of the purchase and sale of a property. The failure may result in you not being able to sell the property again because you will not be considered the rightful owner of the property.
There are many people who are often confused about how the whole registration process works and if it is actually safe or not. The thing that comes in between all of this is the whole idea of going through legal processes. At the end of the day these processes are going to make things better for everyone but whenever the whole term legal comes in people get scared.
Here are the documents required as well as the processes that will help you get informed about how you can get a property registered. The process is eventually not as tough as it seems and it only requires some thoughts and running around the right places to get things to be done in the right and perfect manner.
Documents required to be registered
- Two passport size photographs of the buyers and sellers.
- Two witnesses.
- Identification proof of each party and witnesses.
If the property is on lease under D.D.A, L&DO, M.C.D, Labour Department, Industries Department of Delhi Govt etc permission of lesser for registration of the document.
NOC or the No objection Certificate under section 8 of Delhi Land, registration and Transfer Act, 1972 from Delhi Tehsildar of the Sub Division of the District to assure that the property is not under any kind of acquisition.
Income tax clearance certificate under section 230 of the Income Tax Act from the concerned Income Tax officer, where the transaction exceeds 5,00,000/-
Permission from the appropriate authority in the prescribed proforma 37 I under the provisions contained in the section @69 of the Income Tax Act, 1961.
Stamp Duty Charges in Delhi.
Stamp duty and transfer duty @ 4% if the vendee is a woman and 6% is the vendee is male. Registration fee is 1% of the total value of the sale deed =Rs 100/- pasting charge.
Property Registration Procedure
Step 1
Title Search at the sub-registrar office
The first step involves the appointing of the lawyer or an advocate to carry out the title search and due diligence by inspecting the records related to the property that the buyers intend to buy in the concerned sub-registrar office. The main concern is to see if the present owner has the authority to sell the property and has cleared all the bills due related to it, such as the property charge, electric bills, mortgage, etc. The process takes the time of 7-8 days and costs around Rs 7000 to Rs 15000.
At this stage, the following are the things that are checked:
- The title of the owner, if the legal document of the owner is in his name as issued by the Revenue Record Department.
- No mortgage or other encumbrances are pending against the owner.
- If the property is transferable and heritable.
Step 2.
Preparation of self-agreement.
To avoid future dispute it is always recommended to create a self-agreement on the stamp paper so that it stays as a proof to the owner of any further dispute arises. The agreement must contain the advance payment done by the buyer to the seller and also the time period agreed within which the balance payment will be made by the buyer and the final sale deed is registered
Step 3:
Preparation of the sale deed.
In order to effect the valid transfer of the deed from one person to another, it is compulsory to make a draft of the self deed, according to the section 17 of the Indian Registration Act, 1908 is it mandatory. For the registration of the property, the stamp duty is payable of 4% of the property value if the buyer is female and 6% if the buyer is male. This stamp duty has to be deposited by the authorized bank for the purchase of E-Stamp paper. The final deed prepared by the advocate is printed out in legal documents and E-Stamp is attached to it for the final process. The step involves the duration of 3- 4 days and costs around 2000/- to 4000/-
Step 4:
Presenting the self-deed before the sub-registrar of the area.
After the completion of the documents, which involves printing the documents on legal papers with E-Stamp on it the final copy is presented before the sub-registrar who is under the jurisdiction of that area. The 1% of the property value is paid during the registration of the property as a registration fee through demand draft. Every office having different rules, in some offices an appointment is required for the self-deed while in some it is a direct process. For the assurance of scrutiny the documents are submitted to the reader of the sub-registrar. To admit the execution of the documents the seller and the buyer with 2 witnesses have to be present before the sub-registrar. The witness is required to authenticate the identity of the two-person involved. The original copy of the documents has to be presented to the buyer within 5-7 days while a copy of the document has to be pasted in the clearance book for future reference in case any dispute arises. This process costs 5000/- to 6000/- rupees.
Step 5:
Mutation of the name in the MCD record.
After the completion of all the above-mentioned process, the lawyers of the buyer applies for the mutation of the property in the Municipal Authority for the title of the agreement as per their favor. The buyer must submit the duly signed agreement along with the affidavit, an indemnity bond, and a certified copy of the certificate of the registered copy deed. The circle revenue office settles the value of the property tax which can also be paid online and issues a letter of mutation in the favor of the buyer certifying that the property has been mutated to the buyer’s name. This process takes around 30 days and costs 10000/- to 15000/-
Online registration of property in Delhi
Sometimes all the paperwork and running around for the registration of properties can get a bit difficult and also hectic. And many people are there who also do not have the time to actually work for it. Purchasing a property in the national capital territory is a big wok of stamp and registration charges have to be actually paid in big amounts to get things done easily. A part of this procedure has been made online o that it can be done easily by the citizens of this country here is a step by step procedure that is made to guide you through the registration process.
- First, you will have to prepare a deed for online registration in Delhi. You can visit http://doris.delhigovt.nic.in and choose the option of deed writer from the top menu. You will then be directed to a whole new website that will help you prepare your deed accordingly to the criteria suitable.
- Then you can go to the website of https://eval.delhigov.nic.in and you can then calculate the stamp duty charges applicable on the transaction of your property. You need to enter the location of the nearest sub-registrar zone in which the transacted property you have fallen. You also will need to enter the locality and the deed and sub-deed type name. the total amount will be fairly calculated on the basis of the locality and the location category, considered amount of transaction while transfer, the use of the land, the total area of the whole plot, the total plinth area and the exact year of the construction of the property.
- After the amount is fairly calculated, then you can freely go and buy the e-stamp paper of the exact calculated amount shown from the nearest Stock Holding Corporation of India. It can be authorized at the website of www.schilestamp.com.
- Then after you have successfully done the above steps, you will need to book an appointment with the sub-registrar. To request a visit with the sub-registrar you will have to visit http://srams.delhi.gov.in. Here they will ask you for the e-stamp number that you have acquired for the verification process. You will also be asked to mention your proper district, name of the sub-registrar and then select your area.
- After you have successfully booked the appointment, you will have to visit the SRO’s office on the designated date and time. You should not miss the appointment so make sure you have chosen the right date. You will also receive an appointment SMS that you will need to take along with yourself. After you have reached the office, you will need to present the required documents at the facilitation counter. After the registration process is over, you can collect the completion receipt.
List of required documents for the process of e-registration
- Original documents and also one set of photocopies of them.
- Two passport size photos on the copies of the documents of both the seller and the purchaser.
- Proper E-stamp paper with the correct value of the stamp duty.
- The receipt of the registration fee that was acquired while registration completion.
- If the transaction amount exceeds Rs 50,000 then a self-attested copy of pan card or form 60 will be required.
- The original ID proof of all the concerned parties that might be involved, namely seller, purchaser and the witness.
Benefits of online registration of property
There are actually a lot of good benefits of registering your property online but to list a few these are the biggest benefits you can get:
- The usual challenge that anyone faces while registering their property is at the registrar offices. These challenges can be reduced a lot because of online registration. This tends to allow them to take their time for some more serious matters like property disputes.
- Another amazing benefit that a consumer can get is they have to pay a relatively affordable amount when in the time of registration.
- Online registration can also cut off the efforts of visiting multiple offices. No one wants to run around in the summer to offices for the sake of getting your property registered. E-registration can solve this in a huge manner.
- You can also access the documents and the details of the property and also the documents pertaining to land records online very easily.
- There is a huge amount of transparency in the whole process of registration. This can make the whole process more rational and it also rationalizes the broker fee that you might have to go through if you are not getting any e-registration done. It also takes out the whole need for giving out bribes to the officials in numerous places.
- There is very handy software that has been installed on the website that can help you with the whole process of the stamp registration calculation of fees very easily. The whole fee can also be paid online directly and easily. This is not a big hassle when you are doing e-registration.
- The whole website is made in such a state-of-art manner that will reveal the price of any land in any part of the state of Delhi very easily.
The benefits of registration of property
Registration of a property is an important deal and should be done at the earliest moment as possible. Procrastination in the whole process of property registration can be harmful and cause you a great deal of inconvenience. There was an incident in which more than 15 residents of Mumbai found out that they have been delaying the registration of their property for more than 20 years. When the building that they were staying in got built in the year of 1985, 40 out of the total 55 flat buyers got their flats registered but the rest 15 got mislead by the lawyer that they were consulting into believing that the whole registration process was not actually important. This was only an issue when some of the buyers tried to sell their apartment but they found out that unfortunately, it was not possible to be done anymore. Sadly now the owners have to get their apartment registered but will all of this they will also have to pay the hefty fine that comes along with it. This whole ordeal will cost the owners lakhs of rupees.
The registration of a property should be your top priority whenever you are purchasing any kind of property. The whole registration process makes your property more legitimate at the end of the day. You are only considered the lawful owner of a property if you have got the property registered on your name. If you do not do so then the previous owner is going to be considered the rightful owner and that can cause several complications in the whole process.
The Supreme Court has recently given the order that a property sale will only be considered legal if you have properly and legally stamped and registered that property. The Supreme Court says that the registration is important in such a way that it will make you the legal and rightful owner of the property. If you fail to do so then in any form of the dispute you will have no rights on the property if you have not registered it on your name.
You can also extend the registration period up to more four months but that will cause you to pay a penalty up to 10 times the registration fee as well. The whole stamp duty price is very minimal at the end of the day. But if you keep delaying then you may end up losing the rights to the home or making the price too big to be paid.
There can be numerous benefits to the process of property registration but you need to keep in mind the whole deal of not getting in legal trouble first. It is made to be a priority that your name must be associated with the property in one way or another. There can also be the case that you might be tried to be manipulated into not actually getting the property registered so that you can be taken benefits of. But you need to not fall among all those scams. You have to do what you got to do.
There is no right time of getting your property registered. The only time you get to do it is when you are purchasing the property. The housing society will also be informed while doing so. Failure will result in the new owner neither being able to create a third-party nor being able to sell the property to anyone.
The state governments of multiple states are trying to ease up the whole process as well. For example, Delhi has become the first state that allows you to register your property online by helping you pay the charges through electronic transfer processes. There are many other states that are likely going to introduce these processes as well to ease up things for the people. Everyone should actually be taking the benefits of these things instead of actually procrastinating and letting things slide off hands.
Conclusion
Owning a home can be anyone’s biggest dreams ever. Everyone wants their own place to stay these days. Be it rich or poor they wish they could get a house because the price of houses is rising every day. This dream transcends all the barriers that are cultural or geographic. For some people their house is one of the most sacred places, they worship their place and wishes for all the good for their house and never want any further dispute to arise. It most of the cases these days the registration of property happens naturally as it is indeed a very integral part of a purchase process.
There can be a very high level of risk that can be involved in this practice that still prevails regardless of all the obstacles. If the property is not registered in a proper manner then the legal rights that may linger over it can be vested fully with the developer of the property. This is no brainer to say that this can be considered as a game with very high stakes involved and so you can also call it a gamble at its best.
The real estate market of India is still at the most basic state of its evolution and so the whole temptation to bypass the law that is made to be laying on the whole property purchasing transactions that have and will still continue to be a big factor. Thankfully the properties laws are actually catching up fast in the recent days are catching up very fast with the whole realities of the present-day world.
So here was the whole process of registration of a property in the state of Delhi. It can sound a bit difficult but there can be many ways by which you can get the whole process done very easily. You can either choose the online registration process but if that is giving you some issues then you can easily choose the way of meeting the officers in person to get the work done.