• Purchasing a floor in Delhi

Hello Sir, I am planning to buy a floor in Nangal Raya, Delhi, which is constructed by the owner himself and no builder is involved, it is constructed in an area of 612 Sq Ft (68 Gaz) and there are total 4 floors, I am planning to buy the 4th floor with the roof. Please advice me what all documents should be checked and verified while purchasing this and if there are any permissions etc we have to check so as to have no trouble legally or in any other aspect in future.
Please also advice what will be the approximate cost of all the formalities.
Asked 3 years ago in Property Law from Delhi, Delhi
1)check whether owner has original documents   of said plot of land 

2) take 30 years title search from sub registrar office . 

3)check whether building plans have been sanctioned by muncipial corporation 

4) whether occupation certificate or building completion certificate issued by corporation 

5)builder has powers to sell the terrace . it forms part of common area and cannot be sold by builder
Ajay Sethi
Advocate, Mumbai
44363 Answers
2575 Consultations

5.0 on 5.0

1.	Title Deed
2.	Encumbrance certificate
3.	Property Tax receipts
4.	Location sketch
5.	Possession certificate
6.	Khata Certificate and Khata Extract
7.	Approved Building Plan details 

More details 

1.	Title Deed or Mother Deed or Parent document of the property. - First and foremost thing is to check down the title deed of that property. The property title deed is the legal document which proves the ownership of property. The title deed presents certain rights and freedom to the person who holds it and such deeds are required where person wants to transfer his ownership. 
2.	Encumbrance certificate - The encumbrance means any liabilities or charges created on any property in terms of any security of any debit by property owner which is not discharged as on date. Check for the period of 13 years
3.	Property Tax paid receipts latest tax receipt from owner. In this way you can check whether any notices or requisitions are issued on property or any tax due on the property. Land on which the apartment is built to ensure that property taxes have been paid till date. 
4.	Possession certificate - The possession date of the property should be duly mentioned in the sale deed along with the penalty clause
5.	Government approved Building Plan for building the apartment. In your case check if owner has built the flat as per the plan. It is also important to ensure that the house you are buying is exactly as per the approved layout. Floor area ratio (FAR) or floor space index (according to the development plans and zoning laws of individual states) denotes how much area are allowed to construct on a given plot size. It is the ratio of the total floor area in the building to the total plot area. The constructed area would include the basic structure, walls, and staircase or lobby space, if any
6.	Occupation Certificate issued by Municipal Corporation. This is to ensure that you have legal Electrical Connection, Water Supply, Sewage Connection, etc
7.	Khata Certificate and Khata Extract - It is an account of a person owning a property. It typically consists of (a) Khata Certificate and (b) Khata Extract.

Registration Charge
1.	Stamp duty and transfer duty @ 4% if the vendee is a woman and @ 6% if the vendee is a man
2.	Registration fee is 1% of the total value of Sale Deed + Rs. 100/- posting charge.
Ajay N S
Advocate, Ernakulam
2756 Answers
44 Consultations

5.0 on 5.0

1. Checklist for documents doffers with the nature of the property.
2. In any event the title deed of the seller and building plan sanctioned by the Municipality is mandatorily to be checked.
3. On perusal of title deed of the seller it is known whether further deed is required or not.
4. Do make a title search from the local registration office for a minimum period of 13 years.
5. Mutation certificate is another documents to be perused.
Devajyoti Barman
Advocate, Kolkata
12536 Answers
161 Consultations

5.0 on 5.0

At the time of buying a property, exercise of legal due diligence is essential to avoid getting entangled in legal issues later. Mentioned below are some of the precautions which you must take before signing on the dotted line. 

1. The title of the property forms the foundation of proprietary rights. The title of the seller must be clear and free from any encumbrance. Before you buy a property, verify the title of the seller and also the antecedent chain of ownership. A search of the records at the sub-registrar’s office may be carried out for documents that may affect the property and may have been registered .The report will show the recorded owner of title of the property and changes in the title of the property.

2. If the sale documents are being executed by a person holding power of attorney on behalf of the owner, the said power of attorney should be scrutinized closely. The person must not only possess the legal power to sell property, the power of attorney should also be validly executed before the appropriate authority. Alternatively, a person may have paid the entire consideration to the owner and holds on to the property for some time to sell it at a later date for a profit. The sale will be effected by the power of attorney holder on behalf of the owner. Such power of attorney must be properly stamped and registered. 

3. Always inspect the original documents of the seller and read all the documents carefully before signing them.

4. Always verify documents of title to check payment of stamp duty. If the ownership of property has changed hands more than once, examine all the documents for payment of stamp duty by the predecessors.

5. If the flat that is being purchased is in a building built on a land which is given on lease, lease rent would have to be paid for the land by the flat owners. If the lease is to expire shortly, it is possible that the lease rent may increase substantially. Hence, the terms of the lease must be verified before buying the flat.

6. Occupation certificate should be inspected to ensure that the building has been built legally, especially in case of new buildings.
Ashish Davessar
Advocate, Jaipur
22966 Answers
631 Consultations

5.0 on 5.0

1. Check the genuinilty of the original documents. At times those are faked by the builders/so called owners,

2. Make a title search for 30 years from the Registry office,

3. Make a CERSAI search to ensure that the same flat has not een mortgaged with any Bank,

4. Check the sanctioned plan for constreucting the building and check about any deviation,

5. Verify the mutation certificate,

6. Apply for Bank loan and in that event Bank lawyer will also conduct the above search.
Krishna Kishore Ganguly
Advocate, Kolkata
18160 Answers
438 Consultations

5.0 on 5.0

Check all documents regarding title.  Ask from the owner to present approved site plan and 30 years revenues order. You should ask from him about encumbrances on the property. It might be possible that building is Constructed by loan . collect information from MCD about the dues.
Shivendra Pratap Singh
Advocate, Lucknow
4973 Answers
78 Consultations

4.9 on 5.0

You should also check about transfer right of owner because many colonies are come under the illegal construction and owners of that colonies have no right of alienation. Bank also can't provide loan in respect of these  colonies.
Shivendra Pratap Singh
Advocate, Lucknow
4973 Answers
78 Consultations

4.9 on 5.0

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