• Documents that must be verified before buying land in Bangalore

I am planning to buy a site in Bangalore, the land developer is asking me to give a post dated cheque  for Rs. 1 lakh to give the documents for verification. I checked with multiple builders and it seems a general practice. request your advise.

Also request you to let me know what are the documents that I MUST obtain from the developer for verification.

Few additional details for your consideration
1. Its a BMRDA approved layout
2. The layout is complete and ready for construction
3. Only few sites are left in the layout
4. LIC housing finance has approved this layout for Housing Loans
Asked 1 year ago in Property Law from Bangalore, Karnataka
Religion: Hindu
1) you can contact a local lawyer 

2) take 30 years title search to find whether title is clear and marketable . 

3) check whether plans are sanctioned . 

4) check whether builder has original chain of title deeds 

5) commencement certificate issued by corporation . 

6) the fact that LIC housing finance has approved  project  does indicate that builder has requisite approvals for starting construction
Ajay Sethi
Advocate, Mumbai
23346 Answers
1221 Consultations
5.0 on 5.0
Hi, don't give any cheque to the Builder for obtaining the documents first you have to collect the documents from the builder and get the legal opinion from the advocate.

2. Because if the title to the documents are not clear then builder will not repay the amount of Rupees 1,00,000/- and you have to incur 1 lack for the documents.

3. Normally, 30 years  of the documents we have to verify  while giving legal opinion.

4.  It is better get the legal opinion form the advocate and thereafter proceed with the matter.
Pradeep Bharathipura
Advocate, Bangalore
4105 Answers
133 Consultations
4.3 on 5.0
Hi,
 1. Builder's demand of post dated cheque is unreasonable what if you are not satisfied to buy the plot after perusing/verifying  the documents.

2. If it is approved by BMRDA and LIC has been approved for housing  loan , the legal documents of title, permission  etc will be in place. However it is necessary to take due diligence in buying it. 

3. the documents you need to verify are:-

a. original sale deed, mother deed

 b. Search Report(It provides details of the original property holder, property history, charges on the property,  current property status )

c. a re-allotment letter or re-conveyance deed in case the property is re-conveyed by the BDA.

d. Khata Certificate and Khata Extract

e.Encumbrance Certificate (EC):

f. Betterment charges receipt(Betterment charges are also known as improvement fees/development charges that are to be paid to the BBMP before a Khata can be issued. Currently the developers are entitled to pay a fixed amount as betterment charges to the municipal body. A receipt of the same should be obtained at the time of property buying).

g.  Conversion Certificate (if it is an agricultural land converted to non-agricultural)

h Power of attorney if any(need to be very careful if there is one as the title tranfer depends on it)

i.  Latest tax paid receipt:

j. verify that all the agreements involved are duly  stamped according to Karnataka Stamp Act, 1957
Thresiamma G. Mathew
Advocate, Mumbai
1316 Answers
85 Consultations
5.0 on 5.0
Nature of Property : Ancestral, Self Acquired, Joint Family Property, Granted land from the Governement Etc.
Sale Deed, Partition Deed, Grant Certificate, Gift Deed, Will  (It should be Registered Document except Will)
Khatha Extract and Certificate
Tax paid receipts
RR, ILR if the property is ancestral
Index of Land, Hiduvali Chit
Karda copy, Saguvali Chit if granted
RTC and Mutations
Mortgage Deed if any transaction visible in RTC colum 11
Litigation status if any proceedings visible in RTC colum 11
79 A and B Endorsement : endorsement certifies that there no cases pending against the person owning the agriculture land / property.
7, 48 A Endorsement
Encumberance Certificate since 1940 to till date
RR Balabaga, Akarbandh
Hissa Survey Tippany, Atlas
Village Map, Survey Sketch
Family Tree
Land Acquisition Status: Endorsements from State Revenue Authority certifying the Govt. acquisition status for the property for instance Notification by B.D.A. or KIADB for acquisition.
Patta Book
Podi Extracts: Property partition document among siblings if any.
11 E Sketch
Conversion Notice If the land converted
Change of Land use
Converstion fee payment receipts
Official Memorandum
Police complaint if any document lost
Paper publication, Affidavits
No Claim received acknowledgement from the Advocate towards the public notice via paper pulication
Endorsements from the KIADB, BDA confirming that the layout area has not been proposed for land acquisition for any project as on date (this applies to properties in Bangalore periphery)
If the land belongs to Layout: Layout plan approved by BDA/BMRDA/BIAAPA/NPA/KPA/MPA/BMICAPA depending on the jurisdiction.
Relinquishment deed (for open spaces)
PTCL Endorsement
GPA or SPA for land transactions
Agreement for Sale, lease Deed in respect of land if any
Land owners ID Proof
Mysore Survey Settlment Register VIII
Records of Right
If the land settled before the Court, Plaint, Written Statement, IA, Interim Orders, Decree, Compromise petition, Court Orders etc.,
Comprehensive Development Plan (CDP)and ODP, Zonal Regulation Map and Survey Map. Apart from the above property should not come within the Green Belt Area.
 Form No. 1 Affidavit (2 set):- Stating that registration of the said document does not violate the notification issued under section 22A of the Registration Act. 
Form No. 61 (If the value of the property is Rs. 5,00,000/- or more) 
Form No. 60 (Under IT Act).
Extract of assessment register of the property. For Agricultural Land: - No objection certificate from Tahsildar. (If the property is a granted land or occupancy rights have been granted under Land Reform Act, 1961, then no object certificate from the concerned Tahsildar to be obtained).
Check if there are any court claims/litigations in respect of the property in question.
Check if there are any minor claims in respect of the property in question.
Check if there is any objection at the jurisdictional sub-registrar’s office for the sale of the property in question.
Check out for any road cutting across the property
Check if there is any high-tension wire over the property in the question.
Check for any road widening.
Check for defence acquisition if any.
Check if any mortgage or agreement holders.
Finally, contact a local advocate to obtain legal opinion over the property.
B.T. Ravi
Advocate, Bangalore
736 Answers
31 Consultations
5.0 on 5.0
1. Since the title of the property forms the basis of proprietary rights you must inspect all the documents in the chain ownership. The title of the seller must be clear and free from any encumbrance. 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. It must be ascertained whether the builder gas the necessary clearances or not. Inspect the plans threadbare to check whether they have been sanctioned by the concerned authority. 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. 

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

4. Occupation certificate should be obtained to ensure that the building has been built legally, especially in case of new buildings.

5. Also check if the property is the subject matter of litigation in a court.

6. Engage a local lawyer to carry out due diligence.

7. A builder seeking money to  give documents for inspection is a bad practice.
Ashish Davessar
Advocate, Jaipur
18183 Answers
449 Consultations
5.0 on 5.0
Must see these documents :- 
1. Sale Deed :- transfer of ownership of the property from the seller to the builder, in many cases builder executed POA and sell out all flats through it  for saving taxes. 
2. Building approval plan:- A building plan is sanctioned by the BBMP (Bruhat Bengaluru Mahanagara Palike) without which the construction of the building is illegal under the Karnataka Municipal Corporations.
3. Conversion Certificate (Agricultural to Non-Agricultural land): With a vast amount of land being agricultural in nature in Karnataka, a Conversion Certificate is mandatory to be obtained from the legal body for the property. A Conversion Certificate is issued to change the use of the land from agricultural to non-agricultural purpose from the competent revenue authority.
4. 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. ‘A’ Khata has properties listed under BBMP jurisdiction with legal property construction.
5. Encumbrance Certificate (EC):- Encumbrance means charges in the ownership or liabilities created on a property that is held against a home loan as security. lack of this certificate you may have problem to get loan.
Shivendra Pratap Singh
Advocate, Lucknow
2771 Answers
41 Consultations
4.9 on 5.0
Hello,

You need to verify a number of documents before you actually purchase the land. Let me list them below:
1) Title Deed.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.The buyer should check whether the property has a clear title. He/she should also confirm if the property is subject to any encumbrance charges.

2) You need to verify the parent document- chain of documents.Mother Deed, also known as the parent document, is an important legal document that traces the origin/antecedent ownership of the property from the start (if the property has had various owners).Always insist upon seeing the original documents.

3) Conversion Certificate (Agricultural to Non-Agricultural land):With a vast amount of land being agricultural in nature in Karnataka, a Conversion Certificate is mandatory to be obtained from the legal body for the property. A Conversion Certificate is issued to change the use of the land from agricultural to non-agricultural purpose from the competent revenue authority. 

4) Khata Certificate and Khata Extract:Khata is derived from the word ‘account’. It is an account of a person owning a property. It typically consists of (a) Khata Certificate and (b) Khata Extract. A Khata Certificate is mandatorily required for the registration of a new property and the transfer of a property. 

5)  Encumbrance Certificate (EC):Encumbrance means charges in the ownership or liabilities created on a property.An EC consists of all the registered transactions done on the property during the period for which the EC is sought.


6) Latest tax paid receipt:Receipts for property tax bills ensure that taxes for the property are paid up-to-date to the government/municipality. For properties falling under the BBMP jurisdiction, it is mandatory for property taxes to be paid up to date so a buyer could get a Khata issued in his name.

7)  If you are planning to construct a house you would obviously have to obtain requisite approvals from local government authorities.
S J Mathew
Advocate, Mumbai
1953 Answers
65 Consultations
5.0 on 5.0
1.  Mother deed.
2.  Revenue records like RTC/Mutation Register extract/Index of land/settlement/Akarbandh.
3.  Conversion order.
4.  Approved layout plan.
5. Khata extract.
6. Tax paid receipt.
7. EC for 13 years or more.
8. Betterment charges receipt
9. Approval from BMRDA
Shashidhar S. Sastry
Advocate, Bangalore
1242 Answers
59 Consultations
5.0 on 5.0
1. Issue a letter enclosing the PDC stating there in that the said PDC will be returned to you in case you decide not to buy the flat for not being satisfied with the documents provided after conducting due dilligence,

2.Collect the copy of the title deed of the land, development agreement, sanctioned constriuction plan, mutation of property/land in the name of the owner, tax payment receipt, draft copy of the agreement you will execute with him and also the raft copy of the sale deed,

2.Get the said papers through your advocate,

3. Takeloan while buying the said flat and in such case the Bank will get the property searched by its own lawyer to be sure about the clear title of the property.
Krishna Kishore Ganguly
Advocate, Kolkata
12131 Answers
233 Consultations
5.0 on 5.0

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