Hello, I want to buy a residential flat in Bangalore from NRI staying in the USA. Flat is registered in the name of husband and wife and both are NRI. They want to execute the sale using the POA. Husband, Mr. A does not have any blood relatives in India. Wife Mrs. A has her sister residing in Bangalore. Below is the process that I learned while reading about it on the internet. Both parties Should sign the sale deed and execute it in the Indian embassy in the USA. Put their photo in every docs sale deed as well as SPA. SPA should be given to the sister of Mrs. A to present the docs in Bangalore from both of them. This SPA also has to be executed(attested) by the Indian embassy, send it Bangalore. The District registrar will execute(register) here both(SPA and Sale deed) and give permission to execute Bangalore sub Register to execute the sale deed in favor of Purchasers. I need your expert opinion about the step-by-step process that I should follow. Could you help me with the process?
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The SPA had to be executed by the owners. That is correct. After registering the SPA tge sister living in India has to execute sale deed on behalf of the owners. The other party would obviously remain present.
Now a local lawyer should be engaged and he will help you in getting all the documents perfectly correct so that there is no delay.
1) if SPA is attested before Indian consulate it does not require registration in India
2) SPA should be on stamp paper or franked before it is signed by husband and wife
3) registration of sale deed has to be done within period of 4 months of execution
Hi, Husband and wife can execute the General Power of Attorney in favor of Wife Sister. Here the sister is not a blood relative of the husband so he need to pay the stamp duty on the market value of the property. Once the General Power of Attorney has executed it must be attested either Indian Embassy or Notary in the USA.
2. Thereafter, it must be adjudicated in the District Register and here you need to pay the Stamp duty on the market value. Once you paid the Stamp duty then District Register will adjudicate the GPA. Thereafter you can prepare the Sale Deed and the GPA Holder can executed the Sale Deed on behalf of you.
The vendors in the USA need to execute a special PoA in favour of any relative or friend in India (preferably in Bangalore) there. It can be either notarized or attested by the Indian Embassy/ Consulate in the USA. Then, it has to be sent to India and adjudicated at the land registry (meaning payment of stamp duty at the appropriate rate). Thereafter, the sale deed can be executed and registered by the power agent on behalf of the principals.
1. First step is the POA is to be prepared indicating Husband and Wife, together called as Principal appointing wife's sister as the Attorney/Agent.
2. After the signatures of husband and wife on the POA, it has to be notarized in USA or the POA has to be got countersigned by an official of the Indian Consulate.
3. Then the POA has to be sent to wife's sister, who is in Bangalore for her to arrange for adjudication in the jurisdictional District Registrar's Office.
4. The adjudication charges for the Principal (Husband) appointing a non-blood relative (sister-in-law) through POA, i.e., will be 5% of the value of share in the property he is holding and from wife to her own sister, the adjudication charges will be nominal.
5. After the adjudication is completed, the POA has to be produced in the jurisdictional Sub Registrar's Office by wife's sister for registration of the Sale Deed ( after the sale deed is prepared ) and put her signature, on behalf of her brother-in-law and sister.
6. If an offer is made, I am ready to lend my professional help.
The sellers can execute a SPA jointly in favor of the chosen power agent back in India duly notarised by a notary public in the country of your residence or can be attested by an official of the Indian embassy at your place.
The sale deed cannot be executed in a foreign soil and registered in India.
Since you are not able to execute the same before the registrar in India,e authorising your agent to carry out this task on your behalf, hence that will be sufficient.
The SPA can be adjudicated before the concerned registrar within which the property is located.
Sale deed cannot be done in embassy it can be done before registrar office in india
Follow up question: Since the SPA is being done from both husband and wife in the wife's sister name.SPA is being attested in the Indian embassy and adjudication is being done here in Bengaluru. Here adjudication means only validation and attestation. The physical Sale deed is being signed by the husband and wife in the USA and couriered back to us. SPA is only acting as a presenter at the registrar in Bengaluru where the sale deed will get executed. Will this process work and have legal validity?
document relating to an immovable property can be executed out of India and later it can be presented for registration in India. As per Section 26 of The Registration Act, 1908 if a document purporting to have been executed by all or any of the parties out of India is presented for registration within the prescribed time, the Registering Officer may, on payment of proper registration fee, accept such document for registration if he is satisfied that :
a) the instrument was executed out of India.
b) the instrument has been presented for registration within four months after its arrival in India.
1. The procedure suggested by you in respect of execution of physical Sale Deed by the husband and wife in USA will not work/ nor will it have any legal validity.
2. SPA will execute/sign the Sale Deed in Bangalore, on behalf of the Principal, in favour of the prospective buyer.
The seller s cannot execute a physical sale deed in a foreign soil.
They have entrusted the job to the power agent back in India, who shall execute the registered sale deed on their behalf.
This is the legal procedure to be followed under the given circumstances.
You better take the advice of a local lawyer instead of misinterpreting the law and coming to a conclusion on your own with the incorrect procedures.
The purpose of giving SPA to the power agent is to execute the sale deed on behalf of the sellers in favor of the buyer.
If the sale deed is signed in the USA, it will not be valid here. The power agent needs to execute the sale deed on behalf of the principals and register it.
Yes it can be attested there and adjudicated in bengaluru.
They need to sign here before sub registrar otherwise need to appoint power of attorney
Dear client,
Yes, unlike a GPA, if you were to go ahead with an SPA then this would be considered as valid as the SPA's power's are revoked after the specific act has been carried out.
Thank you.
