GPA has to be registered in mahrashtra where your mother is residing
2) on that basis you can purchase property in joint names
3) as per assignment agreement your mother also has share in property
Notarised GPA for cosigning sale deed purchasing flat in Bangalore
Hello, I am buying a resale flat which is ready to move un-registered from Person X and Builder Y. Recently we got the assignment agreement done. Me, my wife and my mother will be the co-owners of the flat. In the assignment agreement, all 3 of us are mentioned and signed. The agreement we got posted to mother, got signed, and got it back. My mother is in Maharashtra. Now the sales deed will happen at sub-registrar between me and the builder Y with person X as a witness. Due to Covid situation, my mother cannot travel to Bangalore where the flat is located. The builder gave us a reference notarised GPA copy, based on which I asked my mother to make a notarised GPA in Maharashtra and send me. Now I am reading that GPA has to be registered without which it's not valid. In this Covid situation nor her nor I can meet at a common place to get this GPA registered, so the question is will notarized GPA will grant me the power to sign on her behalf in front of Sub registrar? Will sub-registrar allow this? What is the alternative? If sub-registrar does not allow then if we decide to go ahead and registrer only on my and my wifes name, that will create contradiction with the assignment agreement. Will that be an issue later.
Asked 5 years ago in Property Law
Religion: Hindu
16 Answers
1. See sub-registrar may allow the notarized GPA from mother to blood relative since you are buyer here and seller is present and confirming so the SRO may not take objection on the GPA.
2. You may confirm with the jurisdiction Sub registrar and he may confirm the same to you.
Yes, on the basis of the notarized POA no immovable property can be transferred.
In other words only the registered POA would do this.
So you will have to visit place if the Principlak so POA can be registered only in presence of both Principal and Attorney.
Do accordingly.
1. Assignment Agreement is only a intermediate agreement, having no legal enforceable value. The Final Sale Deed is the legally enforceable agreement for all futuristic legal purposes, like Sale /Gift /Donate /Mortgage /whatever ....
2. Person "X" should not sign as "witness". He should sign as "Consenting & Confirming Party" on the final Sale Deed.
3. Notarized POA is legally infructuous and legally not binding.
CONSIDER THIS:
1. ONLY a proper Stamp Duty paid (500/-) and Registered POA holder is entitled to execute any immovable property transaction before the local registrar of sub-assurances. Online POA Registration facility is not available, as yet. IF the POA is not registered, THEN the whole proceedings shall remain illegal. POA can be given to "ANYBODY", irrespective of relationships. Stamp Duty on POA is not the same as Stamp Duty paid on Sale /Purchase Deed.
2. POA may have strategic clauses and time limitations of the deal (payment terms, validity time period of the POA document ....), for safety of the POA giver.
3. POA can be registered "ANYWHERE" in India, before the local registrar of sub-assurances and shall be valid throughout India. Stamp Duty on POA is not the same as Stamp Duty paid on Sale /Purchase Deed. A Notarized POA is legally infructuous for immovable properties.
4. POA document can be endorsed abroad by the local consulate office and SUBSEQUENTLY stamp duty paid and registered in India, for it to be legally enforceable.
5. IF person CANNOT go to Registrar office to register POA, THEN Registrar's officer can be requisitioned to visit home, to register POA, on payment of due fees by following due procedure of law.
6. As per a SC judgment, "Immovable Property" CANNOT be sold using a GPA and such GPA and Sale shall remain legally null & void.
You can later execute gift deed to make mother joint owner. Notorise GPA to execute sale deed is not valid. Only way out if sub registrar at palace may validate the GPA after paying registrstion fees.
No contradiction, assignment is just for the purpose to lock the deal, no property right
@Yogendra: Executing gift deed, can I still retain ownership of the property? Can I make my mother a joint owner by gift deed? Should she come to Bangalore later and how much money we have to pay, the same amount one paid during sales deed? @Shubham: In case Sub-registrar allows, then does this constitute legality meaning next time when if I sell, no objection can be raised.
Asked 5 years ago
- As per law, without Registration a buyer has no legal right over the property even he has cleared all the dues with the builder, and further cannot sell it to anyone under the Transfer of Property Rights Act.
- Since, you want to purchase the said property from person X , then you should approach her builder and request him to make changes in the Builder-Buyer Agreement and transfer the ownership rights in your name.
- As per rule the builder after collecting processing charges , can register the property in your name. This processing fee is charged to change the Builder-Buyer Agreement.
- Further , as you already signed the assignment deed , then legally the Sale deed can be executed in favour of you and others.
- Further, as your mother can be present before the registrar through a SPA/POA , and if the power is given to any relative , then Registrar can a notarised POA as well. hence you should approach for the same .
- Further as the said agreement executed by the builder having three Vendees , then in the absence of your mother , there may be issue later.
You can gift her part ownerhsip to make her joint owner. Gift deed between blood relatives attracts low stamps duty. Half of sale deed duty which will levy on DLC rate and not on sale amount. DlC rate is very low.
And in some states, excemption on stamp on gift between blood relatives,
1) you would have problems in sale of property later if GPA is not registered
1. Yes, no objection for same shall be there during the future sale.
1. Let your mother sign the GPA and send it to you, without getting it notarised.
2. After your signature, get the GPA registered in the jurisdictional Sub Registrar's Office.
The registration is open and even there is an option of online registration. The sub registrar will not allow the unregistered GPA for sale deed
Notarised GPA will not be a valid document to execute the contents of the GPA by the power agent on behalf of the principal, the GPA deed should be in registered document for the transaction in respect of the immovable property.
You are actually making simple things into a complicated one.
What was the necessity to get this assignment deed prepared in favor of three people.
If at all you want to include your mother's name in the registered sale deed, you are already aware of the current pandemic situation and the lock down etc., hence you may either wait for the situation to improve or dont get your mother name involved in the assignment deed.
You can ignore the assignment deed instead enter into a tripartite agreement with the builder and the seller and yourself with your wife and get the sale deed registered on your name as per the conditions of the tripartite agreement.
If you want to make your mother as a joint owner you may transfer a share in the property to her name by executing a registered gift deed, you may have to pay the stamp duty only to the value of the share of property transferred to her name by this gift deed.
Sub registrar will not allow you to represent your mother on the basis of the notarised GPA, because for any transaction involving the immovable property, it is mandatory to be done by a registered document only.
Registration of GPA is not compulsory under the Registration Act. Notarized GPA is not valid for registration of sale deed.
You need Special Power of Attorney executed by your mother in Maharashtra and be registered at Bangalore Karnataka under Registration Act which is Compulsory.
Special Power of Attorney will authorize you to get the sale deed registered before Sub Registrar.
The gpa has to be registered.
Regards
Your mother can execute GPA and get it registered without your presence and send it to you via courier or registered post.
