A property is owned by 2 sisters. Elder sister wants to transfer her share of property to the younger sister. How can this be done so that after transfer, younger sister is the sole property owner? Will a letter stating "I claim no rights to the property" signed by notary suffice? Thanks Ronnie
1) mere letter by elder sister would not suffice
2) elder sister has to execute gift deed or relinquishment deed for her 50 per cent share in property in favour of younger sister
3) gift deed or relinquishment deed should be duly stamped and registered
Hi
1. The sister has to issue a relinquishment deed or release deed Or a gift deed in favour of the younger sister.
2. The deed has to be registered release deed as it involves the transfer of immovable property.
3.If the property is ancestral one release deed will not have a heavy stamp duty,.
Both ways are legally correct but notarised affidavit is not sufficient.
If it is flat in a registered society and parties are legal heirs ,there shares can be transferred through a notarised affidavit.
This can be done by way of execution of gift deed or deed of release/relinquishment whereby the one sister transfer her half share to the other to make her absolute owner of the proeprty.
Such deed must be registered on payment of stamp duty.
The letter you have mentioned has no value in the eye of law and hence is not enforceable in court.
Elder sister can GIFT away her share, title and rights in respect of the property absolutely in favour of her younger sister, this GIFT DEED must be registered in the office of the sub-registrar, within whose jurisdiction the property is located.
Alternatively the elder sister can also Relinquish or Release her 50% share in the property in favour of the younger sister as well. Both these forms of conveyance within family members do not attract stamp duty at Market rate. There is a fixed stamp duty payable which is very negligible.
The option suggested or proposed by you, i.e., Letter stating "I claim no rights to the property" duly signed and attested by a notary will not be sufficient and legally binding on the transfer.
1. The elder sister can execute a Release Deed relinquishing her rights over the property in favour of her younger sister, thereby the younger sister would become the Absolute Owner of the property or
2. The elder sister can gift her share of the property to her younger sister by executing a Gift Deed in her favour. The transfer of property to younger sister takes immediate effect, when once the younger sister accepts the gift during the lifetime of elder sister itself or
3. The elder sister can execute a 'WILL' bequeathing her share of the property to her younger sister, here the transfer of property to the younger sister takes effect after the demise of the elder sister.
4. A notarised letter claiming "NO RIGHTS" does not transfer the property to the younger sister..
It can be done through execution of a gift deed which will have to be mandatorily registered and stamped unless the state in question exempts the gift deeds between blood relatives from the payment of stamp duty. To write a letter stating what you have stated will not suffice.
If one sister wants to give away her share of property to another sister, she can execute a registered release deed in her favor by which her share shall stand transferred automatically on the co-sharer.
Alternately she can execute a registered gift deed or registered sale deed in favor of the other one..
The elder sister will not be available at the registrar office for making the deed. So elder sister will give power of attorney to the younger sister. Does the younger sister have to be present at the notary office for this? Is there any way the POA can be done without the POA holder being present at the notary office?
POA by elder sister in favour of younger sister needs to be registeted
2) mere notarisation won't suffice
3) elder sister presence would be required at registration office
The elder sister wishes to transfer her rights in the property to her younger sister, as such it would be better if the POA is given in favour of any other family member and not the younger sister.
It is necessary that the POA must be registered, however the executant alone can be present at the time of registration and the attorney need not be present. A Notarized POA is not valid in such transactions.
1.Let the elder sister execute POA in favour of some other family member like Father or Mother or brother or her younger sister or her husband to be present in the Sub-Registrar's Office to execute the Deed.
2. For registering the Deed there is no need to avail Notary services.
3. The very purpose of authorising someone through POA is, the POA holder has to attend the registration proceedings on behalf of the Principal in the Sub-Registrar's Office.
The POA given by one sister to another has to be registered before a registrar.
If the principal lives in India, she can get the pOA registered from the jurisdictional registrar within her residential territory.
If she is residing in a foreign country then she can get the power of attorney deed executed in that country duly attested by a notary or an official of the Indian embassy or High commission in that place, send it by a sealed cover to the power agent in India, who shall submit it before the concerned registrar where the property situate, the registrar after verifying the identity of the power agent shall register the same after collecting the requisite stamp duty and the registration charges and the power agent's signature, after which the power agent can act on behalf of the principal to register the registered release deed in favor of another sister.
If she in unavailable then she may execute a POA in favour of a blood relative to authorize him to represent her before the sub-registrar The younger sister has to be personally present before the registrar.