• 1. Checklist for Legal Documents of a Property:
o i. Sale Deed:
o ii. Mother Deed:
o iii. Sale and Purchase Agreement:
o iv. Plan Approval:
o v. Letter of Possession:
o vi. Completion Certificate:
o vii. Khata Certificate:
o viii. Allotment Letter:
o xi. Encumbrance Certificate:
o x. Power of Attorney:
• 2. Land Conversion and Permission
• 3. Tax Payment Records:
• 4. RERA Approval:
• 5. Required Documents From the Bank if The Loan is Outstanding
• 6. On-Spot Inspection:

A house purchase is far more than a fantasy for most individuals. Spending years saving up funds to buy a house is a major undertaking. It’s more complicated in reality, especially for first-time homebuyers. It takes a lot of money to invest in property, so making a mistake might cost you a lot of money down the road. As a result, a buyer must be extremely cautious while reviewing the property paperwork.

Even though the land is a tangible asset, proving who owns it cannot be done with a simple claim of possession. It must be confirmed by several papers that show the property’s ownership. The buyer may guarantee that the investment offers peace of mind and security by getting adequate legal counsel, scrutinizing paperwork, and verifying essential facts relating to the property.

Depending on the property you want to acquire, different paperwork is necessary. There are several options available when it comes to buying property, but there are some factors you have to look up for before purchasing a property. This article will act as a house buyer’s guide.

1. Checklist for Legal Documents of a Property:

Generally speaking, a person cannot transfer a title that is better than his own. To begin, the buyer should perform due diligence to verify the seller’s identification, its type, and marketability, as well as the seller’s ability to transmit a clear and transferable title that is free of encumbrances. In the absence of such documentation, papers for a minimum of a decade will have to be inspected, and the seller may be asked to submit the following documents:

i. Sale Deed:

The Sale Deed is an important legal document that proves the transaction and acquisition of property from the developer to the buyer, as well as the terms of the sale. There are times when, years after purchasing a property, a person may want to sell it for any reason, in which case this paperwork is crucial. The sale deed is generally completed before the sale agreement and after the parties involved have met the terms and conditions of the selling agreement.

ii. Mother Deed:

As the name suggests, the Mother Deed is an important document that shows who owns the property. Most banks need this when a buyer wants to borrow money against the property. It is possible to ask for assistance from the local authorities while preparing this document.

iii. Sale and Purchase Agreement:

In a Sale and Purchase Agreement, the sellers and buyers agree on a set of terms and conditions. Negotiating the market value of the apartment is a perfect epitome. Both the buyers and sellers would decide on the price of the apartment in the agreement.

iv. Plan Approval:

Before construction can begin, the builder must get the appropriate approval under the Building Bylaws, Master Plan, and Local Body Acts requirements before starting construction. The Building Plan and The Layout Approval are required for this permission to be granted. Many first-time homebuyers fail to verify that the builder has adhered to all building plan approval requirements before purchasing a property. Checks by local authorities, which are typical in new structures, might result in unfavourable outcomes if the terms and criteria are not met.

v. Letter of Possession:

If you are planning to buy or sell a Flat in Mohali, you will need a Possession Letter from the builder. In this case, it’s the builder’s name, and it’s produced once the Completion Certificate has been obtained. To be clear, this letter is not proof that you are the owner of the property in question. To do so, the buyer must get an Occupancy Certificate.

vi. Completion Certificate:

This paperwork certifies that construction has been examined upon completion and complies with all laws under the jurisdiction of the municipal corporation or the local development authority. Utility services such as water, electricity, and drainage require this paperwork. Buying luxury apartments in zirakpur without a Completion Certificate is not recommended for first-time home purchasers since the building is regarded as unlawful and can result in a fine or even eviction. If the builder fails to get a completion certificate, the buyer can go to the municipal corporation and request one.

vii. Khata Certificate:

To pay property taxes, a Khata is a revenue document that provides information about the property, such as its size, location, and land area. Additionally, it is used to prove your identity when applying for house loans. Because the Khata Certificate is required to apply for electricity and water service, the house purchase procedure must include it.

viii. Allotment Letter:

If you want to purchase Flats in Chandigarh Mohali that are still under construction, you’ll need an Allotment Letter. There is also information on how to pay for the apartment and any other charges you may have to pay for any extra services. This letter is essential to obtain a bank loan since it specifies the price that the buyer needs to pay in advance.

xi. Encumbrance Certificate:

An inquiry at the jurisdictional sub-registrar office or the official online page of the Ministry of Corporate Affairs would show any registered encumbrance on the property that has been recorded if the seller is a corporation. The purchaser may also publish a public notice in newspapers before closing the deal, asking for any claims from third parties who could be affected.

x. Power of Attorney:

This is a legal document that provides another individual with the ability to act as a legitimate owner on behalf of the real owner, known as a Power of Attorney. The Power of Attorney holder has specific rights that you should know about if you are purchasing Flats in Zirakpur.

2. Land Conversion and Permission

In a period of rising rapid urbanization, the conversion of agricultural land to non-agricultural use is becoming increasingly important. At the same time, some state laws limit the acquisition of agricultural land by non-agriculturists. To begin with, the buyer must review the Master Plan to ensure that the property is built in line with the municipal plan, such as residential/commercial/industrial, public/semi-public, parks and open spaces, etc. If the actual use of the site differs from the notified zoning, the Town Planning Authority must issue a change of land use permit.

3. Tax Payment Records:

A charge is placed on the property when taxes aren’t paid, reducing its marketability. If the seller hasn’t paid his property taxes, the buyer must check with local authorities. Ask the vendor for all utility bill documents. As soon as the property is transferred to your name, you will be responsible for paying any outstanding debts, whether they are utility bills.

4. RERA Approval:

As a result of the RERA, developers are required to register their developments with the organization created by the law. Those looking to invest in real estate within the scope of the RERA are urged to check if that Property price in Chandigarh has been registered. If there are any instances or complaints made against the developer of the project, the information available on the official RERA web page for each state gives helpful insight into the credibility of the developer and the project and helps the buyer understand the information.

If you are buying Flats in Mohali, you should be aware that the law requires all real estate brokers to be registered with the state RERA. Do not engage a real estate agent unless you have verified his RERA registration. Be aware that agents must regularly renew their RERA registration. Verify that you’re working with the proper individual before making any decisions. An important benefit of having a governance framework is that it enforces a standard operating procedure and penalizes those who violate it.

5. Required Documents From the Bank if The Loan is Outstanding:
Performing due diligence on the property you are buying is important if there is a loan on the property that needs to be paid off. Potential buyers can ask the seller to pay off a portion or all of the outstanding house loan balance, then get the original property paperwork from the bank, and have the property registered in their name.

You could also ask for the purchaser’s loan to be transferred to your name if you plan to take out a loan to acquire the home. Before transferring the loan to your name, the bank will do a Know Your Customer (KYC) check, verifying your eligibility and verifying the seller’s records. Ask the bank for a copy of the title papers and statements relating to the loan overdue due to check that everything is in order and that there is no confusion. Before making a purchase, the buyer should request that the loan be closed and get a ‘no dues’ certificate from the bank.

6. On-Spot Inspection:

When it comes to purchasing flats, then you must conduct a physical inspection to verify the property’s size and dimensions. If you own land, you should define and delineate the property’s boundaries and access points, as well as any other physical features that may interfere with your utilization of the asset.