Homebuyer’s Essentials: Important Documents for Ready-to-Move-In Flats
Posted On December 7, 2023
Like instant noodles, ready-to-move-in properties in India attract investors who do not wish to wait. Ready-to-move-in flats are stealing the spotlight in Real Estate India as homebuyers love the hassle-free vibe!
No more waiting for construction to wrap up or delays in handing over – these possession-ready flats offer security and convenience. These properties offer the flexibility to move in or generate rental income immediately.
However, it is not all smooth sailing. Buying real estate properties is not a straightforward deal, and before making a purchase, it is crucial to verify the necessary documents to ensure a secure and lawful transaction.
We list the absolute must-have documents buyers should verify before buying ready-to-move flats in India.
Table of Contents
1.Title Deed of Your Ready-to-Move-In Flat
The title deed is the cornerstone of your home purchase.
It is a legally registered document showing the property’s sale and transfer. When buying a ready-to-move flat, verifying the original title deed is essential to ensure that the seller, whether a builder or developer, legally owns the property and has the right to sell it.
Take the help of a lawyer to conduct a thorough check of the property title and ascertain if there are any other owners or legal complications associated with the property.
2. Completion and Occupancy Certificates
The completion certificate (CC) and the occupancy certificate (OC) are crucial documents in the property acquisition process. The municipal authorities issue the CC upon the completion of the project and attest to the fulfillment of building requirements. It assures the buyer that the construction has been carried out per the approved plans and regulations.
Similarly, the local authorities issue the OC and indicate that the property is fit for occupancy. It certifies that the necessary facilities, such as water, sewage system, and electrical connections, have been provided in the property.
Verifying these certificates are authentic ensures the builder has complied with all the regulatory requirements.
3. Building Plan of Your Ready-to-Move-In Flat
The building plan is an important document that shows your future home’s approved blueprint. The local municipal authorities approve it and include details such as the layout, equipment placement, and utilities.
By reviewing the building plan, you can ensure that the property you are buying aligns with your expectations and matches the approved design.
4. Encumbrance Certificate: Confirming a Clean Slate
To protect your investment from any legal or monetary liabilities, verifying the property’s encumbrance certificate is crucial.
This document can be obtained from the local sub-registrar’s office where the property is registered and states that the property is free from any outstanding dues or legal complications. The encumbrance certificate ensures that there are no encumbrances on the property that may affect your ownership rights.
5. Mutation Certificate: Establishing Ownership and Tax Liabilities
The mutation certificate, also known as the possession letter or certificate, plays a vital role in establishing the property owner’s identity in the government records.
Verifying this document to confirm your ownership rights and understand your tax responsibilities is essential. The mutation certificate ensures that the property has been legally transferred to you and that you are the rightful owner.
6. General Power of Attorney: Validating Authorized Transactions
It is essential to check if the property’s previous sale or purchase was executed through a General Power of Attorney (GPA). The GPA is a legal document that authorizes someone to act on behalf of the property owner.
If the property transaction involved a GPA, it is advisable to obtain a copy of the document to validate the authorization of the transaction.
7. No Objection Certificates: Assurance of Regulatory Approvals
Government authorities, such as electricity boards, safety boards, gas agencies, and water boards, issue No Objection Certificates (NOCs) to verify that the property has obtained all the necessary approvals. These certificates ensure the property meets the required safety standards and regulatory guidelines.
It is important to check if the builder has obtained all the relevant NOCs to ensure a hassle-free ownership experience.
8. Sale Agreement: Ensuring Builder’s Commitments
The sale agreement is a crucial document that outlines the terms and conditions of the purchase between the buyer and the builder. It includes details such as the number of apartments, payment terms, delivery timelines, and the amenities promised by the builder.
By thoroughly reviewing the sale agreement, you can ensure that the builder has provided everything as promised and that you are protected in case of any discrepancies.
9. Mother Deed: Tracing the Property’s Ownership
The mother deed is a document that traces the property’s ownership history. It provides information about all the previous owners and is a crucial document for property verification.
It is advisable to obtain a copy of the mother deed from the local authorities and keep it safe for future reference.
10. Sale Deed: Essential for Property Transfer
The sale deed is a legal document that transfers the property’s ownership from the seller to the buyer. Executing the sale deed after fulfilling the conditions mentioned in the sale agreement is necessary. The sale deed becomes crucial if you decide to sell the property in the future.
Additional Documents and Checks
In addition to the documents mentioned above, there are a few other documents that you should consider before buying a ready-to-move flat. These include:
Building Approval Plan: Verify the builder’s approval for the building plan from the relevant authorities.
Possession Letter: Obtain the possession letter from the builder after receiving the completion certificate. It confirms the transfer of possession to the buyer.
Khata Certificate: This revenue document contains details of the property and is essential for paying property taxes. It acts as proof of ownership while applying for a home loan or selling the property.
By thoroughly verifying these documents and conducting the necessary checks, you can ensure a secure and hassle-free buying experience when purchasing ready-to-move flats in India. Remember to seek legal advice and conduct due diligence before investing in real estate properties.
A Few More Tips
When purchasing a ready-to-move flat, it is advisable to thoroughly inspect the property to check for any structural or functional issues.
Consider engaging the services of a professional property inspector to assess the as-is condition of the flat and identify any potential problems.
Research the builder or developer’s reputation and track record before purchasing. Look for customer reviews, previous projects, and their financial stability. Talk to other investors who have bought properties in the same project or neighbourhood.
Location, amenities, and property value are important factors when buying a ready-to-move flat. Research the neighbourhood, proximity to essential facilities, and the future growth potential of the area.
Ready to Move In?
Buying a ready-to-move-in flat in India requires careful consideration and verification of several essential documents. Follow the guidelines mentioned in this article, and make an informed decision to ensure a smooth and secure home-buying deal.
Remember to prioritize legal compliance, regulatory approvals, and the builder’s commitments to maximize your real estate investment. Contact us at www.savemax.in for any assistance or answers to your questions. A few FAQs are listed below for your benefit.
Q1: List of documents required for buying a ready-to-move-in house?
The documents required for buying a home typically include the sale deed, mother deed, sale and purchase agreement, building approval plan, possession letter, completion certificate, khata certificate, and allotment letter.
Q2: Which documents are essential to verify before buying a flat?
The documents that are important to verify before purchasing a flat include the title deed, intimation of disapproval (IOD), commencement certificate (CC), encumbrance certificate (EC), approved layout plans, purchase agreement, and occupancy certificate (OC).
Q3: What are house documents?
House documents refer to legal documents such as the sale deed and title deed that establish ownership and transfer of property rights.
Q4: What is the procedure for buying a house?
Buying a home involves choosing a property, conducting due diligence, negotiating the terms, obtaining necessary documents, completing the legal formalities, and taking possession of the property.
By following the guidelines in this article and thoroughly verifying the necessary documents, you can embark on a safe and rewarding journey towards owning your dream ready-to-move flat in India. Remember to prioritize legal compliance, conduct due diligence, and seek professional advice to make an informed decision.