Table of Contents
- Property Registration Process In India #1: What is Stamp Duty?
- Property Registration Process In India #2: Step 1: Estimation of the Property Value
- Property Registration Process In India #3: Step 2: Preparation of the Stamp Paper
- Property Registration Process In India #4: Step 3: Getting the Sale Deed Ready
- Property Registration Process In India #5: Step 4: Fix a Meeting with the Sub-Registrar
- Property Registration Process In India #6: Step 5: Collect the Required Documents
- Property Registration Process In India #7: Step 6: Stamp Duty and Registration Fees- Payment
- Property Registration Process In India #8: Step 7: Completion of Registration
- Property Registration Process In India #8: Step 8: The Final Step
Property registration in India is governed by the Indian Registration Act of 1908. It is mandatory to register the documents related to the buying and selling of immovable property under the provisions of the Registration Act of 1908. The house registration process ensures proof of ownership, fraud prevention, and title assurance.
It is vital for the buyers to understand the process of property registration before they shift to a new address. But before moving on to the house registration process, let's clear up a few concepts related to the registration.
What is Stamp Duty?
Stamp duty is a type of tax levied by the state government on the sale or transfer of property ownership. Some documents, like sale deeds, gift deeds, partition deeds, conveyance deeds, powers of attorney, and lease deeds, are where stamp duty is payable.
When we talk about real estate, stamp duty plays a significant role in the costs involved in the house registration process. Buyers have to pay stamp duty and land registration process charges to the state government when transferring ownership. Stamp duty charges vary from state to state.
Under the Indian Registration Act, a document should be registered after the payment of stamp duty. It must be performed under the jurisdiction of the sub-registrar. Following registration, the original copy is kept by the registrar. (Which can be referred to later if a disagreement or dispute arises.)
Also Read: How to calculate the land value in India?
Defining The House Registration Process
To ensure that your property gets successfully and timely registered, here are the steps to follow for the property registration process.
Step 1: Estimation of the Property Value
Estimate the value of your property as per the circle rates in your area. Your stamp duty will be calculated based on the current circle rate as specified by the state authorities or as a percentage of the total property value of the house. You can then compare the circle rate with the actual price paid.
Step 2: Preparation of the Stamp Paper
Non-judicial stamp papers must be purchased in order to cover the cost of the stamp duty. An e-stamp paper can be bought in person, online, or from authorized stamp dealers.
Step 3: Getting the Sale Deed Ready
The deed must now be drafted and typed on stamp papers. An authorized attorney on the buyer's behalf prepares the property's final sale deed. The subject on the sale deed varies from transaction to transaction, such as a sale, lease, power of attorney, mortgage, etc.
Also Read: Everything you need to know about Sale Deed
Step 4: Fix a Meeting with the Sub-Registrar
The buyer has to visit the Sub-Registrar's office to register the deed. The property owner who signed the sale deed documents must be present, along with two witnesses, at the office of the Sub-Registrar of Assurances. Everyone involved in the registration process must carry their documents, including photos, identification documents, and relevant property papers.
Step 5: Collect the Required Documents
When you meet your sub-registrar for the registration of the property, you will need to submit the following documents:
- Government-approved ID and address proof
- No Objection Certificate (NOC) for the property
- Passport-size photographs of the property owner and two witnesses involved in the transaction
- Cash/demand draft for the payment of the stamp duty
- Latest receipt for tax payment
- The latest account statement from the bank shows that it is still paying the home loan on the property.
- Building plan that the concerned authorities have sanctioned.
- Title deeds of the land owner
Step 6: Stamp Duty and Registration Fees- Payment
Once you have the stamp papers ready, you will be asked to pay the stamp duty, whereas the registration charges must be paid before you appear in the sub-registrar's office to register the property.
Step 7: Completion of Registration
Typically, it takes 15 to 20 days to get registered. Once you produce the receipt issued to you during registration, the sub-registrar will hand over the sale deed.
Step 8: The Final Step
Get the original sale deed registered; once done, you can get its verification done using the registry details and date from the Registrar's office.
Concluding It All
In India, it is important to get property registered as it proves your legitimacy to carry out any real estate transaction. If you fail to get your property registered, it will become difficult for you to prove its ownership in the future. So, carry out the registration process carefully and enjoy complete ownership of your property.
Also Read: Registration of property in Delhi