Land registration in India is regulated by the Registration Act of 1908. Registration of property involves compliance of some papers, payment of fees and stamp duty, and signing of documents by the seller and the purchaser. In India, there is a rule regarding immovable property and its transfer. According to the law, any contract with a value of more than Rs 100 must be registered. So, registration is necessary wherever there are a sale and purchase of property or transfer of property.
Registration of Property
When there is a transfer of property from one person to another, this contract must be validated by registration at the sub-registrar’s office after following the due process, and this process is termed as the registry of property.
The registration of property in India generally requires the following moves:
- Verification of the title deed of the property
- Formulation of Sale Deed
- Payment of Stamp duty: The registration fee for a property is 1% of the property value, subject to the highest limit of INR 30,000. However, the stamp duty differs in each case, which is about 3-10% of the property value.
- Approach the sub-registrar for registration: The parties to the deed, along with two witnesses, have to go to the office of the Sub-Registrar of Assurances, in whose jurisdiction the property situates.
Online Land Registration or Property Registration
Firstly, one must live in a state that enables online land and property registration.
- It is noted here that only a particular part of the property registration process can be completed online, even if one lives in the state that offers online property registration.
• One can assess the circle rate in the area to decide the total cost of the property.
• One can estimate the stamp duty and registration amount.
• One can pay stamp duty and registration charges online and get a receipt.
• One will then have to make an appointment and visit the sub-registrar’s office for the final registration of the property.
- The payment must be made online. An appointment for registration of property can be booked only after payment of the requisite stamp duty and registration charges online. The payment must be made using a debit card, credit card, or net banking.
- TDS must be paid online. In case the deed value surpasses Rs 50 lakhs, the buyer will have to pay 1% TDS on the property value online and get a printout of the receipt. This paper would be needed at the time of physical authentication as evidence.
- The mobile holds the key till the completion of the process. Not only would one get on SMSs one-time passwords (OTP) during registration, but a message would also be sent regarding the appointment and process completion.
- E-stamp papers must be bought online, and the registration charge must be paid online. All the documents must be displayed in front of the sub-registrar for verification.
There are specific data that requires to be provided for online property registration. Here are some details that need to be filled in while registering a property online:
• Property description
• Property type
• Mode of ownership
• Owner’s personal details
• Proof of property
Documents Required for Land Registration and Property Registration
The Documents necessary for land registration and property registration are:
- Two passport size photographs each of the buyer, the seller, and the two witnesses.
- Proof of Identities such as Passport, Aadhar Card, Voter ID Card, PAN Card, or Driving License of the buyer, seller, and the two witnesses.
- Copy of the latest property register card.
- Copy of the municipal tax bill.
- Proof of payment of stamp duty, registration tax, and payment to the seller.
- Copy of No Objection Certificate (NOC), if required.
After 2-7 days, the registered documents can be gathered from the Sub-registrar of Assurance’s office. A certificate with all the required information is supplied, and the original copy of the deed given at the moment of registration is returned.
Once the registration is done, one needs to apply for mutation. A mutation changes the title of ownership. An application for mutation must be filed along with an affidavit, indemnity bond, and a notarized copy of the registered sale deed.
The property must be registered within four months from the date of implementation of the transaction. If one fails to register within four months, he may submit an application to the sub-registrar for condonation of delay. The registrar can come to an agreement to register the property after condoning the delay. However, the amount of fine must be paid up to ten times the original registration fee.
One should get the property or land registered as soon as possible within four months, or a heavy amount of fine will be required to be paid. The property, once registered, provides a guarantee of the genuineness of the deed. To ensure avoidance of frauds, conservation of evidence, the transfer of title to the owner, registration of the property is a must.