1. Title & Search Report
A title search report, typically prepared by a lawyer, is an essential document that verifies the legal ownership of the property. It confirms whether the property is free from any encumbrances and has a clear, marketable title. This report is obtained after an advocate visits the registrar’s office and inspects relevant property records. You can get this report either from your own advocate or from the current property owner, and have your advocate verify it.
2. 7/12 Extract (Village Form No. 7)
For rural land, the 7/12 extract (also known as Form No. 7) is crucial. This document is issued by the state’s revenue department and provides details about the land’s ownership, past transactions, and encumbrances. Always check the 7/12 extract of the seller to ensure they hold legitimate ownership of the property.
3. Mutation Entry
Mutation refers to the change of ownership in land records, typically due to events like inheritance, sale, or transfer of property. A mutation entry is essential to verify that the property’s title has been updated and that the current owner is properly recorded.
4. Property Register Card
For urban land, check the property register card, which serves as an official record confirming the ownership of land in urban areas. It is essential to ensure that the seller’s name is recorded as the rightful owner.
5. Development Agreement
A development agreement is a contract between a landowner and a developer. It outlines the terms of property development, where the landowner contributes the land and the developer is responsible for obtaining approvals, constructing the property, and handling the project’s finances.
6. Power of Attorney
A Power of Attorney (PoA) is a legal document where one person (the principal) authorizes another person (the agent or donee) to act on their behalf. This could cover financial, property, or other legal matters. There are three types of PoA:
General PoA: Grants broad authority.
Special PoA: Specifies certain actions or decisions.
Durable PoA: Remains effective even if the principal becomes incapacitated.
7. NA Order (Non-Agricultural Order)
An NA order is required when converting agricultural land for non-agricultural purposes, such as residential or industrial development. It must be obtained from the relevant authorities, such as the collector’s office.
8. Sanctioned Plans
Sanctioned plans refer to building or development plans approved by the local authority. These plans are required for properties within municipal or corporation limits, and may include town planning approvals for regions outside city limits.
9. Share Certificate (Cooperative Societies)
For properties in cooperative housing societies, the share certificate is a vital document. It verifies the ownership of a flat or unit in the society and includes details such as the member’s name, property number, share certificate number, and the amount paid. Upon transfer, the share certificate is updated with the buyer’s name.
10. Public Notice
A public notice may be issued in local newspapers to invite claims or objections related to the property being purchased. This notice ensures that the property is bought in good faith and helps defend the purchaser in case of future disputes.
11. Property Owned by a Minor
If the property being purchased belongs to a minor, the sale will require prior approval from the court, allowing the minor’s legal guardian to sell the property. Without court approval, the sale may be voidable once the minor reaches the age of majority.
12. No Objection Certificate (NOC)
A No Objection Certificate (NOC) is required from the relevant authorities, such as a cooperative society, to confirm that there are no pending dues or encumbrances related to the property. In some cases, an NOC from the developer may also be required.
13. Access & High Tension Wires
Before proceeding with a property deal, confirm that the land is not in close proximity to high tension electrical wires, as safety regulations require a minimum distance of 1.2 to 3.2 meters between construction and electricity cables.
14. Land Measurements
Land measurement units vary by region. In North India, land is measured in units like Bigha, Biswa, Marla, Kanal, or Kattha, while Southern states use units such as Ground, Cent, Ankanam, Guntha, etc. Even though standard units like Square Feet, Square Yards, Square Meters, Acres, and Hectares are becoming more common, local units still play a significant role in land transactions. Understanding the local measurement system and its conversions is key to verifying the size of the property.
Conclusion
Before finalizing any property deal, ensure that you have a thorough understanding of these key documents. It’s always advisable to consult with legal and real estate professionals to verify the authenticity and legality of these documents, ensuring a smooth and secure property transaction.