Steps to Verify Before Purchasing Property in India
Purchasing property is a significant financial and emotional investment. To ensure a smooth and hassle-free experience, it is essential to verify all aspects of the property to avoid legal complications in the future. Here are the key aspects to check:
- Inquiry into the Capacity of the Seller:
Ensure that the seller is the rightful owner of the property and has the legal authority to sell it. This includes verifying their title deeds, proof of identity, and authorization if the seller is a company or organization. - Legal Due Diligence on the Buyer’s Side:
Conduct a thorough check on the property’s legal status. This includes ensuring there are no pending legal disputes, claims, or encumbrances on the property. Verify the authenticity of the property’s documents and ensure the seller’s title is clear. - Buy and Sell Agreement:
A Sale Agreement should be signed by both parties, clearly detailing the terms and conditions of the transaction, the payment schedule, property details, and any other agreed-upon terms. This agreement serves as a preliminary contract before the final sale deed is executed. - Execution of Sale Deed:
The Sale Deed is the primary document that legally transfers the property ownership from the seller to the buyer. Ensure the sale deed is properly executed, stamped, and signed by both parties. - Property Possession:
Make sure that possession of the property is handed over to you once the payment is made. Ensure there is no ambiguity regarding the possession date. - Property Registration:
After the sale deed is executed, it must be registered with the local sub-registrar to make the transfer legally valid. Ensure that the registration is completed within the prescribed time. - Completion of Property Payment:
Ensure that all payments, including taxes, dues, and fees, have been completed in full. This includes checking if there are any outstanding utility bills or land dues that need to be settled before transferring ownership.
By thoroughly verifying these aspects, you can ensure that the property purchase is secure and free of legal issues in the future.