Property Registration

What all property documents do I need to register ?

1. Verification of the title of the property.
2. Estimation of the property value.
3. Preparation of the stamp papers.
4. Getting the sale deed ready.
5. Payment of the stamp duty & registration charges.
6. Approach the Sub-Registrar for registration.
7. Documents submission.

What is the Procedure for property registration?

This is a tentative procedure.  The property documents that need to be registered, should be submitted to the office of the Sub-Registrar of Assurances within whose jurisdiction the property, which is the subject matter of transfer, is situated. The authorised signatories for the seller and the purchaser, have to be present along with two witnesses, for registration of the documents. The signatories should carry their proof of identity. The documents that are accepted for this purpose, include Aadhaar Card, PAN Card, or any other proof of identity issued by a government authority. The signatories also have to furnish the power of authority, if they are representing someone else.  In case a company is party to the agreement, the person representing the company has to carry adequate documents, like power of attorney/letter of authority, along with a copy of the resolution of the company’s board, authorising him to carry out the registration. You need to present the property card to the sub-registrar, along with the original documents and proof of payment of stamp duty. Before registering the documents, the sub-registrar will verify whether adequate stamp duty has been paid for the property, as per the stamp duty ready reckoner. In case there is any deficit in the stamp duty, the registrar will refuse to register the documents.

Stamp duty is the tax you pay to the government for attaining legal ownership over an asset, while the registration charge is the fee to get this legal formality completed in the government records. Stamp duty varies from state to state. In most states, women are offered rebates or waivers on stamp duty payment. Note here that witnesses are quite important in the overall process. The two witnesses that you intend to present during the registration, will also have to establish their identity in front of the sub-registrar. For this purpose, they should also carry their ID proofs and their address proofs. Additionally, their biometric identity will also be scanned during the process.

Documents that require mandatory registration

• Instruments of gift of immovable property
• Non-testamentary instruments or transactions that involve the sale of an immovable property for a value exceeding Rs 100.
• Lease of immovable property from year to year.
• Contracts to transfer immovable property for purposes mentioned in Section 53A of the Transfer of Property Act, 1882.

Documents for which registration is optional

Section 18 of the Registration Act, 1908 holds that the following documents may or may not be registered:

• Will.
• Lease of  an immovable property not exceeding 12 months.
• Documents of past transactions.
• Decree or order of court comprising an immovable property valued below Rs 100.
• Certificate of sale granted.
• Agreement of mortgage
• Promissory note.
• Instrument of partition by revenue officer.
• Grant of immovable property by the government.

Procedure for property registration

The property documents that need to be registered, should be submitted to the office of the Sub-Registrar of Assurances within whose jurisdiction the property, which is the subject matter of transfer, is situated. The authorised signatories for the seller and the purchaser, have to be present along with two witnesses, for registration of the documents.

The signatories should carry their proof of identity. The documents that are accepted for this purpose, include Aadhaar Card, PAN Card, or any other proof of identity issued by a government authority. The signatories also have to furnish the power of authority, if they are representing someone else.  In case a company is party to the agreement, the person representing the company has to carry adequate documents, like power of attorney/letter of authority, along with a copy of the resolution of the company’s board, authorising him to carry out the registration.

You need to present the property card to the sub-registrar, along with the original documents and proof of payment of stamp duty. Before registering the documents, the sub-registrar will verify whether adequate stamp duty has been paid for the property, as per the stamp duty ready reckoner. In case there is any deficit in the stamp duty, the registrar will refuse to register the documents.

Stamp duty is the tax you pay to the government for attaining legal ownership over an asset, while the registration charge is the fee to get this legal formality completed in the government records. Stamp duty varies from state to state. In most states, women are offered waivers on stamp duty payment.

Note here that witnesses are quite important in the overall process. The two witnesses that you intend to present during the registration, will also have to establish their identity in front of the sub-registrar. For this purpose, they should also carry their ID proofs and their address proofs. Additionally, their biometric identity will also be scanned during the process.

Time limit, fees for property registration

Documents that have to be mandatorily registered, should be presented within four months from the date of their execution, along with the requisite fee. In case the time limit has expired, you can make an application to the sub-registrar for condonation of the delay, within the next four months and the registrar may agree to register such documents, on payment of a fine that may be up to ten times the original registration fee. The registration fee for property documents is 1% of the value of the property, subject to a maximum of Rs 30,000.

Earlier, the documents that were presented for registration, would be returned to you after a period of six months. However, with computerisation of the offices of the sub-registrar, the documents (bearing the registration number and proof that the documents have been registered by the registrar) are scanned and returned to you on the same day.

Transfer of ownership is a complicated process. It is important for property buyers to know that for ownership transfer, a buyer needs to pay some charges in the form of stamp duty and also for registration.

A property needs to be registered for the purpose of sale, transfer, gift or lease in accordance with Registration Act, 1908. As per Section 17 of the Registration Act, 1908, all transactions that involve the sale of an immovable property for a value exceeding Rs 100, should be registered. If someone doesn’t register a property while doing above mentioned transactions then the transaction cannot be proved in the court of law.

In special cases, when a party to the transaction cannot come to the sub-registrar’s office, the sub-registrar may depute any of its officers to accept the documents for registration, at the residence of such person. The term ‘immovable property’ includes land, buildings and any rights attached to these properties.