Before finalising a property to buy
Run through this after you have shortlisted a home and before you sign the agreement to sell. Each line is a document to see or a thing to check with your own eyes.
Title and ownership
0 of 4Whether the seller can actually sell, and what comes attached.
- Trace the title chain for 30 yearsLawyers and lenders commonly trace ownership back about 30 years; every transfer in between should be a registered deed.
- Get the encumbrance certificateIt lists registered mortgages and transactions on the property for the period you ask for, from the sub-registrar.
- Match the seller to the titleThe names on the latest deed, the tax receipt and the seller's identity documents should all agree; ask for every co-owner's consent.
- Ask about any existing loanIf the property is mortgaged, the lender holds the originals and must be paid off directly before registration.
Approvals
0 of 4Whether what is built is allowed to exist.
- Approved plan vs what is builtWalk the property with the sanctioned plan in hand; extra floors or enclosed balconies become the buyer's problem.
- Occupancy and completion certificatesWithout an occupancy certificate, utilities, loans and resale can all be refused.
- RERA registration for a new projectType the number into the state RERA portal yourself and read the committed completion date and any complaints.
- Land use and conversionThe land under the building should be zoned for residential use; on former farmland, ask for the conversion order.
Money and dues
0 of 5What you will pay beyond the price, and what you must not inherit.
- Property tax paid to dateUnpaid municipal tax attaches to the property, not to the seller.
- Society NOC and no-dues certificateDues in a society follow the flat; get a dated no-dues letter and the society's no-objection.
- Loan sanction in handA sanction letter, and the lender's view of the title, before you commit more than the token.
- Stamp duty and registration budgetDuty is charged on the higher of the price and the government's guidance value, at your state's rate.
- Tax deducted at sourceAbove a value threshold, the buyer must deduct tax from the price and deposit it; plan for it.
Physical checks
0 of 6Things a document will not tell you.
- Water supplyAsk neighbours how many hours of municipal water they get and how often tankers are bought.
- Power and backupCheck the sanctioned load and what the backup covers: lifts and common areas only, or flats too.
- Parking allotted in writingA verbal 'you can park here' is worth nothing; the space number should be in the agreement.
- Seepage and cracksLook under windows, behind cupboards and on the ceiling below bathrooms; visit once after rain if you can.
- Lift condition and licenceAsk when the lift was last serviced and whether its operating licence or inspection is current where your state requires one.
- Fire safetyWorking extinguishers, clear staircases, and a fire safety certificate for buildings tall enough to need one.
Common questions
How many years of title should be checked?
Lawyers and lenders commonly trace title for about 30 years, with an encumbrance certificate for the same period where available. Your lender may set its own requirement.
Is the encumbrance certificate enough on its own?
No. It shows only registered transactions. Unregistered agreements, family claims and municipal violations do not appear on it, which is why the title chain, the approved plan and the occupancy certificate are checked as well.