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DDA Flat Registration Scheme is a yearly "affordable housing" event

This post is one of the most frequently talked about topics of discussion when it comes to affordable housing. Yup, you guessed it right, we are talking about the Delhi Development Authority (DDA) Housing Scheme that is announced by the government on a yearly basis. This topic garners keen interest not only because affordable houses are offered to applicants via lucky draw but the scheme also covers a wide stratum of people, whether they are from the general category or from economically weaker groups or the reserved sections of the society like SC, ST, OBC, etc. As we progress in this post, you will have more insights on several aspects related to the DDA Flats Registration Scheme 2021 – what is the scheme about, its benefits and the general eligibility conditions, etc.

What is the DDA Flat Housing Registration scheme?

Briefly mentioning, under the Pradhan Mantri Awaas Yojna, DDA recently announced the housing registration scheme for the year 2021 wherein the authority has put for sale, more than 1300 flats of various types located at different locations in New Delhi. The sole aim of the scheme is to enable people to buy affordable houses as the houses being offered by DDA are priced cheaper compared to the houses sold by private real estate developers.

The ongoing pandemic has seen massive digitization of government services. DDA Housing Registration Scheme for 2021 has also followed the same path. The authority has completely automated the flats registration process. Some of the following online services are likely to be provided by the DDA to potential house buyers through its Awaas software:

Initiating the Online flat registration process by prospective buyers
Filling up the online flat registration form
Paying flat registration charges and fees
Conducting draw of lots under the supervision of authorized government officials
Issuing allotment and/or possession letters to the allottees

An important point to note in this scheme is that the allottee(s) may need to visit the office of the DDA for completing the conveyance deed execution process in his or her name.

Type of Flats being offered under the scheme and related registration charges

There are broadly four categories or types of flats that have been put for sale by the DDA under the current scheme. They are:

Higher Income Group (HIG) – The registration charges or application amount to be paid for this category of flats are Rs. 2 Lakhs.
Middle Income Group (MIG) – The registration charges or application amount to be paid for this category of flats are Rs. 2 Lakhs.
Lower Income Group (LIG) – The registration charges or application amount to be paid for this category of flats are Rs. 1 Lakh.
Economically Weaker Section (EWS) - The registration charges or application amount to be paid for this category of flats are Rs. 25 Thousand.

Some general conditions to be noted are:

The application once submitted cannot be withdrawn.
The spouses (husband and wife) can apply either separately or jointly with their spouse(s). However, if they apply separately/individually and both applications are selected in a lucky draw, only one flat will be allotted as per regulations.
The allotment of flats will happen via draw of lots, the date of which will be announced by DDA in due course.
The date of allotment will also be announced soon by the DDA.
The possession of flats will be given after allotment and receipt of the first payment by the DDA.
The DDA will initiate the refund of payment for an unsuccessful draw after 30 days from the date of draw of lots.
It is advisable to regularly visit the DDA website for information on the ‘lucky draw’.

What are the eligibility conditions for putting a DDA housing scheme application?

As per DDA, any applicant interested in putting up an application needs to fulfill the following criteria:

Only a citizen of India can apply for the scheme.
Applicant must be over 18 years of age.
Applicant must not be an existing leasehold or freehold owner or joint owner of residential house or plot of size 67 square meters in Delhi, New Delhi, or Delhi cantonment.
Applicant must possess an active bank account.
Applicant must also have PAN Card.
Annual income of applicant applying under EWS category must not exceed Rs. 3 lakhs.
Household income of EWS category applicants should not be more than Rs. 10 lakhs.

People Also Read This: What is a Possession Certificate?

What documents are required for submission along with the application?

The applicant needs to submit the self-attested copies of the following documents:

Address Proof that may include documents like Driving License, Passport, Voter ID, Electricity Bill, Aadhaar Card, etc.
PAN Card
Bank Statement or Passbook
Income Tax Return filed for the assessment year
Reserved Category certificate, as applicable, issued by a competent government authority

Conclusion

The DDA Housing Scheme is a good opportunity for all those who are planning to buy a reasonable house in Delhi. The scheme has been created keeping in mind the budgetary constraints of people who dream to own a home. With several nationalized government and private banks providing housing loans at prevailing interest rates, the scheme definitely has the potential of being economical for the common citizen. We suggest you evaluate all your options including the legalities involved and register before the deadline ends if it fits your bill.

Property

Know About Flat Registration

Owning a home is a dream for many. But, did you know that you need to Register your flat after you buy it? A flat needs to be registered in accordance with the law prevalent in the state in which it is bought. Every state in India has different rules for Flat Registration. Builders need to register their property under RERA, whereas buyers need to register their flat with the local registrar. Let us examine what all is required to register a flat.

Importance of Flat Registry

Have you bought a flat recently? It is necessary to register this transaction. Registry of your flat is necessary for 2 reasons:

A flat is an immovable property. Thus, buying a flat is a transaction of immovable property. Such transactions do not take effect unless registered. Hence, it is necessary to register for the purchase of your flat.

Your flat, quite obviously, is standing on a particular land. As the owner of the flat, you have certain rights over that land. Once you register your flat, the state's land records will record your name as the lawful owner of your flat. This is a crucial piece of evidence which records what rights you have over your flat.

You can also register an under-construction flat. The common misconception is that a flat cannot be registered before possession and that it can only be registered after possession. But, this is not the case. In fact, banks insist on the registration of under-construction flats before granting home loans. While such registration protects the interest of banks, the entire risk is put on the shoulders of the homebuyer.

Procedure for Flat Registration

When you bought your flat, you and the builder/seller will have executed a Sale Deed. This Sale Deed needs to be registered with the local Sub-Registrar of Assurances, who has jurisdiction over the locality in which your flat is located. Flat agreements in most states are registered online; however, the final step needs to be completed in the registrar's office.

The entire process typically involves the following steps:

Book an appointment for registering the Sale Deed: You need to register on the government's website and create a Login ID in most states. Then you need to upload the documents and book the appointment.
Pay the prescribed registration fees.
Attach copies of the Sale Deed and the identity proofs of the parties and the attesting witnesses.
The parties, and their attesting witnesses, have to be physically present at the Sub-Registrar's office at the date, and time, of the appointment.

Depending on which state your flat is located in, some of these steps can be conducted online. However, in every state, Step 4 must be conducted offline: one visit to the Sub-Registrar's office for this purpose is necessary.

For instance, for flat registration in Bangalore and the rest of Karnataka, Steps 1, 2, and 3 of the flat registration process can be conducted online on the Kaveri Online Portal. Similarly, for registering a flat in Pune and the rest of Maharashtra, Steps 1, 2, and 3 of the flat registration process can be conducted online on the IGR Maharashtra Portal.

Flat Registration Fee & Stamp Duty Charges

The exact registration cost for your flat will vary from state to state. Typically, the registration cost is about 1 - 3% of the market value of the flat.

Note that the flat's market value need not be the same price at which you have bought it. The sale price for your flat was determined between you and the builder/seller. This price can be quite literally anything. However, the market value of the flat is fixed and is calculated according to the rules of the state in which the flat is located. Most states now have online calculators available, which will give you a fairly precise estimate of the registration fees of your flat.

Documents Required for Registration of Flat

The following documents are required for the registry of flats:

Appointment letter, obtained after booking an appointment with the respective Sub-Registrar's office.
Proof of payment of the required registration fees.
The original Sale Deed for your flat.
Identity proofs of the parties to, and the attesting witnesses of, the Sale Deed.
Copy of the Possession Letter issued by the seller/builder.

Property

Lease Deed Registration: Everything You Should Know

Renting a house or a commercial property requires a lease deed. A lease deed is a written agreement that governs the terms between a landlord and a tenant. To enforce the terms of a lease deed, you need lease deed registration. Let us see what the various aspects of a lease deed registration are

Lease Agreement Registration

If your lease deed exceeds 12 months, then you require a lease agreement registration. If you have not registered your lease agreement, you cannot present it as proof in a law court. Lease agreement registration also helps in protecting the rights of the parties. A landlord is more comfortable giving his house to a renter if the lease agreement is legally and validly registered. A lease agreement need not be registered if it is only for 11 months. This is why you would see a common practice of leasing out properties for only 11 months.

Before you start the lease agreement registration process, you need to have a valid rent agreement in place. Your rent/lease agreement should preferably have the following clauses:

Duration: You should mention the period for which the lease agreement is being entered into. If the time period is less than 12 months, then you need not register the same.
Amount of rent: You should mention the amount of rent to be paid and the due date on which it is to be paid.
Security deposit: You should mention the refundable deposit, which the landlord would keep as security, and the refund process.
Lock-in period: This is the minimum period for which the parties need to be in agreement. They cannot terminate the agreement during this period.
Notice period: The lease agreement should contain the period of notice each party needs to give to end the agreement.
Usage: the renter needs to maintain the property in good condition.
Terms related to sub-lease of the property.
Rent escalation clause.
Maintenance fees to be paid, if any.

You can get your lease agreement registered at the office of the Sub-Registrar of Assurances; in whose jurisdiction the leased property is situated. You need to register the lease within four months of signing the lease agreement. If you fail to do so, you may ask for an extension, but a hefty penalty may be levied. Both the tenant and the landlord need to be present at the time of registration. Two witnesses should also be present at the time of lease agreement registration. If one of the parties is unable to be present, then they can give the power of attorney to their lawyer and their lawyer can get the lease deed registered on their behalf.

Following documents are required for registration of a lease deed:

The original proof of ownership of the property.
Property documents of the property to be leased. A tax receipt can be submitted as a property document.
Two photographs each of the parties and one photograph each of the witnesses.
Address proof copy of the landlord, tenant and the witnesses. You can submit your Aadhaar, bank passbook, passport etc. as your address proof.
The rental agreement printed on the stamp paper of the correct value.

Stamp duty varies in different states. In Delhi, you need to pay stamp duty at the rate of 2% for lease agreements for a term of up to 5 years and at the rate of 3%, if the lease deed exceeds 5 years. The lease deed registration fees is INR 1100. This fee does not depend upon the value of the property.

Online Lease Agreement Registration

In some states, lease agreement registration may be done online as well. For instance, in Maharashtra lease agreement online registration may be done. Let us examine the process for lease agreement registration online:

You need to first check if online lease agreement registration is possible in the state where you live.
If yes, then visit a government authorised website and create your profile there.
You may need to enter certain information such as the location of your property, area of your property, what property type it is, address etc.
Once you have completed this step, you would be given a token number which you will have to use as user ID for logging in next time.
You would then be asked to enter details of the parties to the lease agreement. You need to mention details such as whether you are an individual or a company, what is your occupation, address etc.
Once you have entered all the details, you will be asked if you want to pay stamp duty and lease deed registration fees online. You can pay these charges through an online challan. You need to enter certain information such as address of the property, landlord and tenant’s name, CTS number of the property (for properties already under city survey), location of the property etc.
Once, you have paid the lease deed registration fees and the required stamp duty, you will need to book an appointment with the sub-registrar. Remember, that a lease agreement registration online, does not mean that you will not have to go to the sub-registrar’s office. It just makes the process of lease deed registration easier. When you get the appointment, go to the sub-registrar’s office on the said date with all the relevant documents. The sub-registrar would finalise your registration. Documents required for online registration of lease agreement are the same as those required for physical registration of a lease agreement.

People Also Read This: Why you should get your rent agreement registered?

While online lease agreement registration is easier than physical registration, it is not prevalent in many states. It is always preferred that you take legal help to draft a lease agreement. A lawyer would guide you through the drafting and registration process and will help you save time.