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Know About Flat Registration
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: 

  1. 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. 

  2. 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: 

  1. 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. 

  2. Pay the prescribed registration fees. 

  3. Attach copies of the Sale Deed and the identity proofs of the parties and the attesting witnesses. 

  4. 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. 

 

Cost of Flat Registration

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: 

  1. Appointment letter, obtained after booking an appointment with the respective Sub-Registrar's office.

  2. Proof of payment of the required registration fees. 

  3. The original Sale Deed for your flat.  

  4. Identity proofs of the parties to, and the attesting witnesses of, the Sale Deed. 

  5. Copy of the Possession Letter issued by the seller/builder. 

Know About Property Rights of Daughters in India
Property

Know About Property Rights of Daughters in India

In India, daughters did not always have property rights. Women have always been treated inferior to men, both in terms of inheritance rights and the capacity to hold Property independently. There were many restrictions on both inheritance rights and women's property rights, which did not exist for men. 

Today, the Law of Inheritance's entire body has undergone significant reforms through subsequent legislation and amendments. Daughters now have an equal share in Property.

 

Daughter's Right in Property

Today, your gender as a woman is of little consequence for your property rights. Hence, the property rights of daughters are almost entirely the same as the property rights of sons. 

A daughter can acquire, hold, and dispose of, Property at par with any other man. Today, there are practically no restrictions on a woman's capacity to acquire, hold, and dispose of, her Property. Daughters have an equal share in their father's self-acquired Property as well as ancestral property. Daughters after the Supreme Court judgment of 2005 have become coparceners. Hence, they have equal rights in all Property, including agricultural lands. Both men and women are equally capable of holding their own, separate Property. Any restrictions on property rights are the same for all genders. Hence, daughters today have virtually equal rights in Property as a son does.

 

Equal Property Share for Daughters

Your gender as a woman does not place you at any significant disadvantage in the arena of inheritance rights. 

As a daughter, you have the same inheritance rights as a son of your generation. Thus, a daughter has the same inheritance rights as a son; a granddaughter has essentially the same inheritance rights as a grandson, and so on. In most cases, the daughter is entitled to inherit the same share of her ancestors' Property as a son of the same generation is. Marriage does not affect a daughter's inheritance rights. A married daughter has the same right to Property as an unmarried daughter. 

In India, the Law of Inheritance varies based on religion. The religion of the deceased governs, which Law of Inheritance will apply. Thus, Hindu Inheritance Law applies to the death of a Hindu, Christian Inheritance Law applies to the death of a Christian, Muslim Inheritance Law applies to a Muslim's death, etc. 

 

Hindu Property Law for Daughters

Both sons, and daughters, are equally capable of acquiring, holding, and disposing of their own property. There is almost complete equality between sons and daughters in this regard. 

In the inheritance arena, the Hindu Law of Succession has undergone a great transformation over the past century. Classically, the property rights of daughters were significantly inferior to the property rights of sons. Subsequent legislation and amendments have nullified discrimination against daughters. After enacting the Hindu Succession (Amendment) Act, 2005, sons and daughters now enjoy virtually the same property rights. 

 

Equal Rights of Daughters in Joint Family Property

In Hindu Law, for the purpose of inheritance, Property is classified into two types: (1) Joint Family Property and (2) Self-Acquired Property. Essentially, all Property inherited by a son from their father, paternal grandfather, and paternal great-grandfather is considered Joint Family Property. All other Property is considered Self-Acquired Property. Depending on where you reside in India, the character of these types of properties is either the same or different. In regions where this distinction is followed: 

  1. Joint Family Property is inherited differently (compared to Self-Acquired Property). 

  2. Multiple persons have rights over the Joint Family Property by birth. This is unlike Self-Acquired Property, over which rights can be acquired only if you have acquired them yourself. 

The rights of both sons, and daughters, to inherit, acquire, hold, and dispose of the Self-Acquired Property of their ancestors is essentially the same everywhere.  

However, in regions where this distinction is maintained, daughters did not enjoy the same rights as sons in Joint Family Property for a long time. Daughters were at a disadvantage compared to sons in terms of both their rights to control the property and their rights to inherit it. Legislation after legislation has gradually diluted this inequality over the past century. Finally, with the enactment of the Hindu Succession (Amendment) Act, 2005, sons and daughters now have equal rights to inherit the Joint Family Property of their ancestors.

In 2020, the Supreme Court decision on property rights of daughters, Vineeta Sharma vs. Rakesh Sharma, confirmed that sons, and daughters, indeed have exactly the same rights in the Joint Family Property. The inheritance rights of the daughter do not change on her marriage, the death of her husband, the death of her father, or anything else for that matter. Hence, the case used what has now become a famous expression: "once a daughter, always a daughter." Thus, an unmarried daughter and a married daughter are all entitled to the same property rights in the Joint Family Property of their parents. A daughter-in-law is too entitled to inherit her father-in-law's Property. This rule holds true for a widowed daughter-in-law as well. As long as the daughter is alive, she is entitled to control and inherit her ancestors' Joint Family Property at par with a son.

Society Conveyance Deed: All You Need to Know
Property

Society Conveyance Deed: All You Need to Know

Did you know that a Conveyance Deed is required to acquire property in a housing society? Many people do not know that such a Conveyance Deed exists.  After developing a housing structure with a number of flats, common areas, etc., the developer sells these flats to multiple buyers for a price (making a profit in the process). The buyers come to own the individual flats, and they all have a common right to utilize the common areas. The flat-buyers then come together to form a housing society. The housing society regularly raises subscriptions from the members. It uses the proceeds to service the common areas, provide common services (such as electricity backup and water supply), hire employees for maintenance and housekeeping, and so on. Having a Conveyance Deed confers the legal ownership of the common areas of the housing society and plays an important role in proving legal ownership and later redevelopment projects. 

 

The Importance of a Conveyance Deed in Housing Societies

The ownership of the land is first transferred from the original landowner to the developer. With their newly acquired rights over the land, the developer can now develop society on this land. They commence construction and meanwhile begin marketing the to-be-completed society to prospective buyers. Those who agree to buy the completed flats enter into an agreement with the buyer. This agreement may be called by different names, such as ‘Sale Agreement’ or ‘Purchase Agreement’ and so on, but they are all the same in essence. There may be a number of clauses in this agreement. Amongst these, the most important one typically states that the developer promises to hand over the flats to the owners once the construction is completed.

When construction is completed, the developer hands over the flats to the respective buyers. However, there’s a catch. As a buyer, you have only acquired possession of your flat. The developer continues to own the whole land and all the buildings which stand on it. A possessor has some but lesser rights than an owner. Hence, in some sense, the developer can still continue to lord over you since they have more rights over the property than you do. To transfer the ownership of the whole land and the buildings standing on it to the respective buyers, the developer must execute a Conveyance Deed. 

A Conveyance Deed is a legal document that conveys some rights over an immovable property from one person to another. The developer must execute the Conveyance Deeds of flats and common areas to transfer their ownership rights to the respective owners and the housing society. Thus, the buyers will then become the owners of their respective flats, and all the buyers will then become the common owners entitled to jointly use the common areas.  

 

How to Execute the Conveyance Deed 

Keep the following pointers in mind while executing each required Conveyance Deed: 

  1. It must be written and signed by the parties. 

  2. It must be attested by at least two independent witnesses. 

  3. The required stamp duty must be paid. To ensure this, the Deed must be executed on non-judicial stamp paper of the same value as the stamp duty required to be paid. 

  4. It must be compulsorily registered with the local Sub-Registrar of Assurances. 

  5. It must clearly identify, at the very least, the land and other properties being transferred, the identity of the parties, the title history of the land and properties in question, and the fact that ownership rights are being transferred. 

 

Documents Required for Executing the Conveyance Deed

  1. The duly executed and stamped Conveyance Deed must be presented to the office of the local Sub-Registrar of Assurances for registration. 

  2. Some states may require the advocate, or registered deed-writer, who drafted the Conveyance Deed to affix a declaration, and their registration number, on the Deed. 

  3. Proof of payment of the registration fees payable, if any. 

  4. Identity, and Address, Proofs of all the parties and the attesting witnesses. 

 

Deemed Conveyance Deed

In practice, members of housing societies often have trouble getting developers to execute Conveyance Deeds for their buildings. In such cases, some states allow the members of the housing society to request the State Government to provide them a Deemed Conveyance Deed. For instance, Maharashtra allows members of housing societies in the state to request a Deemed Conveyance Deed. 

Once the State Government provides a Deemed Conveyance Deed, although the developer has not really executed the required Conveyance Deed, the law will consider that it has been executed. This is a fiction of the law. Consequently, the members of the housing society will be entitled to the same rights they would have possessed had the developer executed the required Conveyance Deed. 

If your state allows you to obtain a Deemed Conveyance Deed, you have to file an application for this purpose before the competent authority, supported by the required documents. The authority will usually hear both the parties and pass a reasoned order. Accordingly, they will either accept or reject your application. If they accept the application, you will be able to obtain the Deemed Conveyance Deed. The documents typically required to obtain a deemed conveyance deed are:

  • Relevant land records, such as municipal records, land revenue records, etc. 

  • Copy of development agreement between landowner and builder. 

  • Copies of registered and stamped agreements of each flat

  • Approved building plan. 

 

In Maharashtra, the fee for deemed conveyance is INR 2000. Earlier, there was also a need to submit an occupation certificate from the builder, but now this requirement has been scrapped. The housing society can obtain an occupation certificate from the municipal corporation after the conveyance has been done. 

It is always preferable to take legal help while drafting a Conveyance Deed. Many builders do not adopt the traditional Conveyance method, and the flat-owners have to resort to deemed Conveyance.