Buying a property can be an exhausting process. From choosing an apartment to availing a home loan successfully, you have to be meticulous in every decision you make. But the main struggle starts when you go ahead with managing all the mandatory paperwork while investing in an apartment. Few documents have to be provided to the authorities, whereas the bank asks for some if you choose to go for a home loan. Acquiring several documents justifies your legal ownership over the property.
Before everything seems quite nerve-wracking to you, let us understand all the important paperwork that you should expect while purchasing a flat.
Joint Development agreement
Make sure to check the joint development agreement which is between a landowner and a real estate developer to construct new projects. The landowner offers the land and the developer carries out the legal and all the construction.
Khata certificate or extract (in builder/developer’s name)
For the registration of a new property, Khata certificate or extract is one of the documents of paramount importance. Bank asks this for granting you a loan, and this serves as proof that the property has an entry in the local municipal records.
Encumbrance certificate is proof that the property does not have any mortgages or pending dues. A bank will ask you for this before they can let you pass your loan. If the encumbrance is registered, form 15 is issued, whereas form 16 will be given to the owner, if there are no encumbrances.
Approved plan - Building Plan’s copy
The statutory board must approve the copy of the building plan, and you need to acquire it before making the purchase. It establishes that the builders legally construct the flat you purchase, according to the set of norms.
Next up, check whether the commencement certificate copy is there or not while searching for a property under a buyer. It is a document that the local municipal authority gives to the developer permitting them begin construction of the project. This is handed over only after the developer has met the legal requirements.
The sale agreement is a document that extensively has everything from payment plan to terms and conditions, details about the society, and building to possession date. It also states that the developer is responsible for the construction of the property. The original copy has to be produced by the buyer for property purchase and acquiring a home loan.
If you are buying a new property, do not forget to take all the payment receipts from the developers. If it is a resale property, copies of the original documents would be enough to show at the bank.
The certificate of occupancy is mainly issued by the local government body or the department of the building certifying a building's compliance with the codes and other laws, and stating that it is in a condition suitable for occupancy.
Sale deed is the most crucial document that proves your ownership over the property you are going to buy and has to be original. It includes registering the sale deed in the Sub-registrar's office of the area where the property is located, and they would explain everything that goes on to procure this document.
New EC with buyer name (1 day EC - immediately after registration)
Immediately after the registration of the flat is done, the Encumbrance certificate must be obtained by transferring it to the buyer’s name.
BESCOM Transfer NOC from builder
Once you become the legal owner of the flat, you have to get the NOC from the builder transferred in buyer name so that BESCOM’s electricity meter is transferred to your name.
The general power of attorney (for the Registration)
For availing a home loan, the original version or a photocopy of the general power of attorney is mandatory. It proves if an authorized person is making the sale purchase of a particular property on behalf of the property owner.
Letter of possession
The letter of possession mentions the date the developer would grant the buyer the possession of the property. For acquiring a home loan hassle-free, the original copy of letter of possession is mandatory.
Property tax receipts
Property owners are always liable to pay taxes, and the former owner must clear all the pending dues. The property tax receipt proves the legal authenticity of the building
If you have decided to avail a home loan, make sure to get yourself ready with these documents so that you can buy a flat without any trouble. Meanwhile, if you are buying a Gomati property, the builders here totally cooperate to issue papers that help you get a home loan easily!