Every home buyer home to spend considerable time in ensuring that the property he looks to buy doesn’t involve any legal issues. As once a property is bought it may result in significant loss of once entire life savings if any legal issue crop up later on. The real estate legal issues may arise due to the illegal construction, illegal ownership, approval delays, etc. This surges the need for purchasers to ensure the legal clearances of their new property.
Legal checks one should do while buying property
Title deed & Khata verification
Title deed from the seller must be clear from encumbrances so it is necessary to check the title. One can search the records at the sub registrar’s office related to the title deed of the property. The report will contain the owner of the property and the related changes in the title. Khata is a legal document that supports the title which will have an entry of the present owner and it can be verified with the local municipal records. It is necessary to check if the Khata is changed in the present owner’s name as it is necessary to obtain home loan, electricity approvals etc.
One can inspect if the building plan is sanctioned by the authorities in case of under construction projects. This can be done by comparing the sanctioned plan with the actual built up area of the project to avoid any illegally constructed projects. The layout approval can be verified with the concerned authorities. The land survey done at the time of buying the property will help to check on the legal disputes over titles, boundaries etc.
Its a quite a practice by builders to not clear legal dues and buyer in the end at time of registration have to shell out extra money which is legally due. In order to check if the property has any legal dues, one can inspect the encumbrance certificate which will testify if the property is free of all legal dues and mortgages. If the property is in a society, then a no objection certificate (NOC) from the society is also required to check the legal status.
One should check with public sector banks to see if project is approved with them as they are more stringent with regard to approvals. This is a simplest way to check if your property is legally clear as public sector banks will only approve legally cleared properties that possess valid documents. The bank would have already checked the title clearance and other documents necessary so one can sure that the property is free of litigation.
Above listed Legal checks one should do while buying property is universal in nature and should be performed by the buyers to ensure there valuable savings doesn’t goes down the drain. Also, one can get legal help for attorneys or consultants to perform a thorough check on the property for legal clearances.
Hope above listed Legal checks one should do while buying property proves to be helpful to the reader.
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