When you decide to buy a property or land than a normal business deal where you get a plot of land in exchange of money. Before going into details of plot registration, there are a few terms you must know.
Registration fee - It's a small percentage of total cost of plot paid by buyer to state government for registering property on his name.
Stamp Duty - It's a small percentage of total plot cost imposed on buyer during submission or recognition of required documents. It is paid to claim that submitted documents are valid.
Property Guideline value - It's the minimum cost of your land estimated by state government.
Stamp duty in Bangalore, in both urban and rural settlements, is 5.6% of saleable value of plot. The registration fee is 1% of the saleable value. The saleable value of a property, in simple ways, is the product of the property size and the guideline value. In some states, women and senior citizens get a discount on both registration fee and stamp duty charges.
Besides the total cost of your plot/property, there are a number of factors that affect property registration fees and stamp duty charges.
- Type of property - Old (low) or New (high) and Commercial (high) or residential (low).
- Location - Urban (high) or Rural (low), Different States (depends).
- Transfer - From you to un-related person (high) or you to your family member (low) or you to others as a Gift.
Documents needed For Plot or Property Registration In Bangalore
- Absolute sale deed in present seller's name
- Khata certificate & extract from BBMP
- Latest tax paid receipt
- Encumbrance Certificate from date of purchase till date
- Agreement of sale & construction executed by developer in favor of seller
- Sanctioned building plan
- Possession/occupancy certificate from builder
- All title documents of land owner
- Joint development agreement, GPA, & Sharing/supplementary Agreement, between land owner and builder
- A Copy of all registered previous agreements (in case of re-sale property)
- RTC (Records of Rights and Tenancy Corps) or 7/12 extract
- Conversion Order issued by the concerned Authority
- Registered development agreement (If in case of Joint Development Property)
- Power of attorney/s if any
The process of land/plot registration is as follows
Check details for safety assurance
- This process approximately take 5-7 business days and costs about 10,000 rupees.
- Last 30 years records, ownership status must be checked.
- Seller must be authorized to sell property and ownership document must be in name of owner
Final deed preparation - This process takes about a week and is done on green legal paper with date and place left bank. The document is sent for stamping and is made by buyer's lawyer.
Payment of stamp duty: This process does not take more than a day. The buyer pays stamp duty charges at designated bank. After payment, the bank issues a receipt and marks front page of sale deed with stamp duty received.
- In this process, buyer, seller and two witnesses sign on sale deed at sub-registrar office, and a distinct number is generated for documentation.
- The reader of the sub-registrar calculates the required registration fee which is to be deposited with cashier in cash/DD against a receipt.
- After all formalities documentation is handed over to buyer. It is better to take an agent to speed up the process in at sub-registrar office.
The document includes:
- Two passport size photographs and a form of ID, each of buyer, seller and two witnesses
- Copy of PAN cards and Certified true copies of Certificate of Incorporation of both seller and buyer, in case of a company and not an individual buyer
- Copy of the latest property register card to ensure no government ownership of the plot.
- Copy of the municipal tax bill to indicate the year in which the property was built/constructed
Change in the title - This is the longest and more complex process than the others and must be done with the assistance of a lawyer. After registering, the buyer needs to change the ownership title of the property to his name to enable himself as the new owner and tax payer for the property.
For this change you need to submit an application for mutation (change), an affidavit and a copy of the final sale deed in the office of City Survey and Land Records Department. After the request submission, the tax on the property is calculated and the letter of mutation is issued for the buyer. The office charges Rs 100 as the application fee, Rs 200 for the indemnity bond, Rs 100 for the affidavit and Rs 50 as notary charges.
To assist the people in the process of registration, the government of Karnataka has an online portal called KAVERI. It is an online service that acts as a search engine for the process of registration and document submission. It is an application of Department of Stamps & Registration. It provides the people the find the list of documents for registration at one place. A buyer can also book a registration date using this website.
The website also has a stamp duty and registration fee calculator that finds out the charges you have to pay on the basis of filling a simple form.
There also a few other websites that makes It very easy for the citizens to access the land records in Bangalore.