Documents and forms needed to sell a house

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Make sure you have the necessary paperwork and forms on hand for a hassle-free and easy house-selling process. The building plan and title deed are a couple of these. See which documents, at each stage of the home-selling process, must be given to the buyer by reading the article below.

A few key documents, like the building plan, completion and occupancy certificates, title deed, and others, need to be kept on hand when you decide to sell your house. It would be helpful to have the other documents prepared, as that would seal your sincere purpose to sell the property and the legal status of the property, even though some documents, like the sale deed, would be created later on when the deal advances. If key records are missing, purchasers may become disinterested because they believe the property is mired in legal problems.

Therefore, for a smooth transfer, having all the paperwork ready before deciding to sell a property is crucial. The following documents must be kept up-to-date, regardless of how old the house is.

Sale agreement

A legal document that certifies the sale and transfer of property to the buyer is called a sale deed. It includes important information on the parties, such as their name, age, residence, and line of work. A sale deed also includes property-related details including carpet area, location, sale price, and date of possession, among other things. Producing this document is particularly crucial when selling a property because it demonstrates your legitimate ownership and the authority to sell the asset.

Construction plan

You can save a lot of future problems by obtaining a copy of an approved building plan from a competent body, which details whether or not the work on the site is permitted. Get the Sample here.

Certificate of Encumbrance

This document attests to the fact that the property is free of debt, including mortgages. It includes a detailed list of all the transactions made on the property within the last 12 years. You can apply to the sub-registrar's office in order to obtain the encumbrance certificate.

Certificate of Completion

An attestation from the appropriate authorities confirming that the structure was built in compliance with the approved construction plan's rules and regulations is known as a completion certificate. A certificate of completion is necessary for a number of reasons:

gives assurance that the building was built in accordance with the authorized plan.

Savings from court actions like demolition and eviction 

required in order to get an occupancy certificate (OC), without which it is not permitted to occupy a building.

is a requirement in order to obtain an electricity and water connection.

Certificate of Occupation

Upon project completion, an occupancy certificate is a document provided by the planning authority or local government. The building's suitability for occupancy and completion are attested to by the certificate.

Utility bills and tax receipts

To make sure there are no unpaid debts, a copy of the payment receipts for previous utility bills, property tax, stamp duty, and registration must be provided. In addition, the buyer needs these receipts in order to apply for house financing.

Certificates of No-Objection (NOCs)

Prior to commencing construction, the builder needs the NOC from multiple government agencies. NOCs from at least 19 departments—from the Fire and Safety Department to the Pollution Control Board—are mandated in several states. To confirm that all necessary government approvals are in place at the time of sale, these NOCs are crucial.

Certificate of Succession (if you are selling an inherited asset)

The civil court issues the paperwork to the surviving family members of the deceased. Your right to sell the asset and take the proceeds on behalf of the departed is established by the Succession Certificate. When a property owner passes away intestate, or without a will, it is crucial. A succession certificate includes all of the deceased's information, the legal heir's information, and a summary of all transferred assets and debts.

Khata certification

The certificate includes details about taxes, built-up area, and other aspects of the property. It ascertains the precise property owner and tax liability. Though it is only legal in the State of Karnataka, the document is very necessary for a hassle-free real estate transaction.

Patta 

A legal document known as a patta, patta is issued in the true owner's name. It is available from the Tahsildar's office and includes the following information:

• The district name
• Patta number
• Owner's name, 
• survey number, and subdivision
• Land area and tax information
• Land type, i.e., whether it is a marsh or dry land

But only in the State of Tamil Nadu is Patta necessary for the sale of real estate.

Authorization from banks for unpaid house loans

Two prerequisites apply in this instance:

You can take the buyer's sale consideration and use it to repay the outstanding loan balance by paying off the outstanding balance. However, in this instance, the bank's in-principle consent is necessary.

Alternatively, you can provide the buyer the loan after taking the agreed-upon deductions for the amount paid and the profit from the sale. In this instance, though, the bank will conduct due diligence before authorizing the transfer.

Related blog : https://www.bricksnwall.com/blog/necessary-forms-while-buying-home