Buying property in India is often a person's biggest financial milestone. However, the real estate sector is plagued with litigation, encroached lands, and fraudulent titles. A "dream home" can quickly turn into a legal nightmare if you don't perform a rigorous title search. This guide provides a 1000-word checklist of documents you MUST verify.
1. The Sale Deed (The Core Document)
The Sale Deed is the primary document that proves ownership. You must ensure that the deed is registered in the Sub-Registrar's office. An unregistered sale deed has no value in the eyes of the law. Verify the "Schedule of Property" to ensure the boundaries match the physical location.
2. The Mother Deed (Tracking the History)
Don't just look at the current owner. You need to see the "Mother Deed" or "Parent Document" going back at least 30 years. This traces the chain of ownership. If there is a missing link in the chain, it could mean that a previous sale was illegal, which puts your ownership at risk.
3. The Encumbrance Certificate (EC)
An EC tells you if there are any pending loans, mortgages, or legal disputes registered against the property. You should ideally get an EC for the last 15 to 30 years. If the property has been used as collateral for a bank loan, it will show up here.
Note: A "Nil EC" means the property is free from registered liabilities.
4. Khata and Tax Receipts
The Khata (or Patta/7-12 Extract) is an assessment of the property for tax purposes. While it isn't a "title" document, it proves who is currently paying the taxes and who the local municipality recognizes as the owner. Ensure that all property taxes are paid up to date; otherwise, you will inherit the pending bills.
5. Approval Plans and RERA Compliance
If you are buying a flat from a builder:
- Commencement Certificate (CC): Proves the builder has permission to start construction.
- Occupancy Certificate (OC): The most important document for flats. It proves the building is fit for habitation and follows the approved plan.
- RERA Number: Every project above 500sqm must be registered with RERA. Check the RERA website for any complaints against the builder.
6. Power of Attorney (PoA) Check
If a person is selling the property on behalf of the owner using a PoA, be extremely careful. Ensure the PoA is registered and that the original owner is still alive. Many frauds involve revoked or forged PoAs.
Conclusion
Legal due diligence is not an expense; it is insurance. Always hire an independent lawyer (not the one provided by the builder or agent) to give you a "Title Search Report" before you sign the sale agreement.