Buying property in Varanasi can be a profitable and rewarding investment, but it comes with its legal complexities. Whether you’re purchasing a residential apartment, commercial space, or plot of land, ensuring that all legal aspects are covered is crucial to avoid future disputes and complications.
This blog provides a comprehensive legal checklist for property transactions in Varanasi, helping buyers navigate the legal procedures smoothly.
1-Verify the Title Deed
The title deed is the most crucial document that proves ownership of the property. It confirms that the seller has the legal right to sell the property.
Things to Check:
The title should be clear and marketable.
Verify that the property is free from any encumbrances (loans or legal claims).
Ensure the seller’s name matches the records.
Tip: Hire a legal expert to conduct a title search for any disputes or claims on the property.
2-Check the Sale Agreement
The sale agreement outlines the terms and conditions of the property transaction. It includes details such as the price, payment terms, and handover timeline.
What to Verify:
Property description (location, size, boundaries).
Payment terms and installment schedule.
Penalty clauses in case of delays or breaches.
Ensure both parties sign the sale agreement in the presence of witnesses.
3-Obtain the Encumbrance Certificate (EC)
An encumbrance certificate confirms that the property is free from any legal or financial liabilities. This document is essential for ensuring that the property is not under mortgage or involved in disputes.
Where to Obtain:
Sub-Registrar’s Office in Varanasi.
The EC is typically issued for a period of 13 to 30 years, depending on the buyer’s request.
4-Verify Property Tax Receipts
Ensure that the seller has paid all property taxes to date. Unpaid taxes can become a liability for the new owner.
Documents to Check:
Property tax receipts from the Varanasi Municipal Corporation.
Water and electricity bills to ensure no pending dues.
5-Check the Mutation Certificate
The mutation certificate is necessary to transfer property ownership in local municipal records. It is essential for future property tax payments.
Where to Check:
Varanasi Municipal Corporation.
Ensure the mutation process is complete before the property is registered in your name.
6-Verify Building Plan Approval
If you are purchasing a constructed property, ensure that the building plan has been approved by the Varanasi Development Authority (VDA). Unauthorized constructions can lead to legal complications.
What to Verify:
The property complies with zoning regulations.
The building plan matches the actual construction.
7-No Objection Certificate (NOC)
Depending on the type of property, you may need various NOCs from different authorities to ensure there are no legal hurdles in the transaction.
Common NOCs Required:
NOC from VDA (Varanasi Development Authority).
NOC from the Pollution Control Board for commercial properties.
NOC from the Fire Department for high-rise buildings.
8-Verify Registration and Stamp Duty
Property transactions in Varanasi must be registered at the local Sub-Registrar’s Office, and the buyer must pay stamp duty and registration fees.
Current Charges in Varanasi:
Stamp Duty: 7% of the property value.
Registration Fee: 1% of the property value.
Ensure the sale deed is registered within the stipulated time to avoid penalties.
9-Verify Identity of the Seller
It’s important to verify the identity of the seller to ensure they are the rightful owner of the property.
Documents to Verify:
Aadhaar Card or PAN Card of the seller.
Address Proof of the seller.
If the seller is acting through a power of attorney (PoA), verify the authenticity of the PoA.
10-Obtain Possession Certificate
The possession certificate confirms that the seller has handed over the property to the buyer. It is a vital document for obtaining utility connections and future property transactions.
11-Check for Land Use and Zoning Regulations
Ensure that the property complies with land use and zoning regulations set by the Varanasi Development Authority (VDA).
Types of Land Use Zones:
Residential
Commercial
Agricultural
Buying property in the wrong zone can lead to issues in obtaining building permits and utility connections.
12-Check RERA Registration (for New Projects)
If you’re purchasing property in a new project, verify that the developer is registered with RERA (Real Estate Regulatory Authority).
Why RERA is Important:
Protects buyers from delays and fraud.
Ensures that the project meets promised specifications.
Conclusion
Buying property in Varanasi is a valuable investment, but it’s essential to follow the legal procedures to ensure a smooth and secure transaction. By following this legal checklist, you can protect yourself from potential risks and disputes.
At VNSHome, we assist buyers with legal documentation and verification, ensuring that your property purchase in Varanasi is hassle-free.
Looking to buy property in Varanasi? Contact VNSHome today for expert advice and guidance!
