What the government has not been able to achieve all along is being made possible by low interest rates — though they have been creeping up of late — and tax breaks.

Despite high municipal taxes, stamp duty and sanction fees, house-building received a leg-up during the past three to four years. A large section of the middle class is now able to afford apartments, aided by an increase in disposable income as well as the supply of homes.

However, procedural complications of buying property could become daunting and confuse the home-seeker. Propertt provides answers to some frequently asked questions on title search and registration:

Question: I want to purchase a property in Calcutta. How do I proceed?

Answer: Identify a property in your preferred location either through a newspaper advertisement or through a reliable broker/property agent operating in that area. After locating the right property at the desired price, ask the seller for a photocopy of all title papers. The documents will enable your lawyer to carry out searches on the title of the property.

Q: Is the title search for a property an essential step before purchase?

A: Yes, this is the most important step you are required to take even before making an advance in the form of earnest money to the potential seller. Title searches should be carried out thoroughly in all the sub-registrar or registrar offices that are entitled to register that property. Such searches will help establish whether the property has already been sold to another party and whether the seller has the right to transfer the asset.

Searches should also be conducted in all courts having jurisdiction over the property to determine whether there is any pending suit. Municipal records as well as land revenue records or any other place that your lawyer would want to cover should be checked.

The research should be exhaustive and extensive, going back to as many years as possible. Lawyers may charge more if the number of years is more but it is better to spend money on this count than burn a fortune on the property and realise later that the deal is invalid because of title problems.

Q: What should I do after the preliminary title searches are over?

A: You should enter into an agreement for sale with the seller on payment of earnest money, which normally is 10 per cent of the total valuation of the land, or in certain cases, a little more. The agreement for sale should be registered with the sub-registrar of assurances. A non-registered agreement cannot be used to enforce the contract of sale.

However, you can register the agreement for sale within a period of four months from the date of execution of such agreement. The registration will require payment of stamp duty and other charges.

Q: When should I register the sale deed?

A: Wait for your lawyer to give you the title search report. It should confirm that the title of the property is free from all encumbrances. You should get the property measured and ensure that no municipal taxes are due. You can then proceed with the registration of the sale deed.

A day before going to the registrar’s office, it is better to request your lawyer to give a list of documents that you should take. If bank loan is involved, get your lawyer to speak to the bank’s representative and fix the time and place of registration clearly. Some registrars will not allow the seller to sign until the bank’s representative hands over the cheque. If the bank’s agent lands late or goes to the wrong place, you will miss your turn and may have to wait longer at the usually chaotic registration office.

The sale deed is normally registered with the sub-registrar of assurances on payment of full stamp duty. You will, however, get credit of the stamp duty paid earlier while registering the agreement for sale. That amount will be deducted from the total stamp duty payable for registration of the sale deed.

Q: What other formalities are to be done while registering the sale deed?

A: You have to take physical possession of the property simultaneously with the registration of the sale deed. You should either commence construction of a boundary wall on the property if it is not there or appoint your own security guard on the premises whether or not there is a boundary wall and take control of the property to ensure that there is no encroachment.

Q: What steps shall I take to get the property mutated in my name after the purchase?

A: You should make an application for mutation before the municipal authorities in proper form with a photocopy of the registered sale deed already obtained from the sub-registry office for getting the property mutated in your name in the municipal records.

Q: Is there anything else I should do?

A: Affix your nameplate or a plaque on the property, declaring you are the owner of the property. It is also advisable to inform the local police station about the purchase of the property.