Must-Have Legal Documents for Buying a Flat in Kannur

Having your own home is a dream come true for many people, and they often work towards this for almost their whole lives. Keep in mind that understanding the real estate market in Kannur for flat buyers is crucial, especially if you’re a first-time buyer. You need to consider numerous factors like the real estate trends, the best localities in Kannur, the type of property you want to purchase, the reputation of the builder or property developer whose projects you are interested in, your budget, financing options, and the must-have legal documents for buying a flat in Kannur. The purchase and sale of real estate properties is highly regulated by the government and agencies like RERA and 

There are a number of documents that you will need to complete the purchase of flats in Kannur. Let’s take a look at them:

Sale Agreement

This is an important document that is signed between you, the purchaser of the flat, and the builders in Kannur from whom you are buying the property. This document should contain all the details of the transaction, like the property value and loan amount. It should contain details of the property including the location, size, and so on. This is important as the loan will be given by financial institutions by considering the lower of the market value or agreement value of the property.

Sale and Title Deed

As the title deed actually records the transfer of ownership from the property developer or current owner to the buyer (you), it is the single most important document that is required in a property transaction. By law, you have to register this document, once every single person involved in the transaction has signed it. Buyers need to make sure that the title is clear and there is no encumbrance or questions regarding the ownership title. Usually, the title deed has to be registered in the same town as the property’s location, in the nearest sub-registrar’s office that has the jurisdiction.

Title Search and Report

The property title search is a document which mentions the entire process of the verification of the property’s title and its history. This is taken from the sub-registrar’s office where the previous deeds were registered. Details in this document include the names of all title holders in sequence, joint tenancy if any, the description of the property in question, and so on. This document is very important if you want to apply for a housing loan to acquire it.

Encumbrance Certificate

The encumbrance certificate is a proof that there are no loans or encumbrances of any sort on the property. While this may not be absolutely mandatory, it is good to have this document for your own safety. It is essential when you apply for a housing loan to purchase this property, as the lender will want to ensure that the title is clear and without any encumbrance. The certificate contains details of all transactions that have been conducted with regard to the property.

RERA Certificate

If the property you are thinking of purchasing has been constructed or is slated to be constructed on plots of land that are over 500 square metres in size, or if the building plan states that more than eight apartments will be built, the property has to be registered under RERA, or Real Estate Regulatory Authority. A RERA certificate proves to buyers and other stakeholders that the builder is a genuine and credible builder who can be trusted.

Property Tax Receipt

This is the receipt given by the authorities when the tax on property has been paid. It is a proof of payment of all property taxes that were due on it, and that nothing is pending or outstanding. This is a proof of the property’s legal standing and is a critical document of property support.

Occupancy Certificate

The Municipal Corporation issues this certificate to builders when the construction is completed, and they finish inspecting the property to verify that the construction is as per the approved plan. It is proof that the building is ready to be moved into.

NOCs

Enquire if the builder has to obtain no-objection certificates from relevant authorities like traffic, environment, pollution, and any other applicable authorities.

Sanctioned Building Plan by Statutory Authority

A builder is required to submit the approved building plan so that potential buyers know what was approved and if there are any deviations.

POA

A power of attorney is not mandatory, but if you are going to be unable to handle the transaction yourself for any reason, get a POA executed in favour of a trusted person for seamless handling of all property related activities.

Conclusion

We have given you a list of the most essential and must-have legal documents for buying a flat in Kannur, but all the documents may not be required in every type of property transaction. There could also be some different documents for certain transactions. When you purchase property from a reputed builder like PVS Builders, you can be sure of a smooth and transparent buying experience. You can be sure of things like clear title, a water-tight agreement, and fair practices. PVS Builders is one of the leading builders in Kerala with several successful projects in various cities.

Also Read: Vastu Tips for Welcoming positive energy in flats in Kannur