What are the Documents Required to Book a Property?
- Housing - Legal
- October 26, 2023
Booking a flat is a dream come true for everyone. It is the beginning of owning the one place that you can actually call home. With this sentiment in mind, the real estate sector not only supports the local economy, but also many people’s lifelong wishes and dreams. However, achieving this great milestone in life comes with its own processes. Even the transaction that takes place involves various bodies, governmental agencies and various documents. This happens in order to ensure that there are no lapses when it comes to any of the parties involved in the purchase. The list of these documents can be quite long – however, they’re not very difficult to procure. While one definitely needs their government-based identifications, financial documents, etc. at hand, there are a few other names that appear while conducting a real estate sale. Today, we’ll take you through the most important ones that you’ll need in order to make a successful flat purchase. Take a look!
2. Allotment Letter
This is one of the most important documents in a property transaction. Basically, it contains important information like payment schedules, the amount agreed to be paid, the amount that has already been paid and more. This letter is issued to the property’s first owner, and it is crucial for a buyer to ask for a copy of the original document during the real estate transaction process. Thus, a buyer has to make sure that this document is one of the top ones on their checklists when it comes to the documentation process.
3. Sale Agreement
The Sale Agreement is an essential document which contains all the details of the property, like the terms and conditions, the date of possession, the plan of payment, specifications regarding the common areas, facilities, amenities, and more. In order to apply for a home loan, this document is absolutely necessary – banks require the original copy of the sale agreement in order to process the required funds for the purchase.
4. Payment Receipts
Any payments made, major or minor, have to be documented during the homebuying process. This is done via various receipts which indicate the payments that have already been made by the buyer. Thus, payment receipts serve as prime evidence when it comes to the transactions undertaken by the homebuyer. Remember, all payments have to be accounted for – these receipts are key when it comes to that.
5. Property Tax Receipts
While purchasing a property, one has to inevitably pay taxes for the same. Once the tax is paid, the homebuyer will receive a tax receipt. One has to ensure that the previous owner, if any, has paid all the taxes in a timely manner and cleared all their dues towards the property. One can always take a look at the tax receipt record of the previous owner in order to check if they have made all the payments to the government or not.
6. Sale Deed
Another important document is the sale deed, which claims ownership of the title to the property. When purchasing a home, one must prioritise this document, as well. This document is to be taken from the seller, who has to sign it off in order to complete the sale of the property to the new owner.
7. Completion Certificate
The completion certificate serves as proof of the completion of the construction work of the property. This document is absolutely essential while applying for a home loan.
8. Copy of Building Plan
Before investing in real estate, it is important to know all about the property. A prospective homebuyer can always ask for the building plans, which are to be approved by a statutory body like the local municipal corporation, RERA, etc. This document also proves that the construction is legal.
9. Proof of Payment of Stamp Duty
The stamp duty is a predetermined percentage of the total transaction amount which is paid to the State Government during any legal property sale. Thus, it is essential to keep this important document handy.
10. Possession Letter
The possession letter has to be obtained from the seller. This document sets the date on which the homebuyer will possess the property in question. This document is also required to apply for a home loan.
Remember, when all the documents are correctly procured and are in place, the real estate transaction will go smoother for the homebuyer. As the real estate sector continues to boom and remains a lucrative investment option, it is important to know about all the necessary documents and paperwork that needs to be in place before a purchase is made.
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