Actual process and formalities involved in buying land 

Once all the initial checks are made and the land to be bought is properly examined and the negotiation of the price is done, comes the process of actually buying the land.

The first step of actually buying the land is to draft an agreement between the parties involved in the transaction. An agreement is made to make sure that none of the parties involved in the transaction change their mind and go back on what has been decided about the transaction.

This agreement has to be made on Rs.50 stamp paper.

The agreement should cover the following basic things:

  • Agreed cost of the land between seller and buyer
  • Advance amount given by the buyer
  • Time span in which the actual sale should take place
  • What procedure has to be adopted if any of the parties default on the agreement
  • How the losses have to be covered if any of the parties default
  • Particulars of the land

An experienced lawyer should carefully draft this agreement. Many a times, because of an agreement that is not well drafted it becomes possible for one of the parties to default and get away with it.

A long with this agreement, the agreed advance has to be paid by the buyer. After the document is drafted and verified it has to be signed by both parties and two witnesses.

The next step is to prepare a title deed. You could get the title deed written by a government licensed “Document Writer”.

Even lawyers can prepare the deed, but the document can only be computer printed or typed, not handwritten. Only those who hold the “scribe license” can prepare handwritten documents. Make sure all the details mentioned are accurate.

After the agreement is prepared, the next step is “Registration”

The land is to be registered in a sub registrar office. If there is incorrectness in the documents after registering, new documents with the correct details have to be registered and depending on the incorrectness, the registration expenses will have to be repeated.

Make sure that the title deed is registered within the time limit mentioned in the agreement.

Along with the title deed, the other documents that are required for registration are:

  • Original title deed
  • Previous deeds
  • Property/House Tax receipts
  • Torence Plan (optional) etc. plus two witnesses are needed for registering the property.

What is a Torence plan?
Torence plan is a detailed plan of the property prepared by a licensed surveyor that will have accurate details of the measurements including width, length, borders etc. This plan is needed only in some specific areas.

For land costing more than 5 lakhs, the seller should submit either his Pan card or Form Number 16 during registration.

The Expenses Involved

The expenses involved during registration include Stamp Duty, registration fees, Document writers/lawyers fees etc.

The stamp duty will depend on the cost of the property and varies from location to location. 2% will be charged as the registration fees. Document writers fees also depend on the cost of the property and varies with individuals. There is a percentage prescribed by the government as Document writers fee and they cannot charge more than the prescribed limit.

The actual process of registration at the sub-registrars office:

  • Take all the documents mentioned above.
  • Submit the document along with “input form” at the token window and get the token number.
  • Wait till the token number is announced.
  • On token number being announced, all parties to the document must present themselves before the sub-registrar to admit execution of the document, photographed, thumb impression and signature taken on additional sheet of paper in presence of sub-registrar.
  • Pay the required registration fees and computer service charges in cash as per the receipt (Computer service charges are @ Rs.20 per page)
  • The document will be returned within 30 minutes of getting the receipt

Note: Please deal only with Officers and staff of the Registration Department who always display government identity card with Government Seal.

Having completed all the above formalities, your land is now registered in your name. Congratulations!

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Table Of Contents

  1. How to buy land in India? – Introduction
  2. How to choose the “best” location for the land you buy?
  3. Things you “must” check before you buy land!
  4. The actual process of buying land