PGN Property

Author: PGN Property - Bangalore

Contact No. +91-97424-79020
WhatsApp : +91-97424-79020
Email : pgnproperties@gmail.com

Categories
Rental Agreement

How can I verify that my rental agreement is fully registered, and what distinguishes a registered agreement from an estamp agreement?

It’s very easy to verify if a rental agreement is registered. A registered rental agreement consists of the following key information

  • Registration Number – A unique number assigned upon registration
  • The Registration receipt – Proof of registration issued by the sub-registrar
  • Stamp Duty description – Details of the Stamp Duty paid
  • Biometric Verification – Photographs and thumb impression of the parties involved, captured at the sub-registrar’s office
  • Sub-registrar’s seal & signature – Official verification to confirm the registration

Refer to the below visuals of the registered document:

Below is the image of the registration receipt:

TRACKING A REGISTERED RENTAL AGREEMENT:

Once registered, a rental agreement can be verified and tracked online. You can download:

  • Encumbrance Certificate (EC): Records all registered transactions related to the property
  • Certified Copy (CC): A verified copy of the registered agreement

These documents confirm the authenticity of the registered rental agreement.

Is eStamp paper a Registered Rental Agreement?

Few people assume that an estamp paper is a registered rental agreement, but this is incorrect.

  • What is an Estamp Paper?

An estamp paper is a digitally generated stamp paper used for rental agreements of up to one year.

Key Differences from a Registered Agreement:

  • No Physical Registration: unlike a registered rental agreement, an estamp agreement does not require a visit to the sub-registrar’s office.
  • Remote Signing: parties can sign the agreement remotely as their convenience.
  • Not stored in Registration Record: The details of an estamp agreement are not recorded in government registries like EC or CC.

An image of eStamp Paper:

CONCLUSION:

  • To verify if your rental agreement is registered, check for the registration number, receipt, stamp duty details, biometric verification, and sub-registrar’s seal & sign.
  • For official tracking, you can access documents like the Encumbrance Certificate (EC) and Certified Copy CC).
  • If your rental agreement is only on an estamp paper, it is not officially registered at the sub-registrar office.

For further assistance, contact us:

📞 Call or WhatsApp: +91-974247902

📧 Email: pgnproperties@gmail.com

Categories
Power of Attorney

How Can AI Help in Drafting a Power of Attorney for a Property Sale in Bangalore?

Selling a property in Bangalore while being physically absent can be challenging. However, a Power of Attorney (POA) allows you to authorize a trusted individual to handle the sale on your behalf. Traditionally, drafting a POA was a time-consuming and complex process, but with advancements in Artificial Intelligence (AI), creating a valid POA has become faster, more accessible, and accurate.

AI-powered tools simplify document drafting by ensuring accuracy, reducing errors, and saving time. Instead of spending hours manually drafting a POA, AI can generate a professionally structured document within minutes based on specific inputs.

In this guide, we outline three simple and efficient steps to:

  1. Draft a valid POA using AI
  2. Execution of the POA
  3. Register the POA for a valid sale transaction

Whether you are in India or residing abroad, this AI-driven approach can help streamline the property sale process, making it hassle-free and valid.

  1. Draft a valid POA using AI

Drafting a POA using Artificial Intelligence (AI) is an efficient and cost-effective approach. AI-powered tools significantly reduce the time required for document drafting while improving accuracy. Several AI tools, such as ChatGPT, DeepSeek, and Gemini, offer free access to basic features, including drafting, review, and reasoning a document.

When using AI to draft a POA, it is crucial to provide precise inputs to ensure the document aligns with your specific needs. For instance, we recently drafted a POA for one of our clients with the following input

  • Date of Execution
  • Parties involved (husband grants a POA to his wife)
  • Purpose and Jurisdiction: The attorney (wife) will register the sale deed at the sub-registrar’s office in Bangalore, collect the consideration, and hand over the possession to buyer
  • Property Schedule: Flat Number, Apartment Name, Hobli, Taluk, village, e-khata number, dimension and boundaries
  • Consideration Amount

Refer to our input in ChatGPT

By entering these inputs, AI generated a precise POA draft within a minute. Refer to the below draft

Page -1

Page -2

Page -3

After reviewing the content, we requested the AI to provide the draft in Word format for easy download and printing. Refer to our request in the below screenshot

The entire process from drafting to downloading took less than 10 minutes for us. whereas it would have taken at least 2 hours if drafted manually.

2. Execution of the POA

Once the POA draft is ready, follow these steps for execution:

  • Print the POA on plain paper or document paper, as required.
  • The principal (property owner), attorney, and two witnesses must sign the POA

3. Register the POA for a valid sale transaction

To make the POA valid for a sale transaction, it must be registered at the sub-registrar’s office. Follow these steps:

  • Scan the signed POA document
  • Download the latest Aadhaar copy of all parties and witnesses
  • Submit the application on Kaveri Online Services, pay the required stamp duty, and book the registration slot.
  • Visit the sub-registrar’s office at the scheduled time to complete the registration process.

POA EXECUTED ABROAD

If the POA is signed outside India, the process remains the same for drafting and execution, with an additional step:

  • The POA must be notarized or attested by the Indian consulate in the foreign country
  • Upon arrival in India, the POA must be adjudicated for Stamp Duty in the District Registrar’s office in Bangalore before using it for deed registration

For example, one of our NRI clients residing in Turkey needed to sell his property in Bangalore. We generated the content for Special Power of Attorney (SPA) using AI, executed & consulate-attested the document in Turkey, and later adjudicated the Stamp Duty in Bangalore. Refer to the below SPA

Using this AI drafted SPA, we successfully completed the property sale. Refer to the below Sale Deed image

CONCLUSION:

By leveraging AI drafting, you can significantly streamline the POA process, ensuring the accuracy and saving time.

Thank you for reading!

For expert consultation and assistance with drafting and registering your Power of Attorney, contact us:

📞 Call or WhatsApp: +91-9742479020

📧 Email: pgnproperties@gmail.com

Categories
ENCUMBRANCE CERTIFICATE

Why does my Encumbrance Certificate (EC) show a different date than my property registration date?

Many property owners are often confused when they notice that the date in the Encumbrance Certificate (EC) does not match the registration date of their property. This discrepancy arises because the EC reflects the date of execution of the deed, not the date of registration.

UNDERSTANDING THE DIFFERENCE

When a property transaction takes place, two key dates are involved:

  1. Date of Execution – The date on which the deed is signed and executed by the parties involved.
  2. Date of Registration – The date on which the executed deed is officially registered with the relevant authorities.

SHARING A REAL SCENARIO WITH SUPPORTING IMAGES

  • A deed was executed on 02–12–2024. This is the date when the parties signed the document. Highlighted the execution date in below image
  • When submitting the application for registration, we were required to select the date of execution, which in this case was 02–12–2024. Highlighted the selected execution date below
  • The deed was then registered on 04–02–2025. Highlighted the registration date from the Registered Deed below
  • After registration, when we downloaded the EC, the date reflected in the EC was 02–12–2024, which is the execution date, not the registration date. Highlighted the execution date in below EC

COMMON MISCONCEPTION:

Many people assume that the EC should display the registration date, but in reality, it records the date of execution. This is because the execution date signifies when the agreement between the parties was finalized, whereas registration is a legal process that occurs later.

Understanding this distinction can help avoid confusion when reviewing your Encumbrance Certificate. If you ever need to verify the registration date, you should refer to the registered deed rather than the EC.

Thank You for Reading!

We hope this article helped clarify the difference between the execution date and registration date in the Encumbrance Certificate (EC). For consultation, contact us!

📞 Contact & WhatsApp: +91-9742479020

📧 Email: pgnproperties@gmail.com

Categories
NRI

Can NRI gift immovable property to their parents?

Non-resident Indians (NRIs) often wish to transfer their immovable property in India to family members. When gifting an immovable property, two common questions arise:

  • Can NRIs gift property to their parents?
  • What are the tax implications of gifting Property to Parents?

CAN NRIs GIFT PROPERTY TO THEIR PARENTS?

Yes, NRI can gift property to their parents in India. Let me share the key aspects of gifting property

ELIGIBILITY

  • NRIs can gift property to their parents. The NRI must hold a PAN Number
  • The recipient (parent) must be an Indian resident and must hold Aadhaar or PAN Number

TYPE OF PROPERTY THAT CAN BE GIFTED

  • NRIs can gift both residential or commercial properties to their parents

GIFT DEED REQUIREMENTS

  • The transfer of property must be done through a gift deed, which should be properly drafted and executed
  • The gift deed must be registered with the sub-registrar office, and the applicable stamp duty must be paid

TAX IMPLICATIONS OF GIFTING PROPERTY TO PARENTS

TAX ON THE GIVER (NRI)

  • The NRI does not have tax liability on gifting property to their parents in India.
  • If NRI sells the property through a Sale Deed, a TDS of around 20% of the selling price is applicable. However, gifting the property via a Gift Deed eliminates the TDS

TAX ON THE RECEIVER (PARENT)

  • Since parents are close family members, any gift received from their child is not taxable
  • However, if the parents decided to sell the gifted property in the future
    • They will be liable for TDS on the sale proceeds
    • TDS at 1% applies if the sale value exceeds Rs. 50 lakhs
    • No TDS is applicable if the sale value is below Rs. 50 lakhs

STAMP DUTY AND REGISTRATION CHARGES:

  • While the TDS does not apply, stamp duty and registration charges must be paid before the gift deed registration
  • The stamp duty varies by state and it is usually around Rs. 5,000 for transfer between family members

PROCEDURE TO GIFT A PROPERTY TO PARENTS

Let me explain the procedure with a real example. One of my NRI clients is residing in California, USA. wanted to gift his 3BHK flat in Bangalore to his mother so she could rent it out and generate income. Since NRI could not travel to India for the registration, we followed a structured procedure to complete the transfer effectively

GENERAL POWER OF ATTORNEY (GPA)

  • As the NRI was unable to visit India, he decided to execute a General Power of Attorney (GPA) in favor of his mother, allowing her to complete the gift deed registration on his behalf.
  • We drafted the GPA, printed it in California, got it notarized, and couriered it to India.
  • In India, the GPA was adjudicated at the District Registrar’s office. The adjudication fee was Rs. 500

Refer to the below GPA Image

E-KHATA (ELECTRONIC PROPERTY RECORD)

  • The property had a manual Khata, but an e-Khata was mandatory for gift deed registration in Bangalore.
  • Aadhaar is required to apply for an e-Khata online. Since the client is an NRI and does not have an Aadhaar card, (he has only a PAN), we applied for the e-Khata using the mother’s Aadhaar for e-KYC.
  • After submitting the application online, we needed to update the ID proof from the mother’s Aadhaar to the son’s PAN. For this, we submitted the following documents at BBMP
    • Application acknowledgment
    • Son’s PAN card copy
    • Son’s Passport size photo
  • The Assistant Revenue Officer (ARO) updated the ID proof and photo in the existing application. We received the verified e-khata on the same day, refer to the below image

DRAFT THE GIFT DEED

  • The Gift deed included the following details
    • Title, date, and place of execution
    • Details of the donor (NRI) and donee (mother)
    • Property Description
    • Terms and conditions
    • Details of two witnesses
  • The draft was printed on document paper
  • Since the mother was the NRI’s GPA representative, she signed the Gift Deed as the donor’s representative and then signed again as the donee (recipient of the gift).
  • Two witnesses also signed the gift deed

PAYMENT OF STAMP DUTY

  • We submitted the Gift Deed application on Kaveri Online Services for document verification and approval
  • The applicable Stamp Duty and Registration charges were paid, totaling Rs. 7,165 including the scanning fee
  • Once the payment was completed, we booked an appointment for Gift Deed Registration

REGISTRATION OF GIFT DEED

  • On the scheduled date, the following parties visited the sub-registrar’s office for registration:
    • The mother (NRI’s GPA representative)
    • The mother again (as the gift recipient)
    • Two witnesses
  • Biometric verification and photographs were taken as part of the registration process.
  • The Gift Deed was successfully registered, and property ownership was transferred from NRI to the mother.

Refer to the below-registered Gift Deed

CONCLUSION

By following this structured process, we successfully transferred ownership of the property from the NRI to his mother. This allows her to rent out the property and generate the rental income.

Need Assistance with Property Gifting?

If you’re an NRI looking to gift property to your family in Bangalore and need expert guidance, feel free to reach out:

📞 WhatsApp / Contact: +91-9742479020

📧 Email: pgnproperties@gmail.com

Categories
WILL

How much time does it take to register a will in Bangalore?

Creating a will is a crucial step in ensuring that your assets are distributed according to your wishes after your demise. However, the process doesn’t end with drafting the will. Registering the will adds an extra layer of validity and can help prevent disputes among heirs. If you’re in Bangalore and wondering how long it takes to register a will, this blog will guide you through the timelines.

Time Taken to Register a WILL in Bangalore:

The time taken to register a will in Bangalore can vary depending on several factors including the complexity of your assets. Here is the detailed breakdown of the process and the time involved at each stage

Drafting Time:

  • The first step is drafting the will, which can take anywhere from a few days to a couple of weeks, depending on the complexity of your assets and the clarity of your instructions. For instance, if you own multiple properties, investments, or businesses, the drafting process may take longer to ensure all details are accurately captured.

Timeframe: ~1 to 2 weeks

Application and Approval Time:

Once the WILL is drafted, the next step is to submit the registration application, the process is relatively simple mainly because of limited documentation, the documents required are:

  • WILL Draft
  • ID Proofs of the testator (person making the will) and witnesses

If the will includes immovable property, there is no need to prove the title documents for verification such as the parent deed, sale deed, ekhata, and tax payment, hence making the process even simpler

Process:

  • The entire application process is online
  • Enter the details of the applicant and two witnesses, including name, age, gender, contact number, and address
  • Upload the WILL draft and ID proofs. Most likely the application will be approved within a day
  • Pay the fee and book the registration slot

Timeframe: ~1 day

Registration Time:

As per your registration slot, visit the sub-registrar’s office with a printed WILL (to be registered) and two witnesses

The actual registration process is usually completed within 5–10 minutes. However, staff at the sub-registrar’s office may take around 30–45 minutes to stamp, sign, and scan the WILL document after the actual registration. You can consider the overall time of approximately one hour.

Timeframe: ~1 hour

Real-Life Example:

In a recent case, we helped a client register their will in Bangalore. Here is the time frame of our execution

  • Drafting the WILL: 5 days
  • Application submission and approval: 1 day
  • Registration at the sub-registrar office: approximately 45 minutes (including stamp, sign, and scanning)

The entire process, from drafting to registration, was completed within a week. Refer to our below registered WILL

Conclusion

Registering a will in Bangalore is a straightforward process that can typically be completed within an hour, provided you have the draft and ID proof. While the process is simple and easy, it’s a small investment of time and effort to ensure that your wishes are honored and your loved ones are protected from potential legal disputes.

For professional assistance with drafting and registering your will, feel free to contact us:

PGN Property
Contact No. +91-9742479020
email: pgnproperties@gmail.com

Categories
Special Power of Attorney

What Information Must Be Included in a Special Power of Attorney (SPA) for Property Dealings?

A Special Power of Attorney (SPA) for property dealings is a legal document that authorizes another individual (referred to as the attorney-in-fact or agent) to act on your behalf for specific property-related matters. This document is crucial for ensuring smooth property transactions, especially when the principal cannot be physically present. Below is a comprehensive guide to the essential information and procedures required for drafting and executing a SPA for property dealings.

1. Title and Declaration

  • The document must clearly state “Special Power of Attorney” to distinguish it from a General Power of Attorney.
  • Include a declaration identifying the principal (the person granting authority) and explicitly state their intent to authorize the agent for specific property-related transactions.

2. Details of the Principal

Provide the following details about the principal:

  • Full Name
  • Current and Permanent Address
  • Contact Details (phone number and email)
  • Valid Identification Details (such as Aadhaar, PAN, Passport, or OCI Number)

3. Details of the Agent (Attorney-in-Fact)

Include the following details about the authorized individual:

  • Full Name
  • Current and Permanent Address
  • Contact Details
  • Valid Identification Details (such as Aadhaar, PAN, or Passport Number)

4. Specific Property Details

The SPA must include detailed information about the property involved, such as:

  • Property Type (residential, commercial, agricultural, etc.)
  • Full Address (e.g., Flat Number, Apartment Name, Village Name, Hobli, Taluk, and District)
  • Measurement (e.g., Carpet Area, Built-Up Area, Super Built-Up Area, and Undivided Land Share)
  • Survey Number, Conversion Order Number, and eKhata Number (if applicable)
  • Boundaries (East, West, North, and South)
  • Ownership Details, including registration number, book number, year of registration, and date of registration.

This ensures there is no ambiguity about which property the SPA pertains to.

5. Scope of Authority

  • Clearly define the specific actions the agent is authorized to perform. For example, “Presenting the Sale Deed for registration at the sub-registrar’s office.”
  • Clearly outlining the agent’s scope of authority helps prevent misuse or overreach.

6. Restrictions or Limitations

  • Specify any limitations on the agent’s authority, such as prohibiting them from selling the property, transferring ownership, or collecting payments from the buyer.

7. Duration and Validity

  • An SPA typically remains valid until the specified transaction is completed. However, you may choose to define a specific validity period.
    • Example: “The SPA is valid until the specified Sale Deed Registration is completed.”

8. Procedure for Execution

If the SPA is Executed in India:

  1. Draft the SPA and print it on document paper.
  2. Signatures: Both the principal and the agent must sign the SPA on all pages.
  3. Witnesses: The SPA should be signed in the presence of at least two witnesses, whose details (name, address, and signature) must be recorded.
  4. Registration: For property-related transactions, registration at the nearest sub-registrar office is mandatory.

If the SPA is Executed Abroad (for NRIs):

  1. Draft the SPA and print it on bond paper.
  2. Signature: The principal signs the SPA on all pages.
  3. Witnesses: The SPA should be signed in the presence of at least two witnesses, whose details (name, address, and signature) must be recorded.
  4. Notarization: Notarize the SPA by a notary public in the country of residence.
  5. Attestation: Attest the SPA by the Indian Embassy or Consulate in the country of residence.
  6. Send the Attested SPA and signed Sale Deed to India.
  7. Adjudicate the SPA in the District Registrar’s office in the jurisdiction where the property is located.

9. Case Study: NRI SPA Execution

•   Our recent transaction involved an NRI from North Carolina, USA, who executed a SPA to authorize his father-in-law to complete a property sale in Bangalore.

•  The SPA was notarized in North Carolina and adjudicated the Stamp Duty in the District Registrar’s office in Bangalore. Refer to the below SPA

The principal sent the signed Sale Deed from the NC, USA to India, and the father-in-law presented it at the sub-registrar office in Bangalore for registration. Refer to the below registered Sale Deed

10. Revocation Clause

  • The revocation of an SPA must be communicated in writing and registered with the appropriate registrar’s office.
  • If the SPA needs to be revoked before the specified task, follow the procedure below.

Procedure for Revocation of SPA

If the Revocation SPA is Executed in India:

  1. Draft the Revocation SPA and print it on document paper.
  2. Signatures: Both the principal and the agent must sign the revocation SPA on all pages.
  3. Witnesses: The revocation SPA should be signed in the presence of at least two witnesses, whose details (name, address, and signature) must be recorded.
  4. Registration: Register the Revocation SPA at the nearest sub-registrar’s office.

If the Revocation SPA is Executed Abroad (for NRIs):

  1. Draft the Revocation SPA and print it on bond paper.
  2. Signature: The principal signs the revocation SPA on all pages.
  3. Witnesses: The revocation SPA should be signed in the presence of at least two witnesses, whose details (name, address, and signature) must be recorded.
  4. Notarization: Notarize the revocation SPA by a notary public in the country of residence.
  5. Attestation: Attest the revocation SPA by the Indian Embassy or Consulate in the country of residence.
  6. Send the Attested Revocation SPA to India.
  7. Adjudicate the Revocation SPA in the District Registrar’s office in the jurisdiction where the property is located.
  8. If the agent does not cooperate with the revocation, the SPA can still be registered or adjudicated without their presence at the sub-registrar or District Registrar’s office.

Conclusion

By following the above guidelines, you can ensure that your Special Power of Attorney (SPA) for property transactions is valid, clearly defined, and enforceable. Whether you are in India or abroad, understanding the process and including all necessary details will help you avoid complications and ensure a smooth property transaction.

If you need professional assistance with drafting, notarizing, or registering an SPA, feel free to reach out to us. We’re here to help!

Contact Us:

Phone/WhatsApp: +91-9742479020

Email: pgnproperties@gmail.com

Categories
Home Loan

Can I Clear the Seller’s Home Loan Directly When Buying a Resale Flat?

If you are buying a resale flat where the seller has an existing home loan, you have several options to proceed with the transaction. Let’s explore these options and understand the safest way to handle this situation

OPTIONS FOR HANDLING THE SELLER’S EXISTING HOME LOAN:

Option 1: Loan Transfer within the same bank:

The process is relatively simple if you are taking a home loan from the same bank where the seller has their loan. The bank will transfer the loan balance from the seller’s account to your account without releasing the property documents.

Option 2: Loan Transfer to Another bank:

The process of taking a home loan from a different bank involves,

  • The seller collects the List of Documents (LOD) from their bank
  • Handing over the LOD to your bank
  • Your bank issuing a cheque to the seller’s bank to settle the loan
  • Collecting the property documents from the seller’s bank

Option 3: Self-Finance (without a Home Loan)

If you are buying the property with your own funds, you can directly help the seller clear their loan by making a payment to the seller’s bank. Once the loan is cleared, the seller can collect the property documents.

However, this option carries some risks:

  • The bank will not release the property documents directly to you
  • The seller may delay handing over the documents until the Sale Deed is Registered, which can be stressful

CASE STUDY: LOAN TRANSFER FROM ONE BANK TO ANOTHER

Here is a real-life scenario we encountered recently:

  • Property Details: The resale flat’s price was Rs. 60 Lakhs, and the seller has a loan outstanding of Rs. 22,25,408 from IDFC First Bank
  • Buyer’s Loan: The buyer took a loan from SBI

Procedure Followed:

  • The Buyer paid a token amount of Rs. 10,000 to the seller and signed the Sale Agreement
  • The Seller collected the LOD from IDFC First Bank and handed it over to SBI
  • SBI approved the buyer’s loan of Rs. 50 lakhs based on the LOD, Sale Agreement and income proof
  • SBI disbursed the loan amount in two cheques:
    • Cheque 1: Equivalent to the seller’s loan outstanding amount, addressed to IDFC First Bank
    • Cheque 2: Final settlement amount, addressed to the seller’s name

The seller and SBI representative visited IDFC First Bank to hand over the cheque 1 and collect the title documents

(Note: The cheque for loan clearance is addressed to the seller’s bank. Refer to below image)

  • The buyer and seller registered the Sale Deed
  • Seller and Bank registered the Memorandum of Deposit of Title Deed (MODT)
  • SBI released the cheque 2 to the seller as the final settlement

KEY TAKEAWAYS:

If self-Financing:

  • Write a cheque directly to seller’s bank for loan clearance
  • Be cautious, as the seller will collect the property documents and may not hand them over until after Sale Deed Registration

If Taking a Home Loan:

  • This is the safest option
  • The bank manages the financial transactions and secures the property documents on your behalf

Pro Tip: Even if you can self-finance, consider taking a small home loan to ensure a secure transaction.

For consultation, please write to us pgnproperties@gmail.com or WhatsApp to +91-97424-79020

Thank you for reading…

Categories
ekhata

Why is my ekhata non-transactable on Kaveri Online Services? How do I resolve it?

If your ekhata is non-transactable on Kaveri online services, it’s likely because it hasn’t been verified. Here’s an explanation of why this happens and how you can resolve it.

WHY IS EKHATA NON-TRANSACTABLE?

The primary reason for this issue is that your ekhata is unverified. When an ekhata is not verified, it cannot be used for transactions, including property registration at the sub-registrar’s office. Below is an example of the non-transactable status page for reference

HOW TO RESOLVE

To resolve this, you need to verify your ekhata. Let me share a similar experience I had with one of my clients:

CASE STUDY: A CLIENT’S EXPERIENCE

One of my clients urgently needed an ekhata for property registration. He logged into the eAasthi website to apply for an eKhata. During the application process, there’s an important decision to make:

  • Option 1: Select “Yes”

By selecting “Yes” you request a Verified eKhata, which takes 2–3 days to process and is valid for property registration at sub-registrar office

  • Option 2: Select “No”

By selecting “No,” you get an unverified eKhata instantly, but it cannot be used for property registration

Since my client needed the ekhata immediately, he selected “No.” Below is an image highlighting the “No” option for reference

My client downloaded the unverified ekhata immediately, unaware that this was unable to use for property registration

THE PROBLEM WITH AN UNVERIFIED EKHATA

My client attempted to use eKhata for property registration on the Kaveri Online Services portal. However, he encountered an error message

“THE PROPERTY IS AVAILABLE BUT NON-TRANSACTABLE.” Refer to the image below.

Initially, he thought it might be a technical issue and tried logging in again to refill the application. Despite multiple attempts, the problem persisted

POTENTIAL REASONS FOR NON-TRANSACTABLE STATUS

After seeking assistance, we discovered these common causes:

  1. ekhata application not properly uploaded or verified by ARO
  2. Legal dispute on the property
  3. Property tax not paid
  4. Data Mismatch: ePID entered in Kaveri must match with ePID in ekhata

In my client’s case, there were no legal disputes, tax were up to date, and the ePID was correct. Upon closer inspection, we found the issue: “UPLOAD EC” was pending in the eAasthi account. See the highlighted section in the image below.

HOW WE RESOLVED IT

  • Applied for the Latest EC: We obtained the latest Encumbrance Certificate (EC) and uploaded it to the eAasthi portal.
  • Verification: Within two days, the ekhata was verified. Below is an image highlighting the “Yes” option in the application, indicating a verified status and ready for registration
  • Registration: Once verified, we logged into Kaveri portal, entered the ePID number, and successfully completed the property registration without encountering the non-transactable issue. See the transactable image below for reference

CONCLUSION

The key to resolving the non-transactable issue is ensuring your ekhata is verified. Always select “Yes” in your eAasthi application if you plan to use the ekhata for property registration.

By following these steps, you can avoid unnecessary delays and ensure smooth property registration process.

Thank you for reading…

For consultation, please write to us pgnproperties@gmail.com or Whatsapp to +91-97424-79020

Categories
Sale Agreement

How do I make a Sale Agreement for a Resale flat in Bangalore?

A Sale Agreement is a Preliminary agreement between Seller and Buyer. It outlines the terms and conditions of Sale and safeguards the interest of both parties. It contains all the essential elements such as:

  • Date and place of agreement execution
  • Seller & Buyer name, age, address, and identification proof
  • History of the transaction (previous owner details)
  • Buying price, payment terms, and TDS
  • Property Schedule includes flat number, measurement of flat. apartment name, village name, Taluk, Hobli, and District
  • Timeline to complete the Sale Deed Registration
  • Cancellation clause
  • Dispute and Jurisdiction clause
  • Two witnesses’ details

OBJECTIVE: We are going to cover the following topics which will give a wholistic understanding of Sale Agreement for a resale flat in Bangalore

  • Documents Required for Sale Agreement
  • Basic validation of documents for Sale Agreement
  • Sale Agreement Execution
  • Stamp Duty for Sale Agreement
  • Cost of Executing a Sale Agreement
  • Denotation of Stamp Duty

DOCUMENTS:

The seller should provide the following documents for Sale Agreement execution

  • Parent Deed
  • Sale Deed
  • eKhata
  • Property tax receipt
  • Aadhaar

VALIDATION:

Buyers must do the basic validation of documents and we can do the below validation at the comfort of your home.

  • Extract the Encumbrance Certificate (EC) on Kaveri Online Services:  Extract the EC since the 1st Parent Deed registration. EC provides a list of all transactions related to property
  • Extract Deed certified copies on Kaveri Online Service:  Extract the certified copy since the 1st parent deed registration. The sequence of ownership from the 1st parent deed to the current deed should be in chronological order, continuous and unbroken
  • Extract ekhata on eAasthi website to check the current ownership of the property and validate the ekhata on Kaveri Online service using ePID
  • Extract the current financial year property tax receipt from the respective municipality’s website

It costs less than Rupees one thousand to extract EC, CC, and ekhata and it takes around 5 working days to get signed copies. These validations might save you from fraud deals

You must hire a lawyer for critical validation, such as disputes and auction properties. Lawyers can meticulously verify the documents, and advise the potential pros and cons which would help us with proactive decision-making

EXECUTION:

We can make a Sale Agreement in three different ways, they are:

  • Sale Agreement by Registration
  • Sale Agreement by Adjudication
  • Sale Agreement by Non-Judicial e-stamp

In this answer, we will cover only the Sale agreement by non-judicial e-stamp paper. Refer to the below execution procedure

  • Draft the Sale Agreement
  • Share the draft with other party for draft confirmation (usually buyer makes the sale agreement hence the buyer must get draft confirmation from the seller)
  • Buy a non-judicial e-stamp paper in a co-operative bank or near the sub-registrar office or court premises. You need the following information to buy an e-stamp paper
    • Description: Sale Agreement for Immovable property (when you purchase e-stamp paper for Sale Agreement, you must insist to the stamp vendor that you need a Sale Agreement for immovable property. Most often don’t specify immovable property and they end up generating the wrong e-stamp paper for movable property which could be the costliest mistake)
    • 1st Party: Seller Name
    • 2nd Party: Buyer name
    • Purchased by: The person who purchases the e-stamp paper
    • Consideration Price: Buying Price
  • Print the 1st page of Sale Agreement Draft on non-judicial e-stamp paper and use plan A4 size with at least 100GSM paper to print consecutive pages of Sale Agreement
  • Seller, buyer, and Two witnesses sign the Sale Agreement

A Sale Agreement looks like the below image and we highlighted the Description for your understanding

STAMP DUTY:

The Stamp Duty for sale Agreement is 0.5% of the buying price

For Example: The buying price is Rs. 64 lakh

Stamp Duty for Sale Agreement is Rs. 64,00,000*0.5% = 32,000

COST:

Below is the cost incurred for me to execute the above Sale Agreement

  • Stamp Duty: Rs. 32,000
  • e-Stamp paper processing fee at co-operative bank is 5% of stamp duty that Rs. 32000 * 5% = 1600
  • Paper and printing: Rs. 100 (approx.)
  • Total cost Rs. 33,700/-

LEAD-TIME:

Time taken to execute the above Sale Agreement for me:

  • Drafting and draft confirmation with seller: 1 day (productive time is around an hour)
  • e-stamp paper purchase and Sale Agreement printing: 1 day (productive time 30 minutes)
  • Seller, buyer, and two witnesses sign: 1 day (Productive time is 30 minutes)

The total time taken to execute the above Sale Agreement is 3 days (productive time is ~ 2 hours)

DENOTATION:

The Stamp Duty paid for Sale Agreement is offset in the stamp Duty payable for Sale Deed

For Example:

  • The Stamp Duty for Sale Agreement is Rs.32,000
  • The Stamp Duty for Sale Deed is Rs. 3,20,000
  • The actual stamp duty payable for Sale Deed registration is Rs. 3,20,000–32,000 = 2,88,000/-

At the time of Sale Deed registration, Select the Denotation of Stamp Duty in your application to offset the Stamp Duty

We assist Sale Agreement for resale flat, please write to us pgnproperties@gmail.com or Whatsapp +91-97424-79020

Thank you for reading…

Categories
Loan Closure

My loan has been paid successfully. How do I get my NOC (No Objection Certificate)?

The loan cycle consists of three major stages, they are:

  • Loan approval
  • Repayment of Loan
  • Loan Closure

Most are aware of Loan Approval and Repayment, but few are familiar with Loan Closure Formalities. In this blog, we are going to cover the final stage of loan closure formalities

Once the loan is paid successfully, a loan closure certificate is generated, which is the NOC (No Objection Certificate). The loan closure certificate is an important document issued by the lender indicating that you have no outstanding dues toward them. Your loan cycle ends once you collect the “Loan Closure Certificate.”

For example:

One of my clients successfully paid the home loan amount of Rs. 36 lakh. Immediately after the payment, he could download the “Loan closure certificate” from his online loan account.

Refer to the below Loan Closure Certificate:

We did not visit the branch to complete the loan closure formalities. Instead, we logged into our online loan account, paid the final outstanding amount, and downloaded the “Loan Closure Certificate.”

In case your bank has not provided the option to download the loan closure certificate online, you must visit the branch to complete the closure formalities. The bank will close your standing instructions or autopayment of your loan and issue a “Loan Closure Certificate” sealed & signed manually by bank authority

The manual “Loan Closure Certificate” looks like the below image:

For consultation, please write to us pgnproperties@gmail.com or WhatsApp to +91-97424-79020

Thank you for reading…