Step-by-step guide to registering your property.

Owning a property is a dream come true, but possession is just the beginning. To make ownership legally valid, property registration is a mandatory step. While it involves paperwork and legal formalities, understanding the process can make it seamless. Here’s a complete guide to registering your property, whether you’re buying from a builder or in resale.

Property Registration Process Overview

Property registration in India is governed by the Indian Registration Act, 1908. The process ensures the legal transfer of property from seller to buyer and protects the buyer’s rights. The registration process involves a few key steps:

Step 1: Drafting and Signing the Sale Agreement

The first step is creating a sale agreement, a legally binding document outlining:

• Sale price and payment schedule
• Token or earnest money paid
• Possession date and timelines
• Any additional terms or conditions

In many states, including Maharashtra and Uttar Pradesh, the sale agreement is legally recognized only after paying stamp duty and registration charges on the document.

Step 2: Drafting the Sale Deed

Once the terms of the sale agreement are fulfilled, a sale deed is drafted. Unlike the sale agreement, this document legally transfers ownership. Key points in this step:

• Drafted by a lawyer based on agreed terms
• Reviewed and approved by both buyer and seller
• Stamp duty calculated (usually 6–9% of property value depending on the state)
• Stamp paper purchased for the deed based on the duty amount

Step 3: Execution of the Sale Deed

After drafting, both parties visit the Sub-Registrar’s office for execution:

• Each party brings one witness to attest the signing
• Documents are verified
• Payment for stamp duty and registration is confirmed
• Sale deed is signed by buyer, seller, and witnesses

Step 4: Registration of the Sale Deed

On the appointed date:

• Both parties visit the Sub-Registrar’s office with documents, including:
  • Sale deed with signatures
  • Latest municipal tax receipts
  • Property registration records
  • PAN cards, photo ID, and passport-size photos
  • Stamp duty challan/receipt
• Registrar examines the documents and officially registers the property

Step 5: Payment of Registration Charges

Finally, the buyer pays registration charges, typically 1% of the property’s final sale price, and completes biometric verification (fingerprints/signatures). Once done, the buyer receives the registered sale deed, making them the legal owner.

Property Registration When Buying from a Builder

Buying a new property from a builder is straightforward:

1. Builder drafts the sale agreement; buyer reviews and signs.
2. Builder prepares the sale deed; lawyer reviews for legality.
3. Buyer pays stamp duty and registration charges.
4. Both parties appear at the Sub-Registrar’s office for execution.
5. Builder hands over the possession certificate and keys.

Key Advantage: No prior ownership verification is required since the builder is the first owner.

Property Registration in a Resale Transaction

Resale transactions require more due diligence:

1. Verify seller’s title, past sale deeds, encumbrance certificate, and property tax receipts.
2. Draft a customized sale agreement with payment schedule and possession terms.
3. Lawyer drafts and reviews the sale deed.
4. Buyer pays stamp duty and registration fees.
5. Both parties visit the Sub-Registrar’s office with ID proofs, documents, and witnesses for registration.

Key Difference: Resale involves detailed title verification and coordination between two individuals. Documentation may vary depending on prior ownership and property history.

Important Tips

• Ensure the sale deed correctly reflects buyer and seller names, property details, and payment terms.
• If someone else signs on your behalf, use a registered Power of Attorney (POA), not just a notarized one.
• Always collect the registered sale deed copy as legal proof of ownership.

Frequently Asked Questions