Tenancy in Common (TIC) in Indian Real Estate:

Tenancy in Common (TIC) in Indian Real Estate: Tenancy in Common (TIC) is a legal arrangement in which two or more parties jointly own a piece of real property, such as a building or a parcel of land. This structure allows each party to hold a distinct share of the property, adding flexibility and shared responsibility to property ownership. A significant feature of a TIC is that any party can sell their share of the property independently and also reserve the right to pass on their share to their heirs, making it an attractive option for estate planning. Prevalence of Tenancy in Common in India: TIC arrangements are most prevalent in urban areas of India, especially in bustling cities like Mumbai, Delhi, Bengaluru, and Chennai. In these densely populated regions, where real estate prices can be prohibitive, TIC enables multiple investors to co-own properties, which makes it easier to enter the property market together. This arrangement is commonly utilized in residential complexes and...
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Documents to be checked and collected by the Buyer while purchasing a property in India

What are the important documents that need to be verified before buying a property in India: 

When purchasing a property in India, buyers should undertake a thorough due diligence process to ensure a smooth and legal transaction. Here is a list of documents that buyers should check and collect:

 

1. Title Deed: Verify the seller's ownership of the property through the title deed. Ensure it is clear and free from encumbrances.

 

2. Sale Deed: This legal document transfers ownership from the seller to the buyer. Ensure it is properly executed and registered.

 

3. Encumbrance Certificate: This certificate confirms that the property is free from any legal dues or mortgages. Check for any encumbrances over the past 15-30 years.

 

4. Property Tax Receipts: Ensure the seller has paid all property taxes up to date. Request copies of receipts as proof.

 

5. Khata Certificate and Extract: These documents establish the property's ownership and property details as per the municipal records.

 

6. Building Approval Plan: Verify if the property has the necessary approvals from the local municipal authorities for its construction.

 

7. Completion Certificate: Ensure that the property has received a completion certificate from the relevant authorities.

 

8. Occupancy Certificate: This certificate confirms that the property is suitable for occupancy according to the municipal regulations.

 

9. Land Use and Conversion Certificates: Check if the land use is as per the zoning regulations and that agricultural land has been converted for residential or commercial use, if necessary.

 

10. NOC from Society or Apartment Association: If the property is in a housing society or apartment complex, ensure that the seller has obtained a no-objection certificate (NOC) from the association.

 

11. Power of Attorney: If the property is being sold through a power of attorney, verify the legality of the document.

 

12. Mutation Register Extract: This document records changes in property ownership. Ensure it reflects the seller's name.

 

13. Sale Agreement: Review the terms and conditions mentioned in the sale agreement to ensure they are fair and legal.

 

14. Possession Certificate: If the property is under construction, obtain a possession certificate that confirms your right to occupy it.

 

15. Receipts for Advance Payments: Keep copies of all payments made to the seller, including the advance and booking amounts.

 

16. Legal Due Diligence Report: It's advisable to hire a lawyer to conduct a legal due diligence on the property and provide a report.

 

17. NOC from the Pollution Control Board (if applicable): Certain properties, especially industrial or commercial, may require this certificate.

 

18. Environmental Clearance (if applicable): Ensure that the property complies with environmental regulations.

 

19. Home Loan Approval Letter (if applicable): If you're obtaining a home loan, keep a copy of the approval letter from the bank or financial institution.

 

20. Any other relevant documents: Depending on the property type and location, there may be additional documents required.

 

Consulting with a legal expert or real estate advisor is highly recommended to ensure a thorough and legally sound property purchase in India. Additionally, check the specific requirements and regulations in the state and city where the property is located, as they can vary.


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