Property Ownership Transfer in India (with Haryana Guide)
While owning a property is a great achievement, it is equally important to have your ownership recognized legally. If property isn’t properly documented and registered, then there is a potential for your ownership to be disputed in the future thus creating conflicts for you.
Proper property ownership transfer will ensure:
- You possess legal proof of ownership which is really needed for all future property transfers.
- You can sell, mortgage or lease the property as intended, without stress.
- That you can pass on ownership easily to your beneficiaries without disputes.
- Is legally protected against fraudulent claims and ownership disputes.
A common error most owners make is confusing title transfer with mutation. The two are different processes:
• Title transfer occurs when the deed is registered at the Sub-Registrar’s Office because you are a recognised legal owner.
• Mutation records the change of ownership with the local government, to update existing revenue and property tax records.
Both title transfer and mutation processes are equally important to complete to prevent difficulties in the future within the legal system.
Types of Property Ownership Transfer
Transactions of property transfer require different legal documents. The following are the most common ways of transferring property ownership in India:
Sale Deed
This is straightforward and the most common form of transfer. To complete the sale of property legally, a sale deed must be executed and registered.
Example: If you sell your flat located in Gurugram to a prospective buyer, you must sign and register a sale deed at the Sub-Registrar's office. Without the registration of the sale deed, the transaction will remain incomplete legally. Also, if you have invested in the best areas in Gurgaon, you will get high returns.
Gift Deed
A gift deed is executed when a property is given without voluntary consideration and usually to close family members.
Example: Parents are giving their home to their children as gifts. Registration of the deed must be completed, and stamp duties must be paid.
Will & Inheritance
In case the legal owner dies, and the property is transferred to the heirs as per the will or if there is no will, as per the laws of succession.
Example: A father writes a will, and his two children are his heirs. In case of any probate requirements, they would inherit the property by presenting the will.
Partition Deed
This deed is used where siblings or other co-owners divide jointly owned property, to allow for individual ownership.
Example: Two brothers who own ancestral farmland together execute a partition deed to divide their own portions.
Relinquishment Deed
An example where an heir voluntarily mentions that they give up their share in favour of another. The relinquishment of the property is recorded at the sub-registrar's office.
Example: A daughter sunders her share of an inherited house in favour of her brother, allowing him to own the house in its entirety.
Exchange Deed
An exchange deed is used with a mutual understanding to swap properties. This deed is far less common.
Example: Farmer A has land in one district and Farmer B has land in another district and they agree to exchange agricultural plots in order to combine them into one plot.
Power of Attorney (POA)
A registered POA is often utilized by NRIs or busy professionals to allow someone else to hold power on property, execute a sale or transfer of property.
Example: An NRI living in Canada registers a Power of Attorney granting his brother in Gurugram to execute a sale of ancestral land.
Documents required for Property Ownership Transfer
Having the right documents prepared will save you time. The documents you require are:
- Registered Sale, Gift, or Transfer Deed
- Identity proof of both parties, such as Aadhaar, PAN, voter ID or passport
- Latest property tax payment receipts that clearly demonstrate there are no dues from the tax department
- Encumbrance Certificate (EC) to support that the property is free of disputes
- No Objection Certificate (NOC) from the housing society or bank (in case the seller has mortgaged the property)
- Passport-size photographs of both parties
- Affidavit declaring there are no encumbrances or legal issues
- Succession or legal heir certificate if transferring property by inheritance
Requirements Specific to Haryana
- Property ID for tax purposes
- The mutation application form to update the revenue records once the deed has been signed and registered
Tip: Always keep both originals along with photocopies of these documents. You can also use scanned digital copies for online applications or legal consultations.
Step-by-Step Guide for Property Ownership Transfer
The process for transferring ownership of property in India usually has two main steps and then administrative steps that update records across jurisdictions.
Step 1: Drafting and Registering the Deed
The first step starts with property registration and documentation, whether transfer of ownership via a sale deed, gift deed, or relinquishment deed. It is highly recommended that you utilize a qualified legal expert to draft the deed to make sure you do not have disputes down the road.
Once the deed is drafted and signed:
1. Go to the Sub-Registrar Office (SRO) acting in the jurisdiction where the property is situated.
2. Bring all the documents required with two witnesses.
3. Pay the applicable stamp duty and registration payment, ie, 7% for men, 5% for women and family transfers may qualify for rebatable rates.
After payment is made, both parties will sign the deed in front of the registrar for registration, then a biometric will be completed for all parties and witnesses.
Step 2: Apply for Mutation
Once the deed has been registered, the next step is mutation. Mutation provides the updated ownership details in government and municipal records, which are important for paying property taxes and utilities.
Online Process (e-Disha Portal)
- Go to the Haryana government e-Disha portal.
- Complete the mutation application online.
- Scan and upload the registered deed, ID proofs, and supporting documents.
- Submit and check the application status.
Offline Process
- Go to the relevant local revenue office.
- Submit a mutation application form and hard copies of the applied documents.
- Receive an acknowledgement slip to keep for reference.
Once the mutation is approved, your name is listed in governmental and municipal revenue records.
Conclusion
Property is one of the most valuable assets you own. You can also learn about real estate investment to help understand the fundamentals. Securing a legally valid ownership process protects your rights and financial future. In Haryana, the process is relatively simple due to portals like e-Disha making the mutation process easy.
By ensuring you have completed registration and mutation, ensuring your ownership is registered, and recognized by law, from all relevant governmental and municipal authorities. By following the processes outlined above properly, you will have little or no legal issues or disputes down the road.
FAQs
How to change ownership in property ID Haryana?
Register the sale, gift, or transfer deed at the Sub-Registrar's office. Then, apply for "mutation" online using the "e-Disha portal," or offline to the local revenue office. Once the application is approved, the property ID would be updated with the new owner's name.
What are the rules of transfer of ownership?
The transfer of ownership of property can be done using sale, gift, inheritance, partition, and relinquishment deeds. The transfer of ownership must be registered at the Sub-Registrar's office, and fees and dues have been verified and paid for. After registering, a mutation must be done to recognize the change with the government.
How long does the property transfer process take in Haryana?
The process takes about 7 to 15 days for registering a deed, followed by 2-3 weeks for a mutation, depending on the accuracy of the documents. Using e-Disha will help speed up the mutation process.