Major cities like Chennai are leading the way in rapid urbanisation and have emerged as ideal destinations for plot investment. In a dynamic and growing city like Chennai, land appreciates over time. However, before buying a plot of land, one has to pay heed to a few legal requirements.
Chennai offers promising opportunities to land investors. The city’s real estate market is bullish due to a strong economy, excellent infrastructure, and expanding residential areas. Thus, investing in land for sale in manali can provide substantial returns, whether one plans to lease it out or hold it as a long-term investment. One may even develop the plot for personal use. Regardless of the reason for this investment, it would be a huge financial decision that requires a thorough understanding of multiple legal aspects.
Legal Documents Required for Buying Land in Chennai
While buying land for sale in Manali, Porur, and other upcoming neighbourhoods is lucrative for homebuyers and investors, it is mandatory to fulfil certain legal obligations. The following documents can make the process quick and easy: -
Title Verification
One of the primary steps of property investment is conducting a thorough title verification to make sure that the seller has a clear and marketable title to the property. It would involve examining the chain of ownership documents to trace the title history of the property. Buyers must verify that the seller has the right to sell the plot and that there are no disputes, litigation or encumbrances affecting the title.
Encumbrance Certificate
An Encumbrance Certificate, also known as EC, must be obtained from the Sub-Registrar’s office to verify that the plot is free from any legal claims, encumbrances or mortgages. EC is vital to confirm the ownership and title status of the property.
Approved Layouts and Building Plans
When buying a residential plot, one should ensure the land is located within an approved layout or residential zone and complies with the relevant zoning laws and building regulations. Buyers need to verify that the building and layout plan for the plot has been approved by the local planning authority, like the Chennai Metropolitan Development Authority (CMDA).
Stamp Duty and Registration Fees
People buying land for sale in Chennai have to pay stamp duty and registration fees on the sale deed based on the prevailing rates determined by the state government. Timely payment of registration fees and stamp duty is necessary to get appropriate receipts that act as proof of payment. Not paying the applicable stamp duty and registration fees can result in penalties, invalidation of the sale deed and/or legal consequences.
Sale Agreement and Sale Deed
A sale agreement has to be executed between the buyer and seller in a property transaction. The legal document would outline the terms and conditions of the sale, like the sale price and payment schedule. A sale deed, on the other hand, has to be prepared and registered with the Sub-Registrar’s office to legally transfer ownership of the plot from the seller to the buyer. Both documents have to be drafted carefully.
People keen on buying land for sale in Manali, Madhavaram, Thirumazhisai, Porur, or other localities in Chennai, must be careful about fulfilling various legal requirements and procedures. Understanding and adhering to key legal requirements would help buyers safeguard their interests and mitigate risks.