Clarification on registration of sale deed

I have purchased a small house from my relative at my native village in Maharashtra for 4 Lacs and have paid full amount to the seller. The seller has just provided an signed agreement of the transaction on 100 Rs. stamp paper without being notarized. He is also not showing any interest in the registration of the deed. According to him, the Agreement on Rs. 100 would be enough to transfer the property in the Gram Panchayat office registry. My question is; 1. Is this agreement would be valid in case of any disputes in future and admissible in the court of law? 2. Is it really necessary to do registration of the deed for the transfer ownership of the property? Appreciate your response. Thanks in Advance

Answers (2)

72 votes

Hi. Any property, the value of which is greater than Rs 100 is compulsorily required to be registered with the registrar office. Also proper stamp duty is required to be paid on the sale document. This gives you a clear title over the property along with the possession of such property. Also all local authorities will insist on a registered sale deed for effecting name transfer in their records. For instance, electricity supplying company, gas cylinder distributor, etc. So it's essential that you pay proper stamp duty on the document and get it duly registered. Also when you sell the property in future, the buyer will insist for a registered sale deed standing in your name. Since your seller is not co-operating with you for getting the sale document registered, you can request him to sign a special power of attorney in favour of some fit person (for eg. The seller's relative) who can then accompany you to the registration office for getting the document registered and upon registration and completion of all registration formalities, the special power of attorney will automatically come to an end. In case your seller is not agreeable to a power of attorney also, then as a last resort you can issue a legal notice to him calling upon him to comply with registration formalities within the notice period stated in legal notice. If he does not respond to the legal notice, then you will need to request the registration office to have the document unilaterally registered I.e. only you will be admitting your signature on sale deed before the registrar. But the registrar will require you to get a court order in which case you will have to file a suit against your seller. I suggest you first speak with the registrar and explain him the situation. You can propose to issue a public notice in newspapers stating that the property is sold to you and seller is not coming forward for registration and invite objections from public if the document is unilaterally registered. If no objections are received then you can submit to the registrar a written letter from a lawyer stating that public notice was issued and no objections are received. You can thus submit this letter, the copy of legal notice and an indemnity bond in favour of registrar, to the registrar's office and request him to unilaterally register the document. If that works then great. If the officer is not agreeable, then you have to adopt the longer route of filing a suit against your seller which will be expensive and time consuming. Thanx

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259 votes

If its comes into question in future you have no proof, he can even challenged by saying you have forged his signature therfore its better to have transparency. I suggest you to make it registered before registar so that it become public record.
Secondly you have no proof in regard to dispose government fee in such transaction. In future govt authorities can clutches in regard to property tax

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