How should sellers prepare their documentation?

Preparing documentation is a critical responsibility for land and property sellers to ensure a legally valid, transparent, and dispute-free transaction. It involves compiling ownership records, statutory clearances, tax receipts, and regulatory compliance documents. Proper preparation instills confidence in buyers and speeds up the legal due diligence process.

1. Gather Proof of Ownership

• Original Sale Deed or Title Deed
  Must clearly state the seller’s ownership rights. The original, stamped, and registered copy should be available.
  
• Chain of Title Documents
  Include all previous sale deeds, gift deeds, or inheritance papers to show continuous ownership history.
  
• Mutation Records
  Mutation entries must reflect the seller’s name in the land revenue or municipal records, indicating legal possession.
  

2. Obtain Encumbrance Certificate (EC)

• Apply for the EC from the local Sub-Registrar’s office covering at least the past 13–30 years.
  
• Ensure it reflects no liabilities, loans, or legal encumbrances.
  
• If loans existed, provide the loan closure certificate and release deed from the lending bank.
  

3. Update Tax and Utility Records

• Property Tax Receipts
  Collect the latest paid receipts from municipal or panchayat offices, showing there are no outstanding dues.
  
• Electricity, Water, and Gas Bills
  Gather current and recent bills to prove all utility payments are up to date.
  
• Revenue Receipts (in case of land)
  Verify land revenue is paid, especially for agricultural or rural land.
  

4. Secure Statutory Clearances and NOCs

• Layout Approval or Building Plan Sanction
  For developed or plotted land, provide copies of sanctioned plans from the municipal or town planning authority.
  
• Land Use Conversion Certificate
  If the land has been converted from agricultural to non-agricultural use, include the government-issued conversion order.
  
• NOCs from Relevant Authorities
  Depending on the jurisdiction, provide NOCs from:
  
  • Pollution Control Board (for industrial land)
    
  • Fire Department
    
  • Legal heirs or co-owners
    
  • Housing or Development Authority (if applicable)
    

5. Provide Identity and Authority Proof

• Government-issued ID Proof
  PAN card, Aadhaar card, or passport of the seller.
  
• Address Proof
  Utility bills or government correspondence showing current address.
  
• Company Documents (if corporate seller)
  
  • Certificate of Incorporation
    
  • Board Resolution authorizing the sale
    
  • PAN of the company
    
  • GST Registration (if applicable)
    
• Power of Attorney (POA)
  If the property is being sold through an attorney holder, include a registered POA document with clear rights to sell.
  

6. Include Possession and Boundary Verification

• Possession Certificate
  Issued by the local authority or village officer to confirm possession of land.
  
• Survey Sketch and Measurement Records
  Include latest land survey documents and Field Measurement Books (FMB), especially if boundaries have been marked.
  
• Photographs and Site Maps
  Photographic evidence of the property and updated layout or site plans showing access, boundaries, and structures.
  

7. Legal Documentation for Special Cases

• Will or Probate Certificate
  If the property is inherited, provide the registered will and, if applicable, a court probate order.
  
• Gift or Partition Deeds
  Required in cases of family property division or gifted assets.
  
• Court Decree or Order
  In case ownership was established through litigation, provide certified copies of the final judgment or decree.
  

8. Prepare Draft Agreement to Sell

• A preliminary document outlining the terms and conditions of the sale, which includes:
  
  • Consideration amount
    
  • Advance paid
    
  • Timelines for execution
    
  • Payment milestones
    
• This document can be notarized and later followed by the final registered Sale Deed.