Property acquisition is a matter of pride. It gives your family a roof over their heads and boosts your net worth, enabling you to use it as leverage to raise money. You have two options for purchasing a home: using your investments and money or getting a mortgage. The second option is more popular because it enables you to finance a new home without depleting your bank account.
However, it frequently requires a variety of papers, such as a possession certificate. You can learn more about the sorts of possession certificates, their definitions, and how they differ from “occupation certificates” by reading this article.
A possession certificate serves as evidence that no unlawful or illicit activity occurred during the transfer of the property. But he should also obtain an occupancy certificate to prove that he is the property’s owner.
Read: All About RERA
What is Possession Certificate Meaning?
The possession letter is another name for the possession certificate. It is one of the most important homebuyers to get a mortgage from a financial institution.
documents that a seller of real estate hands a buyer of real estate. A Tehsildar (in rural areas) or a Revenue Divisional Officer (RDO) (in urban areas) often administers it. This certificate can be used by A possession certificate serves as evidence that the ownership interest in the property has been transferred legally. However, you need to obtain an occupancy certificate to prove that you are the property’s legitimate owner.
It states that the property has been built in accordance with local legislation and that the construction is complete in accordance with the approved plan. The property’s readiness for habitation is proven by the certificate. It serves as official proof that you are the property’s owner. Local authorities may declare the property illegal if you don’t obtain the certificate.
Letter of Conditional Possession
You can obtain a conditional possession letter and then express your objections to the builders if the buyer is not satisfied with the property in some cases, even though you have already taken the possession certificate into consideration. The buyer will have the opportunity to address any concerns on the builder’s copy of the letter, and you will be required to submit all pertinent information detailing your unhappiness with the property that the seller has transferred to you. You will have the option to request the developer to make the necessary corrections in accordance with the contract you have signed. The property is easily repairable.
How do I get a Land Possession Certificate?
- Get an application form from the Right to Public Service (RTPS) or Anchaladhikari office that is most convenient for you.
- You can also obtain the form from the Government of Bihar’s Revenue and Land Reforms website at http://lrc.bih.nic.in/.
- Complete the application form with the necessary information.
- Attach all necessary supporting documentation, then turn in the form to the appropriate office.
- Receive an acknowledgement receipt and application number after that, which you can use to verify the status of your application.
Possession Certificate- Documents required
The following list contains the documents required to obtain a possession certificate:
- Copy of the registered lease and/or sale agreement of the property
- Ration Card, Income Certificate, and Aadhaar Card
- Current Proof of Property or Land Tax Paid
- Two Clear Passport-Size Photos
- Identity: Proof of Ownership of Property
- A copy of Encumbrance Certificate
- Clear Photo of the building/property/land
Rights of a Possession Certificate Holder
- It guarantees that the buyer has full control over the property and can make any decisions he wants about it.
- holds the right to sell the property again.
- The benefit of improving or increasing the value of the property belongs to the buyer.
- The purchaser can make money from the property by renting it out.
- No benefits on the property may be claimed by the seller.
- If the vendor declines to take delivery of the items, the buyer shall be charged to the property and to the seller for all money paid in advance of delivery.
- In addition, if the seller has not delivered the property, the buyer is entitled to compensation for the money and fees that were granted to it by the court to compel particular execution of the agreement.
How can I get a possession certificate to download?
In order to download or apply for the certificate, you must follow a very simple procedure, which we are presenting below:
- The Revenue and Land Reforms Office of the applicant’s individual state government offers the applicant the opportunity to download the application Certificate online.
- The position certificate application form can also be obtained by the applicant by going to the right Public Service office nearby them.
- You will need to complete the application form with all necessary information and attach all required paperwork.
- You must carefully read the form and double-check all of your information.
- To completely grasp the facts and effectively submit the application form to the relevant office, speak with your local authorities.
- You will receive an acknowledgment number; keep it safe and secure so you may use it to check the status of your application online.
Possession Certificate- FAQs
- What constitutes evidence of land ownership?
Answer-The seller must provide the buyer with a possession certificate or letter that specifies the date of possession. In rural regions, the Tahsildar issues it, whereas in urban areas, the RDO (Revenue Divisional Officer) does. Additionally, you can use this letter to ask a bank for a mortgage.
- Are letters of possession official documents?
Answer-A possession certificate is a legal document that proves the buyer has already acquired the land after the initial owner relinquished possession in exchange for payment of a fee and interest on the property.
- Do you need a possession certificate for income tax purposes?
Answer-A possession certificate is necessary in order to claim tax advantages.
- Are letters of possession required?
Answer-“A Possession Certificate is necessary to move into or use a property because it certifies that ownership has changed from one location to another.
- Possession certificate and sale deed identical?
Answer-One of the most crucial real estate or land-related documents that any property owner must have is a possession certificate. Before a sale deal or title deed is signed, the document is often verified. A possession certificate also guarantees that the property will be listed in the revenue records needed to apply for a loan.