A Property Transfer in India is not as easy as one might think. If you own real estate in India and wish to transfer it to another person’s name you might as well believe that your family member belongs to a similar society. Hence, it is always safe to seek legal help from property management lawyer when the matter is about handing over the real estate. There are instances when one can handover his asset to another person’s name. Properties can differ from a unit to apartments, houses, flats, holiday apartments, vacant sections of land, rental properties and hobby farms, etc.
The first and essential formalities required in the process of a Property Transfer in India are:
Know the valuation or the market price:
It is important to know the accurate estimate of the asset before handing it over to another person. Doing this will gives a bright idea about the variations of the CGT event (Capital Gains Tax event).
Hire an Attorney:
It is always great to hire a property management lawyer either while gifting or selling your possession. An attorney is helpful in filling out and filing the quit claim deed correctly. It is also likely that you can fill out the forms by yourself, but chances of you getting confused are high and might require a lot of time. One can also obtain a quit claim document through Internet.
Get a Guarantee Certificate:
It is imperative to get a warranty deed to transfer the ownership in India to different person’s name. It is also identified as the “Grant Deed.” This transfers possession of the real estate and guarantees handing over of the asset of the owner to the transferee.
Legal Description of the Property:
Citing a precise legal description of your ownership at the time of transfer is very important. Details like address, landmark, few specifications, and dimensions are the aspects which are needed to be specified.
The idea of exclusions is to explicitly mention that while transferring the assets between people, both the receiving and the giving parties are spared from being taxed. This exemption can be applied in the case of a parent, child etc.
Property Transfer in India can be done either as a gift or as per a will. If a person is handing over the asset to escape the liabilities, he/she will not be excused from paying the debts. The property transfer in India through a gift deed will need a stamp duty, whose value and design rate will be fixed by the government. It also has to be registered, which can easily be done with the help of a property management lawyer. In the case of a Will deed, the stamp duty is mentioned, and the Will can be enforced only after the death of the person. There is an alternative of the Will being either listed or not listed.
Also Read About : Transfer of Property Act