There are many legal processes that new buyers need to follow to get ownership of their home or property. Among these is the mutation of property, that is related to the transfer of the title in government record. Aside from ownership, this law affects property taxation, which is why new and old real estate investors must be wary of the same. In this post, we will understand its meaning along with how to apply for mutation of property.
Importance of the Mutation of Property document?
Usually once the buyer registers the property in their name, they also need to initiate the process for the mutation of property. This process ensures that the property is against the name of the buyer in the local municipal body records. This process is an important step when an original owner dies, and the property title gets transferred to another owner. The transfer can take place through the process of inheritance or succession. Thus it is basically the process of registering the new owner in the local municipal body records.
The process of mutation of property has various steps. If you are a new buyer or have inherited property, it is important to have a clear understanding of it. In this article we will discuss all the different nuances of this procedure.
What does the Mutation of Property mean?
Land is a subject of the state, and every state maintains a record of all land and property deals. This record is important because it acts as proof of ownership. It also helps the owner keep their property investments safe as the land records are registered, reducing chances of fraud. These records clearly state who owns that particular property and the encumbrances against it. To avoid fraud, and to steer clear of any complications, buyers and investors need to check these records.
Once the buyer purchases a new property, it is their responsibility to get this information in the revenue records. Mutation of property or land is also helpful for the state to fix tax liability. It is also known by different names in different states. Within the states of Uttar Pradesh and Bihar, this process is also called Dakhil – Khariz or entry-omission.
Mutation of Land
In the case of those who purchase land, the mutation of property is a compulsory process. Without the process, the transfer of ownership from the seller to buyer is incomplete. While not legally binding, the process must be completed within 3 to 6 months of purchasing the land. This is to update the government’s records in time and there are no confusions regarding the change in ownership of land.
Mutation of Apartment
When someone purchases a flat or apartment, the transfer of ownership process happens as soon as the registration of property is complete. This process becomes more of a legal formality. It can be completed at any time after the purchase is complete. However if the buyer chooses to sell the apartment, then these documents would be required. These documents while submitting an application for utilities such as power and water services are also necessary.
In what instances does the need for the mutation of property occur?
In the following cases, there is a need to undergo the process for mutation of property.
- When someone purchases a property
- If someone comes in possession of a property through inheritance
- When someone receives a property through a gift or will
- When someone purchases a property through a power of attorney
What is the difference between a property registration and mutation of property?
The process of registration of property by way of a sale deed takes place once the buyer and seller reach a consensus. Whereas, this process takes place after the actual transaction has happened. The responsibility of mutation of property lies solely with the buyer unlike a sale deed that needs the mutual agreement of both buyer and seller. In this process, the buyer must also ensure that the property is registered in their name at the local revenue office.
How to Apply for Mutation of Property?
Municipal bodies of every state maintain the Land records. So the area in which you purchase the land or apartment, is the area where you need to apply for mutation of property. Several states have also made it possible to complete the process online. However the owner of the property will need to appear in person at the municipal office to complete the process.
The process is that the buyer must appear at the specific municipal office along with all the documents. Once the documents have been submitted, the concerned authority will conduct a physical verification of the property. Once the verification is complete, the municipal office will issue the certificate.
How to Apply for Mutation of Property Online?
- In some states like Bihar, the process of can be done online by logging on to the website.
- Thus to apply for mutation online, and check prior records, one must log on to the official portal.
- Other states like West Bengal have also launched plans to make the process accessible online.
Documents Required for Mutation of Property
The list of documents required for mutation of property are;
- Correctly filled property mutation application form
- Copy of the sale/title deed
- Affidavit for mutation of property on stamp papers
- Indemnity bond
- Copy of Aadhaar Card
- Property tax receipts
- Copy of will or succession certificate or death certificate of the owner (if applicable) in the case of mutation of property after death
All you need to know about mutation of property
Mutation of property is a legal process that is compulsory for anyone who purchases property or land. Because the papers in the owner’s name also acts as proof of ownership and is required for various purposes. This process is fairly simple. We hope that our guide mentioned above on understanding what is mutation of property is useful for new buyers. Do check out the rest of our blogs to understand the various legal procedures while buying your new flat or apartment.
Mutation of property is a legal process that is compulsory for anyone who purchases property or land. The papers in the owner’s name acts as proof of ownership and is required for various purposes
The list of documents required are:
1. Correctly filled property mutation application form
2. Copy of the sale/title deed
3. Affidavit for mutation of property on stamp papers
4. Indemnity bond
5. Copy of Aadhaar Card
6. Property tax receipts
7. Copy of will or succession certificate or death certificate of the owner (if applicable) in the case of mutation of property after death
In some states like Bihar, the process can be done online by logging on to the website.