CONVEYANCE
DEED
In case of housing societies the builder/promoters
have to ideally create deed of conveyance and hand over it to housing societies
that to within 4 months after project completion. However, due to lack of
knowledge many builders do not create such documents. There have been cases
where builders have later on denied to create such documents and asked
additional money to provide signatures on these documents. You will find all
sorts of reasons for not creating the document. This results in issues for
societies in future. Therefore, government has amended the Maharashtra
Ownership Flats Act, 1963 (MOFA) to make sure if builders run way from such
responsibilities, the societies do not suffer. This amendment is called “Deemed
Conveyance”. This amendment allows society owners to gain the legal rights of
the land even if the builder is not willing to transfer the rights, in front of
designated competent authority.
A
valid conveyance deed must contain the following:
1.
The actual demarcation of the property.
2.
Other rights annexed to the property and its use.
3.
The full chain of titles, that is, all legal rights up until the present
seller.
4.
The method of delivery of the property to the buyer.
5.
A memo of the consideration, stating how it has been received.
6.
Any further applicable terms and conditions for the full transfer of ownership
rights.
Important
points to consider, to ensure smooth purchase/sale of a property:
The
seller is required to certify that the property is free of any legal encumbrance.
If
a loan was taken against the property in question, then, the mortgage must be
cleared before the deed is signed. Buyers have the option of having this
checked at the local sub-registrar’s office.
The
conveyance deed should state the exact date on which the property will be
handed over to the buyer.
Within
four months of the execution of the deed, all the original documents related to
the sale of the property, need to be produced for registration before the local
registrar.
The
deed is required to be signed by at least two witnesses.
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