Quite regularly, we get a lot of queries relating to the legal aspects of property transactions. There are various things that need to be considered for every transaction, multitudes of legal nitty-gritties that have to be properly dealt with. Thus, it is extremely important that this matter is properly dissected and understood with all the challenges that it poses. This blog specifically talks about the differences between the transfer and registration of property.
According to Waqar Latif from Masood & Masood, Corporate & Legal Consultants, the basic difference between the two is that the transfer of property is from one seller to the other buyer, whereas, registration is done in the name of the present buyer. He further added that both depict a stage-wise process, requiring extensive coordination with legal experts. Both of these are legal contracts, binding on all parties and therefore, require that they be dealt in the same way.
Waqar Latif also pointed out that from his personal experience, people are mostly unaware about matters of registrations and transfer of property in case of a death in the family. He added that people in such circumstances should know that the matter has to be dealt with in a legal way and that the longer they prolong it, the more complicated it will get.
Nazia Ali from Nazia Law Associates also concurred with Waqar Latif’s opinion that it is a stage-wise process. She further added that for every transfer of property, registration also has to be carried out in the new buyer’s name. All this, she added is to be carried out with a patwari. In case the transaction is to be carried out with a woman, a local commission is set up, that works as a liaison between the patwari and the woman to carry out these legal duties.
Chaudhry Ijaz Ashraf, a lawyer from Ashraf & Ashraf Law Firm also shared in Waqar Latif’s views that most of the problems that occur are in cases of death of a person who leaves behind legal heirs. He added that in such a case, Declaration of Property is to be made, which is a legal decree. He specified that this decree is taken from the revenue department and that following this, a newspaper ad is also placed. After which a period of fifteen days, the court waits and takes no action further along the specified steps. These are the first steps for formalising the process of transfer and moving towards registration.
In case of selling property, Chaudhry Ijaz said that there is an Agreement to Sell that is to be signed between the interested parties. Furthermore, he highlighted that the process requires three things; offer (the proposed value of exchange), consideration (mode of paying) and then acceptance (the final exchange of goods, signifying that the deal has been made).
All in all, the process of both transfer and registration of property is a legal matter and should at all times be dealt in this way. Cases of mutation are very specific, but the soonest you take these up with a legal consultant the better you will be in putting things in place. This process can take up to 2-3 months, owing to the different lags that are specified.
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