10 Important Documents to Check Before Buying a Second Hand Property in India

Important documents to check while buying budgeted second hand houses in India
Second Hand Property

From the buyer’s point of view, buying a used apartment or home is always a wise investment. Is there a greater offer than purchasing a home or apartment for less than its current market value? Consequently, you save a lot of money on rent when you own your own home. Instead, you might use that money to cover the interest on the home loan you took out to buy this resale home or apartment.

For many of us, purchasing a home is a lovely dream come true. Buying a home is a significant investment of time, money, and work. In actuality, though, the house-buying process can be more challenging, particularly for those purchasing a used residence. When purchasing a used home, purchasers in particular need to exercise greater caution. The following list of ten crucial documents should be reviewed before purchasing a used home in India:

What are the important documents to check?

  1. Encumbrance certificate

    Since the EC (encumbrance certificate) is a crucial document that acts as an official statement of the property’s free ownership or title status, it is imperative that you review it before purchasing a used property. that the property is not sold in part to another party and is clear and marketable. You will also receive information about any legal concerns or other complaints pertaining to the property from the encumbrance certificate. In actuality, this certificate will show every transaction pertaining to the property you intend to buy.

  2. Title report

    You can be sure that you are investing in a legitimate property by getting a title search report, which will give you a historical record of the property’s title and an accurate legal description of how the property has been transacted over time and whether there are any risks involved in the transaction that could negatively affect the title of the property. You can obtain a series of documents that detail the history of the apartment by doing the title search. After the title investigation is finished, the report provides you with comprehensive details about the property, such as its tax rate, name of the title holder, joint encumbrances, and information about property taxes, liens, and mortgages attached to it.

  3. NOC from bank

    Determining whether the used home is mortgaged against a loan is crucial. You should verify the debt status of any loans that are associated with the property. Ask the seller to provide the No Dues certificate that the involved bank provided to ensure that the obligation has been paid. This document guarantees that the bank has received all outstanding payments from the vendor and that you can purchase the used home without concern.

  4. Utility bills

    This is a crucial step in the property verification process since it informs you of the status of the bills and whether any are still due. Additionally, you should confirm that the owner’s name appears on the bills the seller has presented in relation to the apartment or house.

  5. Latest tax payment receipts

    It is imperative that, prior to purchasing a resale home, you inquire about and review every tax receipt. It will guarantee that the house is free of any unpaid debts. This stage will also confirm that the taxes were paid on time and that there hasn’t been any fraudulent behavior related to the house’s tax deceit.

  6. No dues certificate from the society

    Obtaining a No Dues Certificate (NOC) from the cooperative housing society is necessary when purchasing a pre-owned apartment. The vendor is not obligated to pay any dues because the No dues paperwork attest to their compliance with all regulations. Additionally, the NOC indicates that the Society is in favor of the buyer receiving the Share certificate, which proves to be the house’s ownership. Along with the NOC, you should receive letters from the society specifying the building’s built-up size, number of stories, and elevators.

  7. Title deed

    While buying a piece of real estate, title deeds are crucial documentation. These documents are essential to real estate purchase and sale transactions because they provide proof of ownership. The original “Title deed” for the used property, which documents the sale and transfer of title from the seller to the buyer, should be obtained. The seller’s name, financing details, and other property-related information are all contained in the title deed. The title deed guarantees the seller’s unambiguous ownership of the property and confirms that the property has a marketable title. Once it is in your name, kindly make care to retrieve and store it securely.

  8. Sale deed

    Following the purchase of the property, the sale deed must be recorded at the Registrar’s office. This document serves as the primary evidence of ownership when the property is later sold. Once the seller transfers the flat’s title to you, this is the most crucial document you need to obtain. The seller will give you this document as soon as you become the property’s owner.

  9. Possession certificate

    When purchasing a privately constructed property or a resale house, this is by far the most significant document. As soon as you physically possess and are the owner of the property, you receive the possession certificate. It attests to your ownership of the property as the legitimate owner. The flat or house’s original constructor gave this certificate to the new owner. Thus, it’s crucial that you get the possession certificate from the seller when purchasing a resale home or apartment.

  10. Sale certificate

    It should be noted that although the terms “sale deed” and “agreement of sale” are sometimes used interchangeably in the real estate industry, they refer to quite different things. A sale deed may be used as proof of the ownership transfer, while a sale certificate is a contract between the buyer and seller. The legal contract used to purchase and sell immovable property is protected by a sale certificate. It is a sale agreement that certifies both parties’ intent to purchase or sell real estate at a later time under specific terms and conditions.


Purchasing a used home can be financially advantageous as they are typically offered at a lower price than brand-new ones. Depending on the age of the structure, the interiors, and the fixtures of the home, there may be room for negotiation of lower rates.

Besides the age and condition, ambiance of the house, you should check the following documents:

  • Encumbrance certificate
  • Title report
  • NOC from bank
  • Utility bills
  • Latest tax payment receipts
  • No dues certificate from the society
  • Title deed
  • Sale deed
  • Possession certificate
  • Sale certificate

The valuation of the property and the borrower’s age, which must be between 18 and 60, are the main determining factors in whether or not you may obtain a home loan for the purchase of a used home. In addition, the borrower’s income and job security are significant factors in the loan assessment procedure.

If everything works out perfectly for you, purchasing a resale home or apartment may be one of the best deals of your life. You could save a ton of money and time.

You should absolutely think about purchasing if the house is in decent condition and you are receiving a discount.

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