Rights Of Property Seller In India

The Transfer of Property Act governs the sale of immovable property in India. As per the Act, in the absence of a contract, the buyer and the seller of the immovable property have certain vested rights and responsibilities. In this article, we look at such rights and responsibilities of a property seller in India. Also, to consult a Lawyer on property matters, visit IndiaFilings.com

Property Seller Responsibilities

The following are the responsibilities of a real estate property seller in India:

Disclose Material Defect in Property Title

As per the Transfer of Property Act, a seller requires to disclose the buyer any known material defect in the property or in the seller's title, which the buyer is not aware and could not discover with ordinary care.

Provide Documents & Information for Examination

At the request of the buyer, the seller provides all documents of title to the buyer relating the property for examination, which are in the seller's possession or power. In addition, the seller requires to answer to the best of his information all relevant questions put to him by the buyer with respect to the property or the property's title.

Execute Proper Conveyance

On payment or tender of the consideration for the property, the seller requires to execute a proper conveyance of the property at a proper time and place. Further, between the date of the contract for the sale and delivery of the property, the buyer must take care of the property and all documents of title.

Give Possession to Property

On execution of the conveyance, the buyer requires to provide give to the seller or any person as directed by the seller, Pay all Dues up to Sale

The seller of the property requires to pay all public charges and rent accrued due in respect of the property up to the date of the sale. Further, the interest on all encumbrances on such property due on such date to be borne by the seller unless the property is sold subject to encumbrances.

Sellers Interest in the Property

When a seller enters into a contract for the sale of property with a buyer, it is deemed that the interest which the seller professes to transfer to the buyer exists and that the seller has the power to transfer the property.

Transfer of Property Documents

When all of the purchase-money has been paid to the seller, the seller requires to deliver to the buyer all documents of title - relating to the property which are in the seller's possession or power. If in case, the seller retains any part of the property, then the seller entitles to retain the property documents. In case of sale of the property to multiple buyers, then the buyer of a lot of the greatest value is entitled to the original property documents.

Property Sellers Rights

As per the Transfer of Property Act, the property seller enjoys the following rights.

Rents and Profits

The seller entitles to the rents and profits of the property until the ownership passes to the buyer.

Charge on Property

In case ownership of the property has passed to the buyer before payment of the whole of the purchase-money, then the seller has a right to a charge upon the property in the hands of the buyer. Further, the seller has a right to the amount of the purchase-money or unpaid part of the consideration and for interest on such amount or part from the date on which possession has been delivered.

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Frequently Asked Questions

Common questions about Rights of Property Seller in India.

The primary responsibilities of a property seller in India include disclosing any material defects in the property title, providing documents and information for the buyer's examination, executing proper conveyance upon payment, giving possession of the property to the buyer, and paying all dues up to the date of sale.

According to the Transfer of Property Act, the seller is entitled to the rents and profits of the property until the ownership passes to the buyer.

If the ownership of the property has passed to the buyer before payment of the entire purchase money, the seller has a right to a charge upon the property in the buyer's hands. The seller also has the right to receive the remaining unpaid purchase money or consideration and interest on it from the date of possession delivery.

When the entire purchase money has been paid, the seller is required to deliver to the buyer all documents of title related to the property that are in the seller's possession or power.

Yes, if the seller retains any part of the property, they are entitled to retain the property documents.

In the case of a sale of property to multiple buyers, the buyer of the lot with the greatest value is entitled to the original property documents.

As per the Transfer of Property Act, the seller must disclose to the buyer any known material defects in the property or the seller's title, which the buyer is unaware of and could not discover with ordinary care.

At the request of the buyer, the seller must provide all documents of title related to the property for examination and answer relevant questions put forth by the buyer about the property or its title to the best of their knowledge.

The seller is required to execute a proper conveyance of the property at a proper time and place upon payment or tender of the consideration for the property.

The seller is required to pay all public charges and rent accrued due in respect of the property up to the date of sale. Additionally, the seller must bear the interest on all encumbrances on the property due on the date of sale, unless the property is sold subject to encumbrances.