Conveyance Deed - Conveyance Deed Meaning

Conveyance deed is one of the most crucial legal documents through which the seller asserts the wilful transfer of ownership of a property to the buyer. It signifies the transfer of the asset’s ownership from one party to another. The sale and purchase of a property concludes only with a conveyance deed.

 

The conveyance deed can also be produced before a court in the form of evidence during a property-related dispute. Other than the buying or sale of property, conveyance deeds are created even in the case of property gifts, leases, mortgages, relinquishments, and other transfers. 

Therefore, you need a conveyance deed primarily because it works as evidence during a legal dispute and acts as land ownership proof. Besides, the deed certifies that the concerned property is not part of a dispute.

Below are the elements that should be present in the legal document:

• Details regarding Clear demarcation of the property

• Information of all parties involved

• Signatures of all parties involved

• Terms and conditions of the transfer

• Sale agreement

• Chain of Title

• Details of other applicable transfer of ownership rights

Conveyance deeds are usually created in 3 different scenarios as listed below:

• Conveyance Deed for Leasehold Properties

The leasehold ownership of a property means that the owner has the rights to everything within the confines of the four walls of the property. The rights to everything outside of it, such as the land it stands on and the common building areas, or the outside structure, on the other hand, stay with the previous owners.

• Conveyance Deed for Freehold Properties

Freehold ownership means that the owner has the right to every part of the property, including the land it is on. The owner is free to do whatever he or she pleases with it, as long as it is done in accordance with the guidelines laid out by the local regulatory authorities.

• Conveyance Deed Subject to Mortgage

If the property acquired is mortgaged, the owner can enter its premises and reside there from time to time. However, they cannot live there permanently. In such cases, a conveyance deed, which is subject to a mortgage, is provided to the owner. 

A closely related term to the conveyance deed is the sales deed. Both the legal documents affirm the sale and transfer of ownership of the property from the seller. So, how are they different? Here are a few points to distinguish between the two. 

 

To get a conveyance deed, you will need to follow the below-mentioned steps:

• Step 1: Visit your nearest sub-registrar office.

• Step 2: Fill and submit Form-7 along with the documents required for the conveyance deed

• Step 3: Post this, a conveyance deed will be made for you.

• Step 4: Pay the stamp duty and the registration fee.

   

Note that each state charges a different amount as stamp duty and registration fees.

You will need to submit the following documents to get a conveyance deed made: 

• Registered agreement for the sale of property

• Property card/mutation entries

• Location plan and a survey plan from the concerned revenue department

• The relevant plot plan and structure plans that have been approved by the appropriate authority

• Certificates like the Commencement Certificate, Completion Certificate, Occupancy Certificate (if available) and Architect Certificate.

• List of owners

• Payment receipt of the stamp duty

• Power of attorney or development agreements (if the seller executes the deal)

• Draft of the conveyance deed

Yes, it is possible to get the conveyance deed cancelled. As per the Specific Relief Act of 1963, Section 31 and Section 33, the cancellation of a conveyance deed is allowed, in case of the following situations:

• If and when an individual considers the deed to be voidable or may cause harm

• If the deed is India Registration Act registered, and both parties agree to the cancellation mutually

In a scenario where the conveyance Deed is lost or misplaced, you must take the following steps:

• File a police complaint as soon as possible and keep the First Information Report (FIR) safely with you. The buyer may ask for it at the time of the sale.

• Post an advertisement in a newspaper regarding the lost document. Note that you may have to wait for a few days to know its whereabouts.

• Prepare an affidavit and get it notarised. It must include the property details, the information related to the FIR, and even the newspaper ad.

• Alternatively, you can get a certified copy of the deed from the relevant local sub-registrar’s office. Note that you will have to pay the charges specified and submit the required documents to get them.

A conveyance deed plays an important role in your property purchase as it acts as proof of transfer of ownership. Additionally, it is a crucial document which plays a significant role in home-related disputes and home loan approvals. It is advisable to get your conveyance deed at the earliest, prior to applying for a home loan on Bajaj Markets.