A title clearance certificate is a document issued by solicitors and advocates that confirms the legitimacy of ownership and verifies the absence of disputes, liens, debts, or encumbrances associated with a specific property.

It provides crucial information such as the nature of the title held by the property promoter and vendor, any claims or encumbrances related to the property, and the necessary steps to clear the title and make it legally marketable. Additionally, it clarifies whether the sale agreement will legally bind the property owner and helps address any doubts regarding the nature of the vendor or promoter.

How to Acquire a Title Search Report?

To acquire a title search report, you need to engage the services of an advocate or solicitor. They will conduct a thorough investigation by examining registered documents at the local sub-registrar’s office (SRO).

The process of obtaining a comprehensive title search report involves scrutinizing various aspects such as the property's ownership history, building permits, zoning regulations, and property rights.

To ensure a clear and accurate report, a buyer typically hires an advocate who specializes in assessing the legal documents associated with the property. The advocate's task is to identify any encumbrances, disputes, or other issues affecting the property's title and compile a detailed report accordingly.

To determine if a property has a clear title, consider the following steps:

1. Thoroughly examine the title papers: Review the property's title documents in detail. It is advisable to engage a lawyer with expertise in property law to assist you in this process. A clear title indicates the absence of any disputes or legal issues associated with the property.
2. Verify bank approvals: If the property has received approval from reputable banks or financial institutions, it generally indicates that it is free from encumbrances and disputes. Banks typically conduct their own due diligence before approving a property for financing.
3. Obtain an encumbrance certificate: Request an encumbrance certificate from the local sub-registrar office (SRO) to verify the title clearance. This document will disclose any mortgages, liens, or other encumbrances on the property.
4. Cross-check approved plans: Ensure the site aligns with the approved building plans. This step helps confirm that the property complies with local regulations and that there are no unauthorized constructions or deviations.
5. Review property tax slips: Inspect the property tax payment receipts when considering a resale property. Clear and up-to-date property tax records indicate a clear title and ownership.
6. Confirm necessary documents: Ensure the seller provides all necessary documents proving title clearance. This may include previous sale agreements, possession certificates, and other relevant paperwork.

When seeking professional advice from Genuine Plots and following these steps, you can thoroughly check to determine if a property has a clear title.