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5 Tips for Owners to Avoid Property Disputes in Real Estate

Blox Social
Posted on
Feb 7, 2023

In layman’s words, a property dispute is a legal discourse concerning properties in India, with the number of cases in the court currently being sizeable. Over an estimated 66% of the matters in court on the above subject are pending to be solved. Given our 1.4+ billion population, the availability of land and the strings attached to it pose a significant challenge to the judicial system. The parties in contention include the buyer, seller, co-owners, and legal heirs.

Before dishing out some valuable tips to avoid such situations, let's find out the reasons that cause such kinds of disputes.

  • Co-owners and legal heirs claiming their share: One of the most common reasons for property disputes to occur, especially when there are conflicts and the seller does not have enough description in the ownership documents. Issues include easement of rights, inadequate representation by the seller, delays in delivery of possession, and when a party post-receiving advance refuses to hold his end of the bargain.
  • Property owner unaware of inheritance: A potential buyer needs to do all their R&D before entering into a transaction, as the seller, especially in the case of a resale flat, could attempt to keep the customer in the dark. For example, if the property is inherited, the potential purchaser should ensure no other heirs can claim their rights to ownership.
  • Will or gift deed: If made in favour of one of the legal heirs, other parties involved could challenge the process as the will or gift deed holds no importance in the eyes of the law.

5 Tips to avoid property disputes 

1. In-depth detailing during the title search

One of the essential steps before entering into any transaction with the seller. A detailed verification is to be carried out by a lawyer or title investigator. Another way to avoid future legal hassles is to see if leading banks approve the property and if no mortgage is attached.

2. Sanctioned site plans

Before purchasing, the buyer could consult the services of an architect who would prepare a site plan. The sanctioned plan often differs from the built-up area, amounting to illegal construction. Another benefit associated with approved site plans is low risk when it comes to delaying or cancellation in the execution of the projects while also helping maintain transparency among the home buyers. 

3. Inherited property

Extra caution needs to be there while purchasing an inherited property. Firstly, ensure that the beneficiary's name is mutated in the government or revenue record depending on the nature of the property. Requisite proof of inheritance is to be provided to the buyer, eliminating all doubts.

4. Sales deeds, title proof, and other documents

The final purchase agreement signing should occur after the stamp paper dates match the transfer paper dates. The title proof should have all the necessary information to avoid future troubles.

5. Municipal consent

Ensure there are no violations regarding the house's structure, layout, and construction. Approvals from the necessary departments are obtained, even in the case of licensing. 

Ways to solve property disputes

There are two ways to go about this: mutual consensus or a legal battle. Nonetheless, let’s look at some ways to avoid property disputes.

  • Constructing fences: One of the most traditional ways of securing your property, helping prevent trespassing. Signs and posters using tags are another way to protect your property from intruders.
  • Land Surveyor: The professional has more knowledge than the average individual, helping you understand your property's dividing lines to prevent confrontation with the neighbours.

While factors like budget, locality, documentation and resale value are crucial during the buying decision process, avoiding property disputes is equally vital for the buyer to live in peace and comfort, saving them resources like time and money, among many others.