Whenever you buy land or a developed property, the information is recorded at the local registrar office. The records are maintained by the state. This is to ensure that the property records are safe and the information is updated as necessary. The transfer or change in title in the revenue records at the local municipal corporation is termed as Mutation of Property. It may be called by different colloquial names in each state and region. 

As an individual investing in land or constructed property you need to know the importance of mutation of property. It identifies you as the owner of the property and you are free to transfer or sell it to whomever you want to. 

When do you need to do mutation of property?

There are several cases when you might need mutation of property. The following are few choice examples that definitely demand the mutation of property. 

  • When buying a house or apartment from builder or another individual
  • When inheriting a property from friends and family even if it is ancestral. 
  • When a property is gifted to you by relatives or other members in your social circle. 
  • When you purchase a property where you have the power of attorney to make decisions. 

Anyone who checks one of the above will have to undergo the process of mutation of property. This is pretty much compulsory when purchasing land. The land title must be changed to your name at the local municipal office. The documents there are the undeniable proof of your ownership in case of a legal litigation. 

Mutation of Property when buying land:

In the case of buying land, the mutation of property is compulsory. The ownership transfer is not complete without it. It must be completed within 3 – 6 months of purchasing the land. The Government records are updated and it helps you avoid any confusion in land ownership. 

Mutation of Property when buying apartments:

When people invest in apartments in Chennai, the transfer in the ownership is complete as soon as the apartment gets registered in the individual’s name. The mutation of property is more of formality that can be done any time in the future. It is wise to get it done though as it can clarify any legal complications. It is also necessary in case you wish to sell the apartment later on. It may even be necessary to apply for utilities like power, water, gas, etc. 

Application process for Mutation of Property:

You must first apply at your local municipal body for the mutation of property. Several states have now launched online services for the same, but some still require you to come down to the registrar office. To start the process, you need to produce the following documents at the municipal office. 

  • Correctly filled out Property Mutation Application Form
  • Attested Xerox copies of the sale deed or title deed
  • Affidavit on Stamp Papers
  • Indemnity Bond
  • Copy of Aadhar Card
  • Property Tax receipts
  • Copy of inheritance or death certificate of previous owner as applicable. 

Ensure that the copies are clear and not blurred or smudged. Apply with a recent photograph to identify you as the owner. Go down to the Municipal office with the above documents. Once the documents are submitted, an assessor from the government comes for a physical verification of the property. Once it is declared satisfactory, the property mutation certificate is issued. It normally takes around 15 to 30 days to update the records at the office. This is after the document verification and property assessment.  

Property Mutation Fee:

There is a fixed but nominal fee for Property Mutation. It may differ from state to state. It can be anywhere from as low as Rs. 25/- to Rs. 100/-. This is a one time fee that ensures that the documents are updated with your name. Since it is like a grain of sand compared to the cost of apartments in Chennai, you needn’t worry about it becoming another financial commitment. 

Impact of incomplete Property Mutation:

There is a penalty if the property mutation is not completed within the stipulated time. The penalty ranges from Rs.25/- to Rs.100/-. With such a low penalty, many property owners continue to put off the process, but it is highly inadvisable to do so. It must be completed at the earliest to mitigate any legal complications that can arise. You need absolute proof of possession which is the property mutation certificate. Thus it is safer to do it right after the purchase of the property.

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