Know What Is A Possession Certificate? & Steps To Get Possession Certificate Online

By LODHA

Imagine a scenario where you are in the process of purchasing your dream home and unknowingly purchased it without obtaining a Possession Certificate. So what happens? As you settle into your new home, you soon realize the absence of this crucial document possesses significant challenges. When you decide to sell the property, potential buyers raise concerns about the lack of a Possession Certificate, causing delays and distrust in the transaction.

Furthermore, you encounter difficulties in availing government services such as obtaining utility connections and registering for property tax, as the absence of the certificate raises questions about the legality of their possession. In addition, you face uncertainties regarding occupancy rights and find yourself vulnerable to disputes or encroachments. The absence of a Possession Certificate creates unnecessary complications.

Hence, when it comes to establishing and safeguarding property rights, having the necessary legal documentation is crucial. One such document that holds immense importance is the Possession Certificate.

Possession Certificate Meaning

A Possession Certificate is an official and legally recognised document that signifies the lawful possession of a property. It serves as concrete evidence that the possessor of the property has the rightful authority to occupy, use and manage it. The certificate is issued by the relevant authority responsible for maintaining property records and acts as a testament to the lawful possession of the property.

Importance Of Possession Certificate

1. Validating Legitimate Ownership

The Possession Certificate plays a pivotal role in establishing and validating the legitimacy of property ownership. It provides assurance to both the possessor and external parties that the property has been lawfully acquired and is being held by the rightful owner

2. Facilitating Property Transactions

During property transactions, such as buying or selling a property, the Possession Certificate assumes paramount importance. It serves as crucial evidence that the seller possesses legal rights to the property and can lawfully transfer those rights to the buyer. The certificate instills confidence and trust in the transaction process and ensures a smooth transfer of ownership.

3. Facilitating Loan Applications

Financial institutions often require a Possession Certificate as part of the documentation process for loan applications. This certificate serves as proof of the borrower's legal possession of the property, assuring the lender that the property can serve as collateral for the loan. It strengthens the borrower's credibility and increases the chances of loan approval.

4. Enabling Government Services

A Possession Certificate is often a prerequisite for availing of various government services related to the property. This includes obtaining utility connections, registering for property tax, applying for building permits and other related services. The certificate serves as proof of lawful possession and ensures the smooth processing of such applications.

Rights Associated With Possession Certificate

1. Occupancy Rights

Possessing a valid Possession Certificate grants the holder the legal right to occupy and utilize the property as per applicable laws and regulations. It establishes their lawful claim to the property and protects against any unwarranted encroachments or evictions.

2. Transferability

A Possession Certificate enables the possessor to legally transfer the ownership rights to another individual. This can be done through processes such as sale, gift or inheritance, ensuring a transparent and lawful transfer of property rights.

3. Legal Protection

Possessing a Possession Certificate provides essential legal protection to the possessor. It serves as tangible evidence of lawful possession and acts as a strong foundation to assert one's rights in case of any disputes, conflicts or legal challenges to the property owner.

4. Documented Evidence

A Possession Certificate serves as vital documented evidence in the property ownership journey. It establishes a chronological record of the property's possession, which can be invaluable for future references, resolving ambiguities or settling any disputes that may arise.

Please note: While a Possession Certificate is significant, it should not be confused with a Property Title Deed. While the Possession Certificate validates lawful possession, the Title Deed establishes the actual legal ownership rights to the property.

Documents Required To Obtain A Possession Certificate

The following documents may be provided to get a possession certificate in India:

●  Ration Card

●  Copy of the Encumbrance Certificate

●  Copy of the Registered Lease and Sale Deed Agreement

●  ID proof of the applicant.

How To Get Possession Certificate Online?

Step 1: Make sure all the required documents are in hand to apply online

Step 2: Click on this link to apply online

Step 3: Once you click on the link, log in or sign up

Step 4: After successful login, you have to select ‘Revenue Department.’ Now look for the service ‘Issuing Certified Copy- A) Property Card’ and click the ‘Proceed tab’

Step 5: Then click the ‘Issuing Certified Copy- A) Property Card’ option at the left side of the page

Step 6: Complete the application form with valid information and upload the necessary documents and click the ‘Submit tab’

Step 7: Make the payment for the application fees through the available online payment options

Step 8: Once the application form is submitted, the officer verifies the application and approves it with the digital signature

Step 9: After processing your request, field verification will be done and the concerned authority will issue the possession certificate

Possession Certificate V/S Occupancy Certificate

The terms Occupancy Certificate and Possession Certificate are often used in the context of real estate and property ownership.

The buyer of the property is not automatically made the legal owner by the possession certificate. The owner must possess an occupancy certificate that grants him or her access to both the essential public services provided in the complex as well as the right to the property.

The deadline for the owner to complete the last payment and take ownership of the property is stated in the possession letter. The original copy of the possession letter must be presented when applying for a mortgage.

The local government issues an occupancy letter stating that the building is now ready for occupation and that the project is complete. The property has been developed in accordance with the relevant laws, according to the occupancy letter.

In conclusion, a Possession Certificate holds significant importance in property transactions, loan applications and availing government services. It assures the legitimacy of possession and provides crucial rights to the possessor. It is always advisable to obtain a Possession Certificate when acquiring property to ensure legal compliance, protect one's interests and maintain a smooth and transparent property ownership journey.