Megha (Manager) 06 May 2013

Nri purchase and sale of property in india

Hi,

I am in the USA on a dependent visa (H4) since my marriage last year. I own an apartment jointly in my mother's name and my name in Mumbai, which we would like to sell and purchase a new, larger apartment elsewhere in Mumbai, also in our joint name. I was planning to execute a power of attorney in my mother's name or father's name so that they can complete the process on my behalf while I am overseas.

I have been told by friends that stamp duty and registration process in Mumbai has changed in 2012, and that I can no longer sell this apartment and purchase a new one by just executing a power of attorney, and that I would required to be PHYSICALLY present on the day of completing both the transactions for stamp duty and registration. Is this true? What are my options? Kindly advise.

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2 Replies

bhagwat patil (Property due diligence 9422773303) 06 May 2013

POA is valid for transaction of sale purchase of property in blood relations as usual if other than blood relation one has to to pay stamp duty and registration charges as per the value of the property.POA you can sign before consulate of India,the document of POA should be authenticated at sub registrars office by POA holder.

bhagwat patil (Property due diligence 9422773303) 06 May 2013

In many cases, a general or specific power of attorney need not be registered. The question of registration arises only if a power is given for the sale of immovable properties. In Maharashtra, if a power of attorney is donated other than close family member for sell of immovable property it must registered with Registrar and not Notary. A power of attorney is to be register at the office of the sub registrar within whose jurisdiction the person giving the power resides at the time of execution of the document. Also it will impound Stamp duty @ 5% of market value of the scheduled Property. If it is Family Power of Attorney (donated to close family member -blood relative) then it should be on stamp paper of value of five hundred rupees and it must be register before Notary Public. It can be also be register at sub registrar office within whose jurisdiction the person giving the power resides at the time of execution of the document.