What is Mysore Urban Development Authority (MUDA)?
The former name of Mysore Urban Development Authority (MUDA) was City Improvement Trust Board (CITB), which was established by the Mysore government in the year 1904. After, in the year 1998, it emerged as MUDA. Currently, MUDA is a state government organization that undertakes planning and development of the city’s infrastructure. Mysore Urban Development Authority (MUDA) also ascertains the housing needs of the people, procures land, develops them into residential layouts with appropriate amenities, and allows them to the needy for a decent monetary value. The head office of MUDA is located in JLB road, Mysore. Its chairperson appointed by the government of Karnataka heads the authority. Therefore it’s easy to buy MUDA approved sites in Mysore at an affordable price at a fixed rate.
WHAT DOES MUDA DO?
Procure land and convert them into residential layouts and distribute them to the general public in exchange for a value
Undertakes the construction of amenities like parks, circles, roads, boulevards, and residential sites.
Keeps the records and provides all necessary legal documents related to the plots developed by them whenever requested
Evaluates eligibility of the buyers and distributes sites only to the needy
Provides legal ownership of the site to the buyer and authenticate registration process
Actively involved in planning and development of the city
Plays a major role in the formulation of policies by the center and the state government related to real estate development
Why buy the Mysore Urban Development Authority (MUDA) sites in Mysore?
It is a good decision to buy MUDA allocated sites in Mysore because the areas coming under their jurisdiction is always preferable and in city limits, the sites which are developed and sold by MUDA are called MUDA sites, it is because of this we can see MUDA site for sale in Mysore as advertisements in many places. The chances for appreciation of the land value are also high when compared to other plots. Owners will also have the assurance of their ownership and clear-cut documentation of their properties. Re-selling preowned properties is also a hassle-free task and you can find genuine buyers easily. Another big advantage is that MUDA sites in Mysore will be equipped with all basic amenities like water, drainage, electricity, parks, roads, streetlights, etc.
What is the difference between the MUDA site and MUDA approved site in Mysore?
The land, which is procured and developed by MUDA and is allocated to the public in the form of sites of different dimensions is called MUDA developed site. Whereas, when a private company or an individual procures a land, converts that land into a proper layout, gets all the necessary approval from MUDA and other authorities along with provides all amenities, and finally sells it to the public, these layouts are called MUDA approved layout and hence sites available for purchase in these layouts are called as MUDA approved sites in Mysore. Usually, the plans of such layout approved by MUDA are safe to purchase and carry equivalent value in the market.
What documents to check while buying a MUDA site in Mysore?
The documents need to be checked depending on whether if you are buying a MUDA approved plots in Mysore or a ready house built on MUDA allocated site in Mysore.
If you are buying a MUDA allocated land: (10 years after actual allotment to the beneficiary)
What should you do?
Take a copy of the sale deed, check all information thoroughly, and see if both previous owners’ signatures are done on all pages.
Collect a copy of the Aadhaar card/ID card of the current owner who is selling you the property and verify the same with the sale deed
Physically visit the property and check the site number, dimension and also cross-check the numbers of properties situated beside whether it is in sequence
Allotment letter issued by MUDA addressed to the owner has to be checked, in case the current owner is the direct beneficiary to whom the site is allotted. Here it is very important to check whether the allotted person has applied and obtained a Title deed from MUDA.
Check for power of attorney addressing to one person in case if the property belongs to a company
In case, the property is transferred to the children of the deceased, check for the transfer letter and this process is called vargavane Patra. Moreover, make sure a person is holding a registered General Power of Attorney (GPA) signed by all the remaining holders; he will act as an owner on behalf.
Take legal advice from a lawyer, property consultant, or MUDA official
What should you do?
Get the latest EC copy from the sub-registrar’s office, just visit with the sale deed, fill the form with nominal fees and apply, you should mention for what period the EC is required, you will get the EC copy in a couple of days.
Once you get the EC copy, check the sequence of ownership of the property, make sure that the current owner’s name is present who is selling you the property
Make sure no loans or disputes are there on the property. In case if there was a loan of any dispute then a no-objection certificate should be available
Show this document and get advice from a lawyer, property consultant, or MUDA official.
What should you do?
Collect Khata certificate copy from the owner, check the name, photo, other details of the property, and verify with the sale deed and EC
Collect the latest tax paid receipt, the owner should have paid all taxes and carry the latest payment receipts, the property tax paid annually.
The taxes should be cleared to sell the property.
In cases where the current owner is a direct allotted beneficiary by MUDA then in addition to the above below documents should be available:
Swadeena Patra (Possession certificate)
Lease cum Sale Agreement between MUDA and beneficiary
Bank remittance receipts show that the beneficiary has cleared all payments towards the purchase of land from MUDA has to be collected.
If you are buying a house constructed on MUDA allocated land:
The documents that need to be checked while buying a house constructed on MUDA allocated land is more or less similar as mentioned above but some additional along with it, don’t forget to follow the same steps:
Sale Deed: A sale deed is an important legal document, which will be on a stamped paper and serves as proof for the ownership of the land. And this is a registered document executed between the buyer and the seller, here details like name, address, age, photo, thumb impression, witnesses, the signature of both the parties are mentioned along with the details of the property, you have to make sure that the current owner who is selling you the property is the same person to whom the property is registered. You should also check whether the current owner is an individual or a firm or trust and if two individuals register it jointly.
Encumbrance Certificate: This document is issued by the Sub-registrar office in which the site is registered. This certificate is important to know that the property is free from any legal disputes, in EC you can see the sequence of owners of the property right from the beginning and match the details present in the sale deed.
Khata certificate and Tax paid receipt: Khata means Account. And this is referred to an account of the owner of the property maintained in MUDA; the account is used for paying property taxes. Khata certificate is issued by MUDA, addressed to the current owner and all the taxes paid for that property are under that particular Khata, sometimes the Khata is transferred to Mysore City Corporation (MCC) by MUDA.
Building approval plan: An engineering building plan/drawing, prepared by a registered engineer have to be submitted and approval taken from MCC before constructing the house. The owner should have taken the necessary approval from MCC, and if the building is constructed without approval, it is considered an illegal structure. The buyer should collect the document and check if the plan is approved.
Commencement Certificate: based on the project size this certificate is mandatory, once the plan is approved by MCC, they will visit the site and provide CC for starting the construction. Collect CC from the owner along with other documents.
Completion Certificate: The MCC issues a completion report generally known as CR report once the building is completely constructed; they will visit the property after verification and issue CR in the name of the owner. Make sure the owner has a certificate without which the building is still under legal obligation.
Form No 3: This is issued by MCC, this document is issued after inspection of the building. This document is an assurance that the existing owner has not constructed anything extra after owning the property.
Utility bills: collect the latest water and electricity bills and make sure all the dues are cleared.
Sale Agreement: It is always good to make a formal agreement on a bond paper between the buyer and the seller mentioning all necessary clauses and then proceed with the transaction because in case if the seller or buyer fails to comply with the agreed clauses then legal action could be taken by either party.
What is the difference between a sale deed and a Title deed?
A sale deed is a document on registered government stamp paper, which is an agreement between the buyer and the seller of a property whereas a Title deed is a concept or a statement. This will be in the form of a letter called Hakku Patra. When the buyer purchases a property, he receives a document of the registry of his property, which would confer upon him the title of the said property.
Important points to remember while buying MUDA site in Mysore:
If you are planning to buy a MUDA site that is newly allotted to the beneficiary, that means which has not completed the lease cum sale agreement period set by MUDA then you have to keep in mind that you will not get the title deed in your name unless you pay a penalty of 50% of the registered site value
An allotted beneficiary can get the title in his name if he has cleared all the fees, built a house usually at least 6 square meters on the land allocated to him by MUDA, comply with other authorities, and get the title of the property in his name before the lease period ends if he does so then he can sell his property and easily transfer title to the buyer.
It is always better to check the Title of the property, do not buy properties without clear titles issued by Mysore Urban Development Authority (MUDA) visit pickyourprop for more info..
Usually, intermediaries will give confidence and tell half-truths to buyers, always get legal advice from lawyer, property consultant, or MUDA official especially if you are buying a site from the direct beneficiary.