Property Registration May Not Be Enough To Prove Ownership, Sarthak Ahuja Explains

Property registration may not be enough anymore. Investment banker Sarthak Ahuja dropped a reality check that's shaking up property buyers across India: having a registered document in your name doesn't mean you're legally the owner. And the Supreme Court just backed that up.

"The Supreme Court made an important ruling this week saying that getting a property Registered in Your Name does not make you the Owner!!!" Ahuja posted on LinkedIn. That's not just legal jargon; it's a warning. Ownership isn't about one form, it's about a complete set of proof.

A judgment announced by the Supreme Court in the Mahnoor Fatima Imran vs M/S Visweswara Infrastructure Pvt Ltd case stated that if an individual has purchased a real estate property just on the basis of a registered sale deed, this might not be enough.

The case dealt with a legal battle where the appellant had a registered property in their name but wasn't legally acknowledged as the actual owner. The issue stemmed from complications in the land deal itself. The Supreme Court clarified that just because a document is registered doesn't mean ownership is guaranteed. Legal title and possession must align with the law.

The court made it clear: "Legal possession" matters. Without it, registration means little. Ownership isn't just paperwork, it's about meeting all the legal conditions, including valid agreements and actual possession.

Additionally, if the mutation isn't done, the government still sees the previous owner as the legal title holder. No mutation? Expect trouble with tax payments, utilities, and resale. Mutation is especially critical in inherited properties, it ties your claim to the government's books.

Here's what most people miss:

• A registered Will matters. Unregistered ones don't hold much weight in court.

• Mutation: The Most Ignored Step: After registration, the next step is a mutation, the process of updating land or property records with your name in the local municipal or revenue department.

• If you've inherited a property, get written NOCs from your siblings, even if they're not contesting anything.

• Buying from someone who inherited it? You'll need NOCs from their siblings too.

• Power of Attorney or Agreement to Sell? Useless unless backed by a registered Sale Deed.

• Paid in full? You better have bank statements to prove it.

• Legal paperwork isn't enough. You must physically possess the property too.

• You'll also need NOCs from the society, utilities, the tax department, and any banks tied to the property.

• And don't forget the Mother Deed: the full chain of previous ownership documents that shows clear title history.

On top of that, be ready to show things like the seller's ID proof, the building plan approval, and a Khata Certificate, each one is a potential landmine if missing.

Why does this matter so much? Because over 70 per cent of civil court battles in India are tied to property and family disputes, he claimed. That's a staggering chunk of the legal system clogged by people who thought they did everything right.

Ahuja summed it up best: "Please be aware and educate yourself on these things. Registration is just the beginning."

If you're buying, inheriting, or selling, do your homework. Miss one step and that dream home could turn into a legal nightmare.

What Does This Mean for Buyers?

Many people assume that once a property is registered in their name, they own it. This ruling breaks that assumption. It puts the spotlight back on doing proper checks verifying who really owns the land, whether the seller had the right to sell it, and if there are any hidden disputes.

The decision also confirms that physical possession plays a key role in property rights. Even if your name is on paper, someone else living there or challenging the title could block your claim. This affects everything from regular property sales to family inheritance fights.

Must-Have Property Documents

1. Sale Deed

This is the main document proving you bought the property. It's the legal record of the sale, showing that ownership passed from the seller to you. You'll need it not just to prove ownership but also if you plan to sell the place later.

2. Mother Deed

Think of this as the property's family tree. It traces ownership back over the years and helps confirm there are no gaps or problems. Banks often ask for it when giving home loans. If it's missing, you'll need to approach the local office to get a certified version.

3. Sale and Purchase Agreement

This lays out what the buyer and seller agreed on the price, the timeline, and any special conditions. It protects both parties in case something goes wrong before the final transfer.

4. Building Approval Plan

Before any construction starts, the builder needs official approval for both the layout and structure. Skipping this step or building something unauthorized can get you in trouble later even if you didn't know. Always double-check that this is in place.

5. Possession Letter

Once construction is done, the builder gives this letter to the buyer. It mentions the date you can move in. But remember: it's not proof of ownership. That requires the Completion or Occupancy Certificate.

6. Completion Certificate

This shows the building follows local laws and passed inspections. Without it, your home may be considered illegal. It's also needed for setting up essential services like water and electricity.

7. Khata Certificate

This document proves that your property is recognized for tax purposes. It includes size, location, and property usage. You'll need it for paying taxes and applying for things like water or power connections.

8. Allotment Letter

If you're buying something that's still under construction, this letter explains the cost breakdown, extra charges, and payment schedule. Banks need this to approve home loans for such projects.

9. Encumbrance Certificate

This shows the property is free from any debts or legal issues. You get it from the sub-registrar's office. It's especially important if the property changed hands over the last few decades.

10. No Objection Certificates (NOCs)

Depending on the type and location of the property, you may need clearances, like environmental approvals, fire safety NOCs, or society NOCs if the place is in a housing complex.

11. Identity and Address Proof

The seller needs to show ID, passport, Aadhar, PAN, and proof of address. Make sure they're legit. You don't want to buy from someone using fake or stolen documents.

12. RERA Compliance

The builder should have registered the project under the Real Estate Regulation Act (RERA). You can check the RERA portal for complaints or delays. Agents and brokers must also be RERA-registered.

13. Mutation Certificate

A mutation certificate proves that a property has changed hands and the new owner's name is now in the official land or municipal records. Whether you've bought a property or inherited one, mutation is what makes the change real in the eyes of the local authorities.

It's not just about paperwork. Without mutation, the government still sees the old owner as responsible for property taxes. That means even if you've paid in full or legally inherited the place, you could hit a wall when it comes to selling, getting utilities, or proving ownership in a dispute.