How to apply for Conditional Sale Deed?
Conditional Sale Deed (CSD) may be obtained from :-
The Assistant Executive Engineer
Suryanagar Phase III, Karnataka Housing Board
857, Block III, Jigala Village
Attibele Hobli
Bangalore – 562 107
Following documents are required to be submitted for obtaining the CSD:-
1. Covering letter addressing to “The Assistant Executive Engineer at Suryanagar 3rd Phase’
2. Copy of your PAN Card
3. Original Pass Sheet
4. Allotment Letter
5. Copy of payment challans
On submission of the above documents, AEE will send to you, a draft CSD with all particulars. Your are to have the draft CSD printed on bond paper as instructed in the covering letter of draft CSD and submit, duly signed, in person to the AEE. After scrutinising the CSD, the same is signed by the AEE and you would be informed telephonically to collect the CSD. You would be given two covering letters. One would be addressed to the Sub-Registrar intimating exemption of the AEE from personal appearance for registration and requesting for registration of the CSD in absentia. The second letter would be addressed to the concerned Panchayat Development Officer (PDO) requesting issue of E-Khata.
On receiving the executed (signed by both parties) CSD, you would be first required to contact the PDO and apply for issue of E-Khata. Refer E-Khata Section below for details. On obtaining E-Khata, you may have the CSD registered with the office of Sub-Registrar at Anekal, Attibele, Sarjapura, Jigani, Banashankari, Basavanagudi or Chamarajpet. Please note that the CSD has to be registered with in FOUR MONTHS from the date of execution mentioned in the CSD. Any delay will result in your having to approach the AEE for a fresh CSD which will cost additional penalities to the extent of Rs 3000/- and redoing the paper work.
Is there a time limit before which Conditional Sale Deed is to be executed?
1. As per Section 17 of the Karnataka Town and Country Planning Act as amended by Karnataka Act 38 of 2014, no site or house can be sold until the Developer (including KHB) obtains Final Layout Plan approval and completion certificate issued by the competent authority namely Anekal Planning Authority in respect of SNP3.
2. On completion of the developmental works and obtaining a Completion Certificate and Final Approved Layout Plan, the developer is allowed to sell the properties. It would be in the interest of the allottee to have the CSD executed and registered at the earliest.
3. However, in the case of SNP3, KHB has commenced selling the sites before obtaining Final Plan approval and without completing any of the developmental works since most of the allotments were done before the Amendment passed in 2014. Presently, about 3200 CSDs have been executed and the remaining 9000 are yet to be executed. Those who have not obtained CSD so far, can avail the benefit of the amended act. This is probably the reason for KHB not issuing any formal letter to allottees for execution and registration of CSD.
Where and how is the registration of the CSD done?
1. Having obtained the E-khata, you may have the CSD registered with any of the registration districts mentioned above. On your first visit, submit the CSD and ascertain the stamp duty and registration charges to be paid. Obtain DDs for these amounts from any nationalised bank favouring the concerned Sub-Registrar. During the second visit, submit the CSD along with the DDs. The process of registration takes half-a-day. Ensure you take two witnesses on the registration day. On completion of registration, obtain atleast three copies of the registered CSD, one to be submitted to the Sub-Registrar, second to AEE and third for yourself.
What is the significance of Possession Certificate?
1. Possession Certificate is a proof of physical possession of the property, which is a necessary element to prove the title of the property.
2. Technically, possession of the property is deemed to have been received at the time of execution of the Conditional Sale Deed as enumerated at para 1 of Purchasers Covenants in the CSD.
3. However, with a view to ensure that the CSD is duly registered, a separate Possession Certificate is given by KHB on production of registered CSD.
How to apply for Possession Certificate?
For getting the Possession Certificate, allottees need to apply to Assistant Executive Engineer, SNP3 at the address given above with the following documents:-
1. Covering letter
2. Copy of the Registered Conditional Sale Deed
How to apply for E-Khata Certificate?
E-Khata may be obtained from the concerned Gram Panchayat office. Following documents are to be submitted for obtaining E-Khata Certificate:-
1. Covering letter to “The Panchayat Development Officer’ of your respective Grama Panchayat Office.
2. Three Passport size photographs.
3. ID proof - Aadhar/PAN Card/Ration Card/Passport.
4. Copy of Allotment letter.
6. Copy of Conditional Sale Deed, duly executed (before registration)
Once applied, you will be provided with a receipt and you can track the status of your application through Sakala Online. The certificate can be collected from the same office after 45 days.
Surya Nagar Phase 3 Applicants who are in Block 1-5 can apply for E-Khata at Bidaraguppe Gram Panchayat office and the rest can apply at Neraluru Gram Panchayat Office.
What is Maintenance Charge and who levies it?
1. KHB maintains the layout until all the properties are sold and the layout is handed over to the concerned civic authority.
2. Maintenance Charge is levied by KHB to recover the cost of maintenance of the layout and its infrastructure. Maintenance charge is consequently leviable only after the infrastructure development is complete and available to the allottees.
3. However, KHB has been levying Maintenance Charge as a pre-condition for giving possession certificate even before any of the infrastructure is fully developed and certified to be completed.
4. Maintenance Charge is levied until the layout is handed over to the local civic authority, after which, civic authority levies Property Tax and KHB ceases to levy Maintenance Charge
What is Property Tax and who levies it?
1. Local Civic Authority is authorized to levy Property Tax after it takes over the layout for maintenance and upkeep.
2. Gram Panchayat is presently the local civic authority. However, Gram Panchayat has not yet taken over the township and is not responsible for its maintenance.
3. Department of Stamps and Registration, with a view to eliminate illegal property transactions in Gram Panchayat areas, has issued a directive for the Registration of such property transactions only on production of Form 9/11 (E-Khata). Accordingly, Revenue Department has directed Gram Panchayats to issue Form 9/11.
4. Issue of Form 9/11 binds the Gram Panchayats to collect Property Tax even if they do not maintain the.
5. Allottees of KHB site are consequentially subjected to double-taxation by way of Maintenance Charge as well as Property Tax.
I applied for site in SNP2 and paid Initial Deposit of 25% of Cost of Site in 2010 but was allotted site in SNP3 in 2013. Am I entitled to interest on my Initial Deposit?
1. As per Rule 6(iv) of KHB Allotment Regulations, 1983, if an applicant is unsuccessful in getting the allotment in the scheme applied for, he may opt to be considered in the future schemes. In such cases, the Initial Depost (ID) is retained by KHB and interest on the same is payable by KHB on completion of one year, until the date he is allotted a property in the subsequent Scheme.
2. Considering that you paid 25% of cost of site, if you waited for three years to get the allotment, you are entitled to interest @12% (That being the interest charged by KHB for delayed payments) for a period of two years. This would amount to a reduction in the cost of your site by about 6.25%. However, neither has clause been invoked by any allottee nor has KHB voluntarily implemented its own rules honestly, resulting in further loss to the allottees.
3. Consequent to implementation of Real Estate Regulatory Act, 2016, no promoter is allowed to collect more than 10% of the cost as application fee for any property. SNP3 being a RERA registered project, is also not expected to collect such heavy advances and deny even interest to the allottees.