If you are planning to purchase a property, then it is essential to check whether there are any legal complexities associated with the property. An Encumbrance Certificate (EC) will help you to know if a property has any kind of charges against it.
The following sections will provide an overview of the encumbrance certificate along with details regarding how to obtain an EC online.
Whenever you buy a property with a mortgage, the lending institution will add a charge to this property. Also known as ‘Lien’, this charge will make sure that you do not sell the property until you repay the mortgage entirely.
An encumbrance certificate is a document that will enable you to find out whether there are any financial or legal charges made on a particular property.
While buying a property, it is crucial to make sure that the property comes with a clear title. An encumbrance certificate will enable you to ascertain if the property that you intend to buy is free from any kind of legal or financial liabilities.
In case you find a charge on the EC, make sure to rectify it before buying a property.
In addition, you can find out whether there are any other owners who can legally place a claim on the property.
If you are planning to avail a loan for buying a house, you will also have to furnish an EC to your lender.
Encumbrance certificates are of two types:
You will get a Form 15 issued by the Sub-Registrar’s office if the property in question comes with an encumbrance during the period you seek an EC for. However, you will receive a nil encumbrance certificate on Form 16 if it doesn’t have any encumbrance registered against it during the period for which you seek the EC.
A nil encumbrance certificate signifies a property doesn’t have any lien placed against it by any lender during a specific period.
The steps for applying for an EC online will vary from one State to another. To apply for an encumbrance certificate online, you need to follow these steps:
An inspector from the land records department will inspect the property. Once the inspection is complete, the EC will be issued. If there are zero transactions during the specific period, you will receive a nil EC.
If you are unable to apply online, you have to visit the office of the Sub-Register. Here’s what you need to do:
The EC application fees usually vary from one state to another.
Here is a tabular representation showing the fee that you need to pay for getting an encumbrance certificate in different locations across India:
Location | Fees |
Delhi | Request fee begins from Rs. 200. However, it will go up depending on the locality and years for which you ask. |
Andhra Pradesh | Rs. 300 for information up to 30 years and Rs. 500 for more than 30 years |
Telangana | For 30 years information, the fee is Rs.200 while for more than 30 years it is Rs. 500. In addition, there is a service charge of Rs. 25. |
Tamil Nadu | The application fee is Re. 1. The fee for first-year information is Rs. 15 while for every extra year, you will have to pay Rs. 5. |
An encumbrance certificate is an essential document for in-house property transactions as well as for availing various credit options. Make sure to follow the process for EC application as mentioned by your State Government.
Ans: Here are some of the supporting documents that you have to furnish while applying for an encumbrance certificate:
• Title deed details along with property details
• Documents regarding property registration
• Address proof documents
• Gift deed or property deed or sale deed in case a deed has already been created previously
• The deed number having the book number, date and the applicant’s signature
Ans: It will depend on the method through which you apply for an EC. If you opt for the online method, you will get it within 2 to 3 days. However, if you choose the offline mode, it might take anywhere between 15 to 30 days.
Ans: The process to track the status of your encumbrance certificate application will depend on the state you reside in. The government websites that offer services with regard to online EC applications will let you check and track the application status.
Ans: You can easily download the encumbrance certificate of the property from the respective state government’s website through which you applied for the EC. You can track the application status and download the certificate once it is generated.
Ans: As of now, only a few Indian states offer an online facility that allows individuals to apply for encumbrance certificates. These include Kerala, Odisha, Tamil Nadu, Andhra Pradesh and Telangana. Karnataka discontinued its online application process after technical issues with its Kaveri Online Service.
Are you looking to buy that house you’ve been eyeing 🏠 and you need a loan of up to ₹5 crore. Install the Navi app now and get instant in-principle approval right away! Interest rates starting at 8.74% p.a.
Disclaimer: This article has been prepared on the basis of internal data, publicly available information and other sources believed to be reliable. The information contained in this article is for general purposes only and not a complete disclosure of every material fact. It should not be construed as investment advice to any party. The article does not warrant the completeness or accuracy of the information, and disclaims all liabilities, losses and damages arising out of the use of this information. Readers shall be fully liable/responsible for any decision taken on the basis of this article.
Best Home Finance Companies (HFCs) in India 2023
Housing Finance Companies (HFCs) are Non-Banking Financial Companies (NBFCs) that specifically cate... Read More »Housing Loan Interest Rates in 2023: Formula, Calculation and Charges
With RBI increasing its repo rate to 6.25%, lenders have increased their home loan interest rates t... Read More »Get Home Loan In Dharwad – Interest Rates and How to Apply Online
Dharwad, located in the north-western part of Karnataka, is a developing industrial hub of the stat... Read More »How to Apply for a Home Loan in Bangalore – Interest Rates and Eligibility Criteria
Getting a home loan in Bangalore wouldn't be too difficult if you have the repaying capacity and a ... Read More »Home Loan Repayment Calculator – Best Ways to Repay Home Loans
Home loan repayment (foreclosure) refers to the complete repayment of the outstanding loan amount t... Read More »8 Home Loan Tips You Should Consider
Buying a home is a dream come true for many. This is a crucial decision in someone’s life financi... Read More »Tips to Consider Before Purchasing Your First Home
Buying your first home is essential, and emotional for many in India. It is one of the most sought-... Read More »Benefits of Taking a Joint Home Loan in India – Tax Benefits (2023)
While applying for a home loan it is not mandatory to have a co-applicant. However, there are multi... Read More »Mortgage Loan/Loan Against Property: Eligibility, Interest Rates and Things to Consider
A mortgage loan is a secured financing option sanctioned against a property kept as collateral. Als... Read More »RERA Telangana – TSRERA Services, Registration Process and Fees
On 31st July 2017, the state government of Telangana notified the TSRERA or Telangana State Real Es... Read More »Loan-to-Value Ratio | Working, Calculation, Guidelines and Impact
The loan-to-value (LTV) ratio is a risk evaluation method used by financial institutions and l... Read More »What is Earnest Money and its Significance in Real Estate Sector?
High-value investments, such as home purchases or highly priced government and private projects, ge... Read More »Top 10 Chit Fund Schemes in India in 2023
Chit funds are one of the most popular return-generating saving schemes in India. It is a financial... Read More »10 Best Gold ETFs to Invest in India in February 2023
Gold ETFs or Gold Exchange Traded Funds are passively managed funds that track the price of physica... Read More »Top 10 Demat Accounts in India [Lowest Brokerage Charges]
A Demat account was created to eliminate the time-consuming and inconvenient procedure of purchasin... Read More »20 Best Index Funds in India to Invest in 2023 (Updated on 31st Jan)
What is an Index Fund? An index fund is a type of mutual fund or exchange-traded fund (ETF) that... Read More »Best Arbitrage Mutual Funds to Invest in India: Returns and Taxation
Arbitrage funds are hybrid mutual fund schemes that aim to make low-risk profits by buying and sell... Read More »Best SIP Mutual Funds To Invest In India (2023) – Its Types And Taxation
A Systematic Investment Plan (SIP) is a convenient way to invest a fixed sum in mutual funds. For i... Read More »10 Best Corporate Bond Funds in India 2023 – With Returns
Corporate bond funds are debt funds that invest at least 80% of the investment corpus in companies ... Read More »10 Best Banks for Savings Account in India (2023)
A savings account keeps your money safe, and lets you earn interest every quarter. There are many b... Read More »All information is subject to specific conditions | © 2023 Navi Technologies Ltd. All rights are reserved.
Start Small. Dream Big.
Start your Investment Journey with just ₹10