Glossary of Indian Real Estate

Agreement to Sell

A contract recording that a sale will happen on agreed terms. It is not the sale.

Why it matters. Section 54 of the Transfer of Property Act, 1882 is explicit: a contract for the sale of immovable property “does not, of itself, create any interest in or charge on such property.” Ownership passes only on a registered sale deed. An ATS gives you contractual rights — the right to sue for specific performance — not ownership.

Allotment Letter

The document by which a builder or authority allots a specific unit to a specific buyer, usually after booking and before the agreement for sale.

What goes wrong. Buyers treat the allotment letter as proof of ownership. It is not. It records that a unit has been earmarked for you, on the terms it sets out. Read those terms — particularly on cancellation, interest, and what happens if the project is delayed — because they usually carry into the agreement.

A Khata

In Karnataka, a property recorded in the corporation’s main property tax register. It signals that the property complies with building byelaws, sits in an approved layout on converted land, and has the requisite approvals.

Why it matters. A Khata property can normally get trade licences and building plan approval, and institutional lenders generally lend against it. Note that a khata is a property tax record, not a title document — it tells you who pays the tax, not who owns the land. See Karnataka rules.

Annual Statement of Rates

Maharashtra’s official minimum-value table for property, determined under the Bombay Stamp (Determination of True Market Value of Property) Rules, 1995 and issued by circular, usually at the end of March for the year beginning 1 April.

Why it matters. Stamp duty is charged on the higher of your price and this value. If the ASR value exceeds what you are paying, you pay duty on the ASR figure.

Appellate Tribunal (REAT)

The body that hears appeals from orders of a state Real Estate Regulatory Authority or its adjudicating officer, under the Real Estate (Regulation and Development) Act, 2016.

Why it matters. A RERA order is not the end of the road for either side. Note also that some tribunals are shared — Delhi and Chandigarh have a single tribunal between them.

B Khata

In Karnataka, a property recorded in the separate register created by section 108A(3) of the Karnataka Municipal Corporations Act, 1976 — a building in violation of byelaws, or in an unauthorised layout, or on revenue land, or occupied without an occupancy certificate.

What the statute actually says. That the entry “does not confer any right to regularise violation made, or title, ownership or legal status to such building”, and that such buildings “shall always be liable for any action for violation of law”. It exists so the corporation can tax non-conforming property without legitimising it. Full explanation on the Karnataka page.

Bhoomi

Karnataka’s rural land records system, where the RTC (Record of Rights, Tenancy and Crops), also called the pahani, lives.

Bhulekh

The land records portal in several states, including Uttar Pradesh, where the khatauni and related rural records are published.

Built-up Area

Carpet area plus the thickness of walls and usually the balcony and utility areas. Larger than carpet area, smaller than super built-up.

What goes wrong. There is no single statutory definition of built-up area that applies to every transaction, which is exactly why RERA moved the sale unit to carpet area. If a price is quoted on built-up area, ask what is included in the number.

Builder-Buyer Agreement

The main contract between a promoter and an allottee for an under-construction unit. Under RERA a promoter cannot accept more than 10% of the cost as advance without first entering into a registered agreement for sale.

Why it matters. This is where the possession date, the penalty for delay, the payment plan, the specification and the exit terms live. Several states publish a model form — MahaRERA, for instance, has issued a proforma by order. Compare what you are given with the model.

Carpet Area

Defined in section 2(k) of the Real Estate (Regulation and Development) Act, 2016 as the net usable floor area of an apartment, excluding the area covered by external walls, areas under services shafts, exclusive balcony or verandah area and exclusive open terrace area — but including the area covered by the internal partition walls.

Why it matters. That last clause is the one everybody misses. RERA carpet area includes internal walls, so it is not the same as the floor you can lay tiles on. It is, however, a single defined number that every promoter must use, which is why RERA made it the unit of sale.

Circle Rate

The government’s published minimum value for property in a locality, used to compute stamp duty and registration fees.

Why it matters. Duty is charged on the higher of your consideration and the circle-rate value. If the circle rate is above your price, you pay on the circle rate. If your price is above the circle rate, you pay on your price. It is also a floor for income-tax purposes on both sides of the deal.

Completion Certificate (CC)

A certificate from the competent planning authority that a building has been completed in accordance with the sanctioned plan.

What goes wrong. A completion certificate is not an occupancy certificate. Completion says the building matches the approved plan; occupancy says it is fit to live in and services are connected. Ask which one you are being shown.

Conveyance Deed

Any registered instrument that transfers ownership of immovable property. A sale deed is one kind of conveyance; a gift deed and an exchange deed are others.

Common Areas

Under RERA, the land, staircases, lifts, corridors, lobbies, parking areas, community facilities, water tanks, plant rooms and all other parts of a project not comprised in any apartment — to be transferred to the association of allottees.

Co-operative Housing Society

A society registered under state co-operative law that holds the land and building and in which flat owners hold shares.

Why it matters. In a society, you own shares and occupancy rights in a flat, and the society owns the land. Transfers require the society’s process, and in Maharashtra the transfer premium a society may charge is capped by government order — a rule very widely ignored.

DC Conversion

Converting agricultural land to non-agricultural use with the approval of the Deputy Commissioner or Collector, under state land revenue law.

What goes wrong. Buying a plot or house on unconverted agricultural land. In Karnataka that is precisely the category the B Khata register exists for. Ask to see the conversion order itself, not a description of it.

Deemed Conveyance

A mechanism, notably under section 11 of the Maharashtra Ownership Flats Act, 1963, by which a society can obtain a unilateral conveyance of the land and building when the promoter has failed to execute one.

Why it matters. Thousands of societies occupy buildings whose land was never conveyed to them. Maharashtra extended the machinery to RERA-registered projects with effect from 31 December 2025. See the Maharashtra page.

Dakhil Kharij

The North Indian term for mutation: recording a change of ownership in the revenue records after a transfer.

Development Agreement

An agreement under which a landowner gives a developer the right to develop the land, usually in exchange for a share of the constructed area or of the revenue.

Why it matters to a buyer. If you are buying in a joint-development project, the seller’s title and the developer’s right to sell your unit both flow from this agreement and the power of attorney that accompanies it. Ask for both.

EDC

Charges levied on a colonizer for external development works — roads, water, sewerage, power — carried out by the government or a local authority outside the colony.

Why it matters. In Haryana, EDC is a statutory levy under the Haryana Development and Regulation of Urban Areas Act, 1975, and the rules require development-plan-wise accounts of what is collected. It is not a charge the developer invented, but nor is the figure on your cost sheet self-evidently correct. See the Haryana page.

Encumbrance Certificate (EC)

A certificate from the registering office listing the registered transactions affecting a property for a stated period.

What goes wrong. Treating an EC as proof of clean title. It is not a title document — it is a list of what the registers contain, for the offices and period searched. Unregistered claims, litigation and tax dues do not appear. And it does not exist everywhere: Delhi has no EC and uses deed search plus the prohibited-property register instead; Uttar Pradesh calls it a bhaar mukti pramaan patra; Karnataka issues it as Form 15 or Form 16.

e-Khata

Karnataka’s digitised khata, issued through the e-Aasthi portals and, since 2024, required for property registration.

e-Stamping

Paying stamp duty electronically and receiving a certificate, instead of buying physical non-judicial stamp paper.

Why it matters. States are retiring physical stamp paper. Uttar Pradesh invalidated the ₹10,000 to ₹25,000 denominations in March 2025; Karnataka launched digital e-stamps in December 2025. Check what your state accepts on the day you register.

Escrow / RERA Account

Under section 4(2)(l)(D) of the RERA Act, a promoter must deposit seventy per cent of the amounts realised from allottees for a project in a separate account in a scheduled bank, to cover the cost of construction and land, and may withdraw only in proportion to the stage of completion, certified by an engineer, an architect and a chartered accountant.

Why it matters. This is the single most important consumer protection in RERA. It is what stops money from one project funding another. If a promoter is not maintaining it, that is a complaint.

FSI / FAR

The ratio of total permissible built-up floor area to the area of the plot. An FSI of 2 on a 1,000 sq m plot permits 2,000 sq m of construction.

Why it matters. FSI determines how much can lawfully be built. Construction beyond sanctioned FSI is unauthorised, and in a redevelopment context penal charges can attach to it.

Freehold

Ownership of land without a time limit and without a ground rent to a lessor. Contrast leasehold.

Form 15 and Form 16

The two forms of encumbrance certificate in Karnataka. Form 15 is issued where the records contain entries and lists them. Form 16 is issued where there are no entries for the property and period searched — a nil certificate.

What goes wrong. Reading a Form 16 as “there are no encumbrances”. It means nothing was found in the registers searched. That is narrower.

GPA

An instrument authorising one person to act for another. A “GPA sale” is the practice of transferring property by an agreement to sell, a power of attorney and a will, instead of a registered sale deed.

The law is settled. In Suraj Lamp & Industries (P) Ltd. v. State of Haryana, decided 11 October 2011, the Supreme Court held that “SA/GPA/WILL transaction does not convey any title nor create any interest in an immovable property.” Immovable property can be transferred only by a registered deed of conveyance. A GPA is not a substitute, however common the practice was.

Guidance Value

Karnataka’s term for circle rate, estimated and revised by a Central Valuation Committee constituted under section 45-B of the Karnataka Stamp Act, 1957 and chaired by the Inspector General of Registration.

IDC

A charge levied on a colonizer for augmenting infrastructure, distinct from EDC.

A naming correction. In Haryana the statutory term is “infrastructure augmentation charges”, imposed under section 3(7) of the 1975 Act at the point of granting a completion certificate, at rates set in Schedule-B of the 1976 Rules. “IDC” is the market’s name for it.

IFMS

A refundable deposit collected by a builder from buyers, held as security towards maintenance of the project until the association of allottees takes over.

What goes wrong. IFMS is contractual, not statutory. Its amount, its terms and what happens to it on handover all come from your agreement. Read that clause, and ask when and to whom it is transferred.

Index II

In Maharashtra, the registrar’s index entry summarising a registered document — parties, property, consideration, date and document number.

Why it matters. A certified copy of Index II is a fast, cheap way to confirm that a transaction was registered and on what terms. Maharashtra guarantees it in three days under its Right to Public Services Act.

Jamabandi

The record of rights in Haryana, Punjab and several other states — the register showing owners, cultivators, shares and the nature of holdings, periodically revised.

Jantri

Gujarat’s term for the government’s published minimum land and property values.

Khasra

The plot number of a parcel of agricultural land in the revenue records of North India, tied to the village map.

Khatauni

In Uttar Pradesh and neighbouring states, the record of a holder’s landholdings in a village — the entries that mutation amends.

Khata

A record of an immovable property maintained in the property tax register by a city corporation, and the name of the person legally responsible for paying that tax.

What goes wrong. Believing a khata is a title document. It is a tax record. It matters enormously in practice — for plan sanction, for lending, for trade licences — but it does not prove ownership.

Khata Transfer

Getting the corporation’s property tax record changed into the buyer’s name after purchase.

The trap for sellers. Under section 114 of the Karnataka Municipal Corporations Act, 1976, both parties must notify the Commissioner within three months, and a seller who does not “shall continue to be liable for the payment of the property tax” until notice is given or the transfer is recorded. Sellers who treat khata transfer as the buyer’s problem keep the liability.

Leasehold

A right to hold and use land for a fixed term under a lease, subject to its conditions, with ownership remaining with the lessor.

Why it matters. Much of Delhi and many authority-allotted properties are leasehold. Transfer usually needs the lessor’s permission, conversion to freehold is a separate paid process, and the remaining term affects both value and lending.

Leave and Licence

A permission to occupy premises that does not create a tenancy or transfer an interest in the property. The standard residential arrangement in Maharashtra.

The rule landlords break. Section 55 of the Maharashtra Rent Control Act, 1999 makes a leave and licence agreement compulsorily registrable, places the duty on the landlord, and provides that in the absence of a registered agreement the tenant’s version of the terms prevails unless proved otherwise — with a criminal penalty on top. See the Maharashtra page.

Loading

The difference between super built-up area and carpet area, expressed as a percentage of carpet area. A 30% loading means a 1,000 sq ft carpet flat is sold as 1,300 sq ft.

Why it matters. Loading is not regulated. Two projects quoting the same rate per square foot on super built-up area can differ materially in what you actually get. Always convert back to a rate per square foot of carpet before comparing.

Lien

A right to retain property as security for a debt, until the debt is paid.

Mutation

Recording a change of ownership in the revenue or municipal records after a transfer, inheritance or partition.

What goes wrong. Skipping it after registration. Registration transfers title; mutation updates the record the state actually works from — for tax, for compensation, for utilities. In Uttar Pradesh section 37 of the Revenue Code goes further: no suit or proceeding lies in a revenue court at the instance of a person who obtained possession by transfer until he has made the report. Until you apply, you cannot litigate about your own land.

Model Tenancy Act, 2021

A model law circulated by the Union Government in June 2021 for states to adopt by fresh legislation or amendment. It proposes a two-month deposit cap for residential premises, written agreements, and Rent Authorities.

What goes wrong. Quoting it as if it were law everywhere. It is not self-executing. On the last official list, only Andhra Pradesh, Tamil Nadu, Uttar Pradesh and Assam had revised their tenancy Acts on its lines. Check your state before relying on its deposit cap.

MOFA

The Maharashtra statute governing promotion of construction, sale, management and transfer of flats — the source of the conveyance obligation and of deemed conveyance.

NA Land

Land whose permitted use has been converted from agriculture to a non-agricultural purpose by the competent revenue authority.

NOC

A written confirmation from a person or body with an interest that they do not object to a transaction — a society, a lender, a lessor, a planning authority, or a District Magistrate.

Why it matters. Some NOCs are statutory and the registration will not proceed without them. In Uttar Pradesh, for instance, agricultural land transferred by a Scheduled Caste or Scheduled Tribe seller to a non-SC/ST buyer requires a District Magistrate’s NOC.

Notice of Intimation

In Maharashtra, the filing that records a mortgage created by deposit of title deeds, so that the charge appears on the public record.

Why it matters. An equitable mortgage does not always leave a registered deed behind. The Notice of Intimation is how it becomes visible to a later buyer — so search for it.

Occupancy Certificate (OC)

A certificate from the local authority that a completed building is fit for occupation — that it was built per the sanctioned plan and that water, sewerage, electrical and fire safety requirements are met.

What goes wrong. Taking possession without one. Occupation without an OC is unauthorised occupation; it can block utility connections in your name, complicate resale and lending, and in Karnataka it is one of the express grounds that puts a building into the B Khata register. Ask for the OC before you take keys, and if it is not there, ask in writing when it will be.

Patta

In Tamil Nadu and several other states, a revenue record issued in the name of the landholder recording the survey number and extent of land held.

PLC

An extra amount charged by a builder for a unit considered better located — a corner, a park view, a particular floor.

Why it matters. PLC is purely contractual. It should be itemised in your cost sheet and your agreement, and it should be refundable if the advantage you paid for does not materialise. Get that in writing.

Possession Letter

The builder’s letter recording that possession of a unit has been offered or handed over on a date.

What goes wrong. Accepting an “offer of possession” for a building without an occupancy certificate, which starts your maintenance liability while leaving the compliance gap with you.

Property Card

In Maharashtra, the record of rights for urban land maintained by the city survey office, showing the holder and the extent of a city survey number.

Pahani / RTC

Karnataka’s core rural land record, available on Bhoomi.

Power of Attorney

An instrument by which one person authorises another to act on their behalf. A special power of attorney is limited to specified acts; a general power of attorney is broader.

Why it matters. A power of attorney is an agency document, not a transfer. If you are buying from someone acting under a POA, read the POA: check that it authorises sale, that it is registered where required, that it has not been revoked, and that the principal is alive — a POA generally lapses on the principal’s death.

RERA

The central statute regulating promoters and agents, with a regulatory authority and appellate tribunal in each state and union territory.

What it actually gave buyers. Compulsory project registration and public disclosure; sale by carpet area; the seventy per cent separate account; a registered agreement before more than 10% is taken; liability for structural defects; and a complaint route that does not require a civil suit. Rules, fees and forms are made state by state — see state rules.

Registration Fee

The fee for registering a document under the Registration Act, 1908, fixed by each state under section 78.

Why it matters more than people think. It is not uniform and it is not always a small percentage. Haryana charges a slab capped at ₹50,000; Maharashtra 1% capped at ₹30,000; Delhi a flat 1%; Karnataka doubled it to 2% in August 2025 and we could find no cap. On a large purchase the spread runs to lakhs. See the state comparison.

Relinquishment Deed

An instrument by which a co-owner releases their share in a jointly held property in favour of another co-owner. It operates only between co-owners, and it is registrable.

Rectification Deed

A registered instrument correcting a mistake — a misspelled name, a wrong survey number, an arithmetic error — in an earlier registered document.

Why it matters. Errors in a sale deed do not fix themselves and will surface at the worst moment, usually when you sell. Correct them while both parties are available and willing.

Sale Deed

The registered instrument by which ownership of immovable property is transferred for a price. This, and nothing short of it, is what transfers title.

Saleable Area

A builder’s term for the area on which price is computed — usually super built-up area. It has no statutory definition.

Sanctioned Plan

The building plan approved by the competent authority, against which construction and completion are judged.

Why it matters. Anything built beyond the sanctioned plan is unauthorised, whatever else it has. Compare what exists with what was sanctioned — particularly on terraces, stilt areas and enclosed balconies.

Stamp Duty

A tax on instruments, levied by the state, payable on the higher of consideration and the government’s minimum value.

What goes wrong. Treating the headline percentage as the whole story. In most states the number is a sum of separate statutes — a base rate plus cesses and municipal surcharges — and in several states the rate turns on whether the property is inside a municipal limit or a notified development area. See the state pages for the components.

Super Built-up Area

Built-up area plus a proportionate share of common areas — lobbies, staircases, lifts, clubhouse. The number most brochures quote.

Why RERA moved away from it. Because the share of common areas allocated to your flat is set by the builder, not by a rule. Two identical flats can carry different super built-up numbers. RERA requires the sale to be on carpet area for exactly this reason.

Search Report

A report by an advocate or search clerk on the registered records affecting a property over a stated period, setting out the chain of title and any encumbrances found.

What goes wrong. Searching one office or one system. In Delhi, records moved from DORIS to NGDRS in January 2024, so a search must cover both. Ask what period and which offices were searched, and get the answer in the report.

Sub-Registrar

The officer under the Registration Act, 1908 before whom documents are presented for registration, for the area in which the property lies.

TDR

Development rights granted to a landowner — typically as compensation when land is surrendered for a public purpose — which can be used elsewhere or sold to someone who can.

Title Deed

The document, or chain of documents, establishing ownership. In practice, title is a chain: each transfer must connect properly to the one before it.

Tripartite Agreement

An agreement between buyer, builder and lender for an under-construction property, under which the lender disburses to the builder and the builder acknowledges the lender’s interest.

Why it matters. It is what allows the bank to lend before there is a registered sale deed to mortgage. Read what it says about the builder’s obligations if the project stalls.

Transfer Duty

A municipal levy on transfers of immovable property, charged as a surcharge on stamp duty.

Why it matters in Delhi. The Revenue Department’s published 4% and 6% figures are expressed as “stamp duty and transfer duty” together. Adding another 1% on top double-counts. See the Delhi page.

Token / Earnest Money

An advance paid to take a property off the market while documents are checked and the agreement is drawn.

What goes wrong. Paying a token with nothing in writing about what happens if title turns out to be defective. Record the amount, the deadline, and the circumstances in which it is refundable — before you pay it, not after.

Unauthorised Colony

A settlement developed without the planning approvals a colony requires.

Why it matters. Regularisation schemes can confer ownership rights without conferring everything else. Delhi’s own review of PM-UDAY found that residents who received conveyance deeds still could not get building plans approved, because there were no approved layout plans. See the Delhi page.

Under-construction vs Ready-to-move

Whether a unit is still being built or is complete with an occupancy certificate.

Why the distinction is not just about waiting. The two carry different risks, different documents and different tax treatment. A ready unit with an OC removes construction risk; an under-construction unit puts your money into a project you are relying on someone else to finish.

Undervaluation

Registering an instrument at a value below the government’s minimum value.

Whose problem it is. Yours. State stamp laws give the registering officer power to refer an instrument for valuation and recover the shortfall with penalty, and audit reports regularly find such cases years later. It is also an income-tax exposure for both buyer and seller.

Will

A declaration of how a person’s property is to devolve after their death.

Why it matters in a purchase. If the seller’s title comes through a will, ask what evidence supports it. And note that a will is not a mode of transfer during life: the “SA/GPA/WILL” package the Supreme Court rejected in Suraj Lamp conveys nothing.

Zoning / Land Use

The use a master plan or development plan permits on a parcel — residential, commercial, industrial, agricultural, institutional or mixed.

What goes wrong. Buying residential expectations on commercially or agriculturally zoned land. Zoning sits upstream of everything: plan sanction, occupancy, khata, lending. Check the land use before you check anything else.