The government of Karnataka recently amended the Land Revenue Rules of 1966, effectively reducing the notice period of mutation of registered and unregistered documents. Mutation is the process by which the title of a property is changed in municipal records once the property has transferred to the new owner. However, despite the new reforms the process remains as sluggish as ever, making homeowners anxious as they feel they're under undue risk till the process is completed. The process of mutation is applicable to residential properties, and all types of land including those meant for agricultural or commercial purposes.
The government of Karnataka recently amended the Land Revenue Rules of 1966, effectively reducing the notice period of mutation of registered and unregistered documents. Mutation is the process by which the title of a property is changed in municipal records once the property has transferred to the new owner. However, despite the new reforms the process remains as sluggish as ever, making homeowners anxious as they feel they're under undue risk till the process is completed. The process of mutation is applicable to residential properties, and all types of land including those meant for agricultural or commercial purposes.
The process of mutation of property records was previously set to occur by one month from the sale or transfer of the property in question. As per the new reforms put in place, the notice period has been reduced to 7 days for properties with registered documents and to 15 days for properties with unregistered documents. In addition to this, the amendment also states that the tahsildars tasked with executing the mutations as per the order of the concerned sub-registrar must act within 15 days of receiving the order for mutation. Previously there was no timeline stipulated for this process. A delay in this process may inadvertently put the encumbrance of the title of the land under threat, as the land can potentially be re mortgaged without the knowledge of the new owners.
Without mutation, records at the land revenue department will continue to reflect the name of the previous landowner. Sales deeds for apartments state that the owners have an undivided share in the title, but without timely mutation, many records still mention the name of the previous landowner, long after the sale has ended. In many cases, survey numbers do not reflect the name of the new owners, but rather the records mention the names of the previous landowners and their kin. Simply put, this means that the new owners will not be able to stake a claim in the asset and also run the risk of malpractice and fraud against them.
Taking into consideration Chapter III (4f) of the Karnataka RERA act which states that the promoter shall execute a registered conveyance deed of the apartment, plot or building, as the case may be, in favour of the allottee, along with undivided proportionate title in the common areas to the association of allottees or competent authority, we can see that though ample legal provisions have been made for seamless mutation, the process remains more of less lacklustre due to a variety of components, including negligence and human inefficiency. Another pitfall is that mutation cannot be done if the land has not been transferred to the housing society through a conveyance deed, wherein the land records continue to show the names of the landowners.
Homebuyers claim that despite several requests, the sub registrar's office has not been ordering tahsildars to complete the mutation for the land in which the housing society stands. This may also be in part due to conveyance deeds not being executed on time by the promoters in question. Homebuyers in the state are planning on meeting with the sub-registrar and the land revenue department to get some clarity on their predicament and to hopefully expedite the process of mutation in their cases, and subsequently in future instances as well.