Encumbrance Certificate
Are you planning to buy a property in Tamil Nadu?
The first step is to get the property Encumbrance certificate (EC) issued by the Tamil Nadu Government pertains to that particular property in which you decided to invest.
What is meant by Encumbrance Certificate?
Encumbrance Certificate is a government certified record showing registered transactions pertaining to a particular property. This Encumbrance Certificate is issued on request by the sub registrar, which reflects transactions relating to a particular property for a specific period as required by the applicant. Encumbrance Certificate is also known as EC."
Why should we Apply for Encumbrance Certificate?
Literally ‘Encumbrance’ means ‘a burden or an impediment’. Since the best investment on earth is to invest on property, it is the need of the hour to make sure that our investment is a blessing and not a burden to us in the future. Before buying a property (land or house or flat), it is important for us to check if there are any hindrance or obstruction to buy that particular property. Encumbrance Certificate plays a vital role in the investigation of the title of the property. All the details necessary for us to check the safety of the property is present in the ‘Encumbrance Certificate’.
Benefits of Encumbrance Certificate
Encumbrance Certificate is a legal record issued by the Tamil Nadu government showing the registered transactions pertaining to a property. The buyer can check the following details for a particular property such as- Title and Owner of the property.
- Registration details and references of the asset.
- Mortgage charges against the property.
- Hypothecation details of the property.
- Amount secured against the property.
- The nature of charges produced.
- Accepted as a property legal document, for availing bank loans in private and nationalized banks
- EC records and reflects all the transactions occurred in respect of an immovable property be it a sale, lease, mortgage, gift, partition, release, etc., which have been registered before the registration authorities for any particular period. It is wise to get the Encumbrance Certificate before you buy any property and secure your investment.