In addition to being a pocket-heavy investment, property buying also involves detailed documentation so that the investment is legally on the buyer’s name. While the title deed has the name of the new owner once transfer of property is done, there is one more certificate that requires changes to be made— mutation certificate. In this guide we discuss mutation in detail, its importance, documents required and penalty for delaying mutation.
What is mutation in real estate?
Mutation is the process through which the name entry is changed in the government records once a property has been transferred in the name of a new owner. Land and property mutation helps the local authority fix property tax liability, utility charges etc., charge them accordingly. In different states, the process has different nomenclature. This process is known by different names according to the local area. For example, in Uttar Pradesh and Bihar, the process is known as Dakhil-Khariz (entry-omission).
See also: Know all about encumbrance certificate
Mutation (land, property): Quick facts
| Meaning of mutation | Mutation is the process by which name entry is changed in the government records post transfer of property to new owner. |
| Time by which mutation should be completed | Within six months after transfer of property |
| Other names | Namjari, Dakhil-Khariz |
When is property mutation done?
Anytime a property changes hands, a mutation process must follow. Property mutation is done in the following circumstances:
- When you buy a property
- When you inherit a property
- When you receive a property through a gift or a will
- When you purchase a property through a power of attorney
See also: Know about power of attorney for property
Once mutation is done, the asset is registered in the name of the buyer in the government records. This information help the government levy property tax and this is different across different states.
Is there a time limit for mutation of land by property owner?
While buyers of land must immediately complete the mutation process, buyers of flats and apartments can get it done according to their convenience. The property mutation has to be completed within six months so that no fraudulent transactions or mortgages are carried out on the property.
Importance of property mutation
- Property resale: This is an important document that is necessary when you wish to sell your property.
- Confirms legal ownership: This is the legal method in which property is transferred from seller to buyer during a property purchase. So, when mutation is in place, one can establish ownership.
- No litigations: Since ownership is established in a transparent manner, there are no litigations or fights around property regarding the ownership. This also prevents the existence of double-dealing of property where the same property is sold to two different people because of absence of legal documents. In case the property is being inherited, the presence of a mutation certificate makes the entire process transparent and there are no litigations.
- Correction in property related data: With mutation certificate, one can correct the discrepancies in the property record. With the presence of mutation, one can prevent unauthorised property transactions.
- Documents as proof: In order to pay electricity bill, water bill and also use these as proof of identity for the various purposes, it is important to do mutation of property.
- Property tax: This document is also required to know and pay property tax on time. Failure to pay property tax on time may result in penalty, or even allow the municipal body to attach your property.
What are the different types of mutation?
There are two types of mutation:
- Agricultural land mutation: This mutation certificate is mandatory for passing land ownership and ensuring property records are correct for agricultural purposes.
- Non-agricultural land mutation: This covers residential, commercial, and industrial properties. Having this certificate is not mandatory but is recommended as this has a connection with property taxes and also helps establish ownership, thereby preventing property disputes.
Who has to get property mutation done?
Those who buy land or apartments, or inherit the same through a will or gift deed, have to get property mutation done.
See also: Commonly used land and revenue record terms in India
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Property mutation vs registration
| Property mutation | Property registration |
| This is the process of change of ownership in the municipal records | The process of transferring property from one owner to another. |
| Takes place after registration of property- several months after the property is registered.
|
Property gets transferred in the buyer’s name after the payment of stamp duty and registration charges. |
| For this to happen, one has to have the registered property papers. | This is done once the sale deed is executed. |
| With the mutation process, the name in the government records can be changed. This is important for property tax, electricity bill, water bill, etc. that can be then transferred in the name of the new buyer | The entire property ownership is transferred to the buyer and no property transaction can happen on this property without the consent of the owner. |
| Documents required for registration are title deed, EC, CC, building approval plan, government ID, previous property tax receipts, electricity receipt.
|
Documents required for property mutation are copy of sale deed, indemnity bond, government ID, previous property tax receipts, power of attorney/ succession certificate or death certificate of the owner. |
| Property mutation is the buyer’s responsibility where he gets the newly-owned property updated in his name in the local revenue office. | Property is registered by way of executing sale deed. |
| Is mutation a proof of possession? No. It only enables the person on whose name the property is to pay land revenue. This is done after registration. | Registration is actually proof of possession of property. |
How to apply for mutation of land (property)?
Municipal bodies that govern your area maintain land records and you have to get the mutation of your land or property done. While several states have started online mutation services you would ultimately have to appear in person at the municipal office, to complete the task.
In Bihar, land owners can get the land mutation done online. States such as West Bengal have launched plans to make the process completely online but the process has not yet been completed.
Also see: How to calculate land value?
What documents are required for mutation of property?
While documents required to complete the mutation process might vary from state to state, a buyer would have to submit the following:
- Correctly filled property mutation application form
- Copy of the sale/title deed/gift deed/exchange deed/partition deed/transfer deed
- Copy of will (if applicable in your case)
- Copy of succession certificate (if applicable in your case)
- Copy of Power of Attorney (if applicable in your case)
- Copy of the death certificate of the owner (if applicable in your case)
- No objection certificate from the society
- Rs 3 court stamp fee affixed with the application for name change
- Affidavit on stamp papers
- Indemnity bond
- Copy of Aadhaar Card
- Property tax receipts
How is property mutation done?
- The buyer must appear in the municipal office, along with all the documents.
- Following the submission, the department would conduct a physical verification of the property and then, issue the property mutation certificate.
- As a lot of states now allow you to complete property mutation online, you can simply visit the official portal concerned, to go ahead with the process.
- You could also check the previous mutation or ‘dakhil kharij’ records online, by visiting the official portal and providing the details of the property and the owner.
What is the process for online mutation?
In this example, we would explain the property mutation process in UP, if the property is located in the state’s capital, Lucknow.
Step 1: Visit the official site of the Lucknow Nagar Nigam. On the home screen, you will find the option House Mutation. Click on it.
Step 2: On the new page that opens, you will find the options ‘New Property Mutation’ and ‘Mutation Status’. Click on ‘New Property Mutation’ option to apply. If you have already applied for a mutation, you can click on ‘Mutation Status’ option to check it.
Step 3: A fresh page will open, where you will have to give your mobile number, house ID and security pin to generate an OTP. This OTP will be sent to your registered mobile number.
Step 4: Following this, a detailed property mutation form will appear, where you will have to enter the following details:
Property owner
Property ID
Property Location
Property Pin
Type of property
Reason for mutation
You will also have to upload relevant documents as proof. The property mutation process will be completed, after you pay the property mutation fee.
Also read about Deemed conveyance
How to get mutation certificate 2025 in Maharashtra online?
Mentioned are steps to follow for property mutation in Maharashtra.
1) Login to https://aaplesarkar.mahaonline.gov.in/en and register yourself on the website. Then, login with the username and password.
2) Under the available services online, select mutation. This can be for un-disputed or disputed mutation entry.
3) Fill the details, click on apply and submit the supporting documents that are mentioned above in documents required.
4) Make online payment for the property mutation process through the various payment modes that the Aaple Sarkar website supports.
5) Document verification will be done and once approved, you will get the mutation certificate. This will also be updated in the official records.
What is the process for offline mutation?
- For offline mutation, one has to go to the concerned ward office of the municipal corporation.
- Submit the property documents, property location, type of property, reason for mutation.
- Pay the fee attached to mutation.
- Get acknowledgement.
- Once the property documents are verified, you will get the record that shows change in ownership.
How much time does it take to complete property mutation?
Once you submit your application, along with the required documents, it might take the municipal body 15 to 30 days to update the record, after which it would issue a property mutation certificate to you. In case of land mutation, it will take at least a month for the records to show change in land ownership.
Property mutation fee
While some states charge a nominal fee for property and land mutation, others levy property mutation rate as a certain percentage of the property value. In states that charge a nominal fee for property mutation, the rate may vary between Rs 25 and Rs 100. In states where charges are higher, at least 1% of the property cost could be charged as property mutation charge. Also note that property mutation charge is a one-time duty.
Mentioned are fees charges for mutation in some of the Indian states.
- In Delhi, a nominal fee is charged as the property mutation fee. According to reports, the mutation fee is around Rs 200 to Rs 500.
- In Gujarat, 0.5% to 1% of the property’s market value is charged as the property mutation fee.
- In Karnataka, 0.5% to 1% of the property’s market value is charged as the property mutation fee.
- In Kerala, 1%-2% of the property’s fair value is charged as the property mutation fee.
- In Maharashtra, 1%-2% of the property’s market value is charged as the property mutation fee.
- In Tamil Nadu, the property mutation fee is 1%-2% of the property value.
- In Telangana, the property mutation fee is usually a fixed amount, depending on the type and size of the property. On the basis of the parameters, it is between Rs 100 and Rs 500.
- In Uttar Pradesh, the property mutation fee is an amount ranging between Rs 100 and Rs 500.
- In West Bengal, the property mutation fee is 1%-2% of the property’s market value.
- In Bihar, the property mutation fee is 1%-2% of the property’s guideline value.
What are the challenges faced in property mutation?
- Providing incomplete documentation: Not submitting all required documents may lead to rejection of the mutation of property.
- Delay in verification: The manual checks or inspections have to be done for the property may take longer period of time resulting in delayed processes.
- Mismatch in ownership records: If there are discrepancies found out in documents and the existing ownership records, there will be delay in the process.
- Different rules in different states: There is a chance that there are different rules that are followed by different states when it comes to property mutation. This may result in delay in the process.
- Technical glitch with online portals: In case the online mutation portal faces a downtime, gateway failure etc. then it can delay the entire process.
What if property mutation is not completed?
Since the penalty is not very high (states typically charge Rs 25 to Rs 100 as the penalty for delays) and one is free to get the property mutation done as and when they find it convenient to do so, buyers often continue to postpone the process. However, it is advised that the property mutation process be completed as soon as all the other tasks pertaining to the purchase are complete. You would need the proof of the mutation, when you plan to sell the property in future. Even otherwise, it is legally much safer if a property mutation is done immediately after the purchase, from the point of view of transfer of ownership.
Can you claim title based on property mutation?
Owners must recall here that mutation entries can only be used as proof of possession over a property and not ownership. The Supreme Court of India has passed several judgements stating that.
Can you file an appeal in case your application for mutation is rejected?
An aggrieved party can file an appeal before the additional collector or the deputy commissioner, within 30 days of the order of rejection of the mutation. If the outcome of the appeal is positive, then one can start the process of mutation again.
Can a property be sold without mutation?
Yes. A mutation certificate is needed only after a resale flat or a property is purchased and its ownership transferred to the new owner.
How important is indemnmity bond for property mutation?
An indemnity bond states that the person executing the mutation of property will pay the Municipal Corporation in case there is any dispute that arises from mutation. This is valid only when the application is done by the owner. Note that it is important to register the indemnity bond on Rs 100 stamp paper which has been attested by a notary.
Housing.com POV
It is not mandatory to have a property mutation certificate, but like all other important things, it is a good practice to have this. While it may not have an impact while buying the property, there may be instances where a new owner may be affected because the property mutation is not done. These impact property tax payments, access to utilities ,etc. which can affect the home buyer.
FAQs
What is mutation of property?
Mutation of property refers to the change in title ownership when a property is sold or transferred, which is recorded in the land revenue department.
How to apply for mutation of property?
A property owner must apply for mutation of the property in his/her name at the municipal body which maintains the land record of the said property.
Why mutation of property is required?
Mutation of property in the owner’s name, acts as a proof of ownership of the property. This document is also useful, while applying for power and water services.
What happens if a mutation of property is not done?
Mutation of property is compulsory for buyers of land. In case of non-agricultural land and for buyers of flats and apartments, mutation is a legal formality and failure to do so, does not take away one’s right in the property.
| Got any questions or point of view on our article? We would love to hear from you. Write to our Editor-in-Chief Jhumur Ghosh at jhumur.ghosh1@housing.com |