An Encumbrance Certificate (EC) is an essential document required in any real estate transaction, such as buying or selling property. It ensures that the property has no outstanding loans, liabilities, or legal issues tied to it. This article provides a detailed overview of what an encumbrance certificate is, how to apply for it online, associated costs, and important details you need to know.
What is an Encumbrance Certificate?
An Encumbrance Certificate shows whether a property is free from any encumbrances, like loans or legal claims. When a property is bought with a mortgage, a legal charge, known as a “Lien,” is put on it. This means the owner cannot sell the property until the mortgage is fully paid off. If you are looking to buy a property, it is crucial to check the EC to avoid any legal complications later. You can obtain an EC from your local Sub-Registrar’s office.
Encumbrance Certificate in Andhra Pradesh
Key Highlights of Encumbrance Certificate
| Name | Encumbrance Certificate |
| Types | Form 15 and Form 16 |
| Objective | To verify if the property has any liens or obligations |
| Online Application Process | Yes |
| States with Online EC Application Facility | Andhra Pradesh, Odisha, Kerala, Puducherry, Tamil Nadu, and Telangana |
Importance of an Encumbrance Certificate
Before purchasing a property, it is imperative to obtain an Encumbrance Certificate. This document verifies that there are no outstanding financial claims on the property, ensuring a clear title. If you find any charges on the EC, it is important to resolve these issues before closing the transaction. Additionally, when applying for a property loan, you will need to provide the EC as part of the documentation.
Encumbrance Certificate in Telangana
Types of Encumbrance Certificates
There are two main types of Encumbrance Certificates:
- Form 15: This certificate is issued when there are existing encumbrances on a property for the requested period.
- Form 16: This certificate is issued if there have been no encumbrances during the specified period, indicating a clean title.
Understanding the Nil Encumbrance Certificate
When applying for an EC, you will specify the duration for which you require the information. If there are no debts associated with the property during that timeframe, you will receive a “Nil Encumbrance Certificate,” confirming that no lenders have any claims on the property within the specified period.
Cost of Obtaining an Encumbrance Certificate
The application fee for an Encumbrance Certificate may vary from state to state. Here are some examples of the fees charged in different states:
| State | Fees |
| Andhra Pradesh and Telangana | Rs. 200 for search and issue of a certified EC copy (up to 30 years) Rs. 500 for EC copies over 30 years |
| Kerala | Rs. 10 for a single search and copy Rs. 10 for each extra sheet over the first two sheets |
Note: It is advisable to check with local authorities regarding the most current fees and charges applicable in your area.
Encumbrance Certificate in Kerala
How to Apply for an Encumbrance Certificate Online
The process of applying for an Encumbrance Certificate varies by state. Some states allow online applications, while others require you to visit the Sub-Registrar’s office. The steps for online application typically include:
- Visit the official land registration website of your state and select the option to apply for an EC.
- Fill in the required fields in the EC application form and save your details.
- After entering the search period, click on “Calculate Fee” to proceed.
- Once you pay the application fee, an acknowledgment will be generated, which you can print for your records.
- A land records inspector will verify the details and generate the EC, detailing any transactions during the specified period. If no transactions occurred, a nil EC will be issued.
States Offering Online Encumbrance Certificates
Most states in India issue ECs physically; however, several states, including Andhra Pradesh, Odisha, Kerala, Puducherry, Tamil Nadu, and Telangana, provide online EC services. Note that as of June 10, 2020, the Karnataka government reverted to offline issuance of ECs due to challenges with their online portal, Kaveri Online Service, impacting property transactions in Bengaluru.
Steps to Submit an EC Application Online
To submit your EC application online, please follow these steps:
- Visit the local Sub-Registrar’s office relevant to the property’s location.
- Fill out Form 22 accurately.
- Provide details such as the names of the buyer and seller, the property location, and specify that you are applying for an EC.
- Pay the required fee at the counter.
- Once your application is successfully submitted, you will receive an acknowledgment number to check the application status online.
How to Check the Status of Your Encumbrance Certificate
To check the status of your EC application, follow these general steps:
- Visit the appropriate government website where you initially applied for your EC.
- Look for an option to check EC status, usually found under the “Certificate” menu.
- Input the captcha and the Transaction ID you received upon application submission, and click “Check Status.” You can download the certificate as a PDF if it’s available.
Expected Timeframe for Receiving an Encumbrance Certificate
The timeframe for receiving an EC can differ depending on your location. If you applied through a physical application, it typically takes about 15 to 30 days to get your EC. However, applying online can expedite the process, and you may receive the EC in approximately 2 to 3 working days.
Downloading Your Encumbrance Certificate
If your state’s government website supports tracking EC application statuses, you can download your EC directly once it has been generated.
Documents Required for Encumbrance Certificate Application
While applying for an EC, ensure you have the following documents ready:
- Details about the property and its title deed.
- Registration documents of the property.
- Any previous sale deed, gift deed, partition deed, or release deed if applicable.
- Registration deed number, including the date and book number, along with your signature.
- Your address proof.