Check for encumbrances of the property
Agency: Land Revenue Office
Buyers or their lawyers (lekhandas, or paralegals) conduct the property search at the Land Revenue Office to check for encumbrances of the property. The buyer must provide the location details of the property and the period of time that needs to be check.
Time and cost: 1 day, no charge
Obtain tax clearance certificate and certificate of access and building from the Municipality (relevant ward committee)
Agency: Municipality
The seller must go to the local government to certify the type of road that adjoins the property. The seller has to go to the ward committee to obtain the certificate, which can be done in one day. A tax clearance certificate must be obtained from the Municipality regarding the payment of the property tax. If the property is not yet registered in the Municipality for tax purposes, it might take a few days to collect the necessary papers of building permit, land deed, land revenue papers, field visit of municipal engineers to verify and assess the property. In any case, it should not take more than seven days. The value of the property for tax purposes is evaluated by a committee of the Land Revenue Office (comprised of land registry office employees) who take into consideration a variety of metrics, including the current market value, distance to a road, and size of the parcel and building.
Time and cost: 2 days, NPR 7,012.4
Certificate of access and building (in case of Kathmandu Metropolitan City):
- Main road: NPR. 2000 (The land area is less than or equal to 4 Anna) / NPR. 500 per Anna (The land area exceeds 4 Anna)
- Side road: NPR. 1500 (The land area is less than or equal to 4 Anna) / NPR. 400 per Anna (The land area exceeds 4 Anna)
- Gravel/unpaved road: NPR. 1000 (The land area is less than or equal to 4 Anna) / NPR. 300 per Anna (The land area exceeds 4 Anna)
- Track road: NPR. 800 (The land area exceeds or equal to 4 Anna) / NPR. 200 per Anna (The land area exceeds 4 Anna)
Prepare a transfer deed document
Agency: Lawyer’s Office
Legally, the parties can prepare the transfer deed documents by themselves, but it usually is done by the lekhandas, or paralegals. The deed documents are a certificate of citizenship, certificate of ownership, and a tax clearance certificate. The lekhandas can help the seller verify the land ownership certificate with the original land ownership book before preparing the deed.
Time and cost: 1 day, NPR 7,000
Registration of the deed and issuance of a new title certificate
Agency: Land Revenue Office
The transfer deed is submitted for registration to the Land Revenue Office. The Land Revenue Office checks the authenticity of the seller against the Citizenship Certificate. The existence of liens or encumbrances on the property is also reviewed on the same day by the Land Revenue Office. The registration fee is paid at the Land Revenue Office at the moment of applying for registration. Parties must sign and put thumbprints on the transfer deed. After the officer verifies all documents, the transfer deed will be registered, and the title certificate will usually be issued on the same day. The documentation shall include: Land Ownership Certificate (already in possession of the seller), Citizenship Certificate of seller and buyer or Incorporation Certificate of Company Tax clearance from the Municipality/Village Development Committee (obtained in Procedure 2).
Time and cost: 2 days, NPR 296,940.4 (5.5% of the property value)