The state government of Maharashtra announced on September 6 that it had created a blockchain technology that would store e-registration data and allow it to be shared with relevant stakeholders, such as property buyers, governing bodies, and financial institutions helping to finance the purchase. This comes as the state has begun e-registering newly built properties.
The primary purpose of implementing blockchain technology is to avoid duplication and tampering with registrations made on an online platform. According to Hardikar, it will safeguard the rights of home buyers and lenders.
During COVID-19 in 2021, the Maharashtra government introduced a software tool that allows developers to e-register new property transactions at their own offices.
The approach was part of an attempt to stem the decline in registration revenue since March 2020, following the COVID-19 breakout.
Currently, 417 developers in the state have chosen the e-registration option.
The completion of the procedure till document registration can be done online under the facility of online property registration, and home buyers do not need to see the stamp duty and registration office. They can finish the procedure while still seated in the developer’s office.
Earlier in the pandemic, e-registration was only accessible for leave and license agreements, which began in 2014.
According to the Department of Registration and Stamps, about 30 lakh property registrations occur in Maharashtra each year on average. Nearly 3-4 lakh of these contracts are for first-time home buyers. Hardikar claims that with seamless online registration, all such transactions will be entirely online in the future. The administration is rumored to consider eliminating the requirement for witnesses at registration.
What is the current system?
Property buyers must go to their local sub-office registrar to register the acquisition of apartments, office space, and so on.
This agency also handles the registration of leave and license agreements, gift deeds, wills, cancellation agreements, settlement agreements, and adoption deeds, among other things.
However, the Maharashtra government created software last year that allows developers to register the agreement for sale at their own offices. This would eliminate the need for buyers to visit the sub-office registrars and wait in huge lines for registrations.
According to officials, e-registration has eliminated the need for eyewitnesses during the registration of the agreement, but witnesses will still be necessary throughout the execution of the agreement.