What is Index 2 in Agreement for Sale and Property Transaction?

The Index 2, in real estate in India, plays a pivotal role when it comes to transactions, serving as an official record that details the transfer of property ownership. This crucial document, recorded by the Sub-Registrar’s office (SRO), lists essential information such as the property’s description, the parties involved, and the transaction date. Its legal necessity stems from its role in establishing clear ownership, thereby preventing disputes and ensuring transparency in property dealings.

Understanding what is Index 2 in a property agreement for sale and any other property transaction will be vital for anyone making their way through the real estate market, as it not only represents legal compliance but also protects the interests of all parties involved in the transaction.

Keep reading this blog to understand more about this document, the steps on how you can obtain it and the role it plays.

What is Index 2? What is the Role of the Sub-Registrar Office (SRO)?

The Index II is a summary document generated by the Sub-Registrar Office (SRO) after the registration of property-related documents, such as sale deeds, rental contracts, gift deeds, and more. It serves as an official record that contains crucial information regarding the transaction, including the names of the buyer and seller (or other parties involved), a description of the property in question, the date of the transaction, as well as the registration number.

The Index 2 in property registration is key when it comes to establishing a clear chain of ownership and is often required for legal and administrative purposes. This includes obtaining bank loans against property, verifying ownership during property sale, and ensuring compliance with local property laws.

It is also instrumental in maintaining transparency in property transactions, safeguarding the rights of the property owner, and preventing fraudulent claims. Its importance in the real estate sector cannot be overstated, as it provides a government-verified acknowledgement of property transactions, reinforcing the security and legality of real estate dealings in India.

Contents of Index 2

Index 2 attests to the legality and transparency of the property transaction, containing a wealth of information that is vital for both parties involved and for legal authentication procedures. Here’s a detailed list of the information contained in the document. You can also take this as the standard Index 2 format after property registration.

Transaction Amount

It specifies the financial value agreed upon by the parties for the property transaction, offering insight into the economic considerations of the deal.

Property Market Value

This reflects the government’s valuation of the property based on its location, size, and other factors, which is essential for calculating stamp duty and registration fees.

Property Description

A detailed description of the property, including its type (residential, commercial, etc.), address, boundaries, and any other identifying characteristics, ensuring clarity and specificity in the transaction.

Area of the Property

The document lists the total area of the property in square feet or square meters, providing a clear understanding of the property’s size.

Parties Involved

Index 2 records the names and details of all parties involved in the transaction (buyer, seller, witness, etc.), establishing the identities of those with legal rights and obligations concerning the property.

Registration Details

It includes the date of registration, unique document number, and other specifics that confirm the transaction has been officially recorded by the authorities.

Registration Office Name

The name as well as location of the SRO where the Index 2 was registered, linking the transaction to a specific legal jurisdiction for any future references or disputes.

Confirmation Seal

The Index 2 will also have an official seal of the Sub-Registrar Office (SRO), which will essentially confirm the authenticity of the document. It might also have a signature and name of the official who has registered the Index 2.

Eligibility Criteria: Who Can Apply for the Index 2?

Only the buyer, seller or an authorised representative appointed by either of them can file for the Index 2 document for a sale deed. The application is typically done at the Sub-Registrar’s office.

If an agent is applying on behalf of the buyer or seller, they must hold a valid Power of Attorney (PoA), and must have the general legal authorisation to do so.

When applying for this document, you also have to follow a mandatory timing:

• Filing the Index 2 cannot be avoided, and has to be done immediately after executing the property registration; that is, after the sale deed is signed and registered.
• The Index 2 after property registration in Maharashtra and some other states must be generated immediately, because it serves as the legal declaration to the revenue and land record departments.

Purpose and Importance of Index 2 for Sale Deed and other Documentation

Index 2 is a cornerstone for ensuring transparency, legality, and clarity in real estate dealings. Its multifaceted purpose and importance span various aspects of property transactions, making it an indispensable tool for all stakeholders involved.

Verification of Property Transactions

Index 2 is crucial for verifying the authenticity of property transactions. It provides a government-validated record of the deal, including details of the parties involved, transaction amount, and property description. This verification process helps in establishing trust among parties and mitigating the risk of fraudulent transactions.

Maintaining Transparency

By detailing the transaction amount and property market value, Index 2 ensures transparency in real estate dealings. It allows all parties to have a clear understanding of the financial aspects of the transaction, including the basis for stamp duty and registration fees, thereby preventing any hidden charges or discrepancies.

Resolving Disputes

In case of disputes related to property transactions, Index 2 serves as a critical piece of evidence. Its comprehensive record of transaction details, including the parties involved and the property description, can be pivotal in legal proceedings, helping to resolve conflicts and establish rightful ownership.

Reference for Future Transactions

For any future transactions involving the same property, Index 2 acts as a reference document. It provides a historical record of past transactions, which is essential for due diligence processes, ensuring that all subsequent dealings are based on accurate and verified information.

Record-Keeping Purposes

From the perspective of government authorities, Index 2 is vital for record-keeping and administrative purposes. It aids in the maintenance of an organized database of property transactions, facilitating efficient governance and planning. This organized record-keeping is essential for urban development, taxation, and legal compliance.

Legal Record

Perhaps the most significant role of Index 2 is its function as a legal record of property ownership and transaction details. It legally substantiates the transfer of ownership, providing a solid foundation for establishing property rights. This legal acknowledgement is crucial for property owners to avail of services like utilities, loans against property, and insurance.

Ensuring Compliance and Security

Index 2 also plays a key role in ensuring compliance with the Registration Act of 1908 and other regulatory frameworks. By providing a transparent and detailed account of transactions, it reinforces the legal framework designed to protect the interests of buyers and sellers alike.

How To Obtain an Index 2 Online

One can get the Index 2 through a number of channels. Some states in India such as Maharashtra make it very easy to obtain the document online.

• In the state of Maharashtra, the Inspector General of Registration and Stamps (IGRS) department’s website has is the official online portal to find an Index 2.
• Register as a user on the website, or simply login to the portal if you already have a registered account on the site.
• Find the Index 2 section, wherein you can input the relevant jurisdiction for the property in question – “Mumbai”, “Rest of Maharashtra”, or “Urban Areas in Rest of Maharashtra”.
• You will then have to add details of the property, such as its year of registration, village name, survey number, as well as the name of the district.
• After adding the required details, you can then hit “search”. This will then initiate the process of finding the Index 2 document you’re looking for.
• When the search is done, you will be able to view as well as download the Index 2 document.

How to Obtain an Index 2 Offline

• In order to get the Index 2 for a property, one might need to visit the Sub-Registrar Office where the property has been registered along with some documents such as identity proof and property details.
• Submit an application for an Index 2, filling out all the necessary information that is required by the office.
• In some cases, there might be a fee that needs to be paid in order for one to gain access to a property’s Index 2.
• You will then be required to provide details about the property in question, including its address as well as its survey number.
• After the SRO examines the documents and information provided and deem it to be authentic, they will then issue the applicant with the Index 2 document.

Documents Required for an Index 2 Document

To file for the Index II after property registration, you need to have the following documents:

1- Identity Proof of Buyer and Seller

• Aadhaar Card, Passport, Voter ID or Driving License.
• For companies, incorporation certificates and authorised signatory documents.

2- Copy of Registered Sale Deed or Agreement to Sell

• This is a core document, based on which the Index 2 document is created; it contains detailed information about the transaction.

3- PAN Card of the Buyer and Seller

• Mandatory for transactions over Rs 5 lakhs, under the income tax regulations.

4- Property Details
Exact location of the property, including:
-Plot or flat number
-Building or society name
-Survey number or CTS number
-Village or area name
-These details have to match the sale deed exactly.

How Long Does it Take to Get The Index 2?

Typically Instant or Within 1 Working Day
Once the sale deed is registered, the Sub- Registrar’s office issues the Index II almost immediately, or within a day. In states like Maharashtra, it is usually an automated process linked to an online property registration system.

Acknowledgement Receipt Issued
The receipt serves as proof of filing and is often required for:

• Mutation of property records in municipal or revenue offices
• Loan processing for buyers
• Legal documentation and future verification.

Common Mistakes to Avoid

Incorrect Address or Party Names

• When you are getting the Index II after land registration or property registration, make sure that the address and names mentioned in
• the sale deed match your application perfectly.
• Even minor spelling mistakes can delay updates in property records or mutation.

Incomplete Forms

• Missing fields such as the survey number, property type or buyer/seller details can lead to rejection or delays.
• Always double-check the data entry at the registrar’s office or on the online portal.

Not Submitting Before or Along with Registration

• Some buyers often assume that getting the Index II document for a sale deed is optional and can be filed later.
• However, a delayed submission can hamper mutation, tax assessments or bank loan processing.
• So, ensure that Index II is generated and acknowledged on the same day as the registration.

FAQ’s

1. What happens if Index 2 is not registered before property registration?

   You can register the Index II during or after property registration only.

2. Is Index 2 mandatory across India or only in Maharashtra?

   The Index II is mandatory in Maharashtra and is also used in a few other states. While a similar summary is issued, it is not called Index 2.

3. Is PAN mandatory for Index 2?

   Yes, the PAN card is mandatory, especially if the transaction value exceeds Rs 5 lakh, as per Income Tax rules.

4. Can I get a duplicate copy of Index 2 if lost?

   Yes. You can get a duplicate copy from the Sub-Registrar’s office or online, using the document number, year and registration office details.

5. Does Index 2 expire?

   No, the Index II does not expire and is a permanent part of the registration record.

6. Is Index 2 required for resale flats or under-construction properties?

   Yes, the Index II for property transactions in India is essential even for resale flats since the property will be registered again. It is not needed for an under-construction property until the final agreement is registered.

7. Can two buyers/sellers be mentioned in one Index 2?

   Yes. Multiple buyers or sellers can be listed in one Index II document, according to the registered document.

8. Can an agent file Index 2 on behalf of the buyer/seller?

   It is usually not needed, since the Index 2 is auto-generated during registration. However, if the agent is authorised and has the PoA, they can handle it.

9. How to get Index 2 online in Maharashtra?

   Visit IGR Maharashtra, go to ‘e-Search’, enter your document number, year, district and SRO details.

10. What information is included in an Index 2 document?

    Names of the buyer and seller, property location, document type, registration number and date and the consideration value.

11. What is the difference between Index 1 and Index 2?

    The Index I is usually maintained by the registrar for indexing documents and is an internal record for office use. The Index 2, on the other hand, is issued to parties as a summary of the transaction and is a public-facing document for proof and mutation.

12. Which states in India issue Index 2 documents?

Maharashtra mainly uses the Index 2 documents in an official format, but some similar summary documents exist in Gujarat and         Karnataka.