Introduction
Paperwork involving real estate deals has forever been an expansive affair in India. Binding approvals from various authorities are needed to complete any property transaction. A typical property transaction involves a surplus of paperwork & requires approvals from stakeholders & government officials. However, realtors can now use electronic signatures to eSign real estate documents & keep all such hassles at bay.
Sale Agreements, Sale Deeds, Encumbrance Certificates, Title Deeds, Power of Attorney, NOCs, etc., are the various contracts that are encountered when one deals with the sale or conveyance of real estate.
Legality of eSign For Real Estate – Can Real Estate Documents Be eSigned?
According to a recent notification by MeitY, a number of documents that could not be executed electronically are now permitted for electronic execution. Real estate documents were officially removed from the negative list of documents that can’t be eSigned.
This means that real estate documents (i.e, agreements for immovable properties) can now be eSigned, making things all the more simple for property transactions across the country.
Following the publication of the IT Act amendment, contracts for the sale or conveyance of movable property or any interest in such property can be electronically signed using eSignature software.
As property agreements can be executed using eSign, the real estate industry is able to implement extensive digital documentation.
How To eSign Real Estate Contracts?
The Information Technology Act, 2000, makes eSignatures legally binding in India & following the recent amendment issued by MeitY, real estate documents created for the sale or conveyance of property can also be executed via electronic signatures.
Real estate businesses can select an eSign solution like SignDesk to get their contracts signed electronically. SignDesk offers these types of eSignatures for businesses:
- Electronic Signatures: This type of real estate contract electronic signature enables quick online signing of documents. The signee has to enter an OTP he receives over email or SMS to electronically sign an agreement.
- Aadhaar eSignatures: Aadhaar eSign is a secure eSign option where the user gets a one-time password on his/her Aadhaar-linked mobile number to authenticate & electronically sign a document.
- DSC Signatures: DSC or Digital Signature Certificate is a highly secure form of eSignature. Agreements are encrypted with a digital signature workflow & private keys & a DSC is created for quick verification.
Online Signature For Real Estate Document Execution – The Process Flow
With the legalization of electronic signature for real estate documents, firms can get property agreements signed electronically by integrating with an eSign solution platform like SignDesk, where there are multiple eSignature types & high levels of data security in place.
The eSigning procedure entails the following steps:
- Log In to eSign Portal: The user logs in to SignDesk’s electronic signature portal to begin the process.
- Choose eSign Variant: The user can choose from a standard electronic signature or Aadhaar OTP-based eSign to execute his documents.
- Draft/ Upload Document: Next, he uploads the property document(s) that needs to be signed. Alternatively, he can create documents from scratch on the platform using tools like agreement templates & contract clause library.
- Invite Stakeholders to eSign: The user has to add the details of the stakeholders & invite them to eSign the document. A link will be sent to their email ID/ mobile number/ Aadhaar-linked mobile number depending on the type of eSign chosen.
- eSign the Document: The stakeholders click on the link, which redirects them to eSign the document. They enter a one-time password or OTP they have received to finish eSigning the contract online.
- Download Document: The signatories can download the document after eSigning is complete.
Electronic Signatures- Increased Convenience In Real Estate Transactions
Signing real estate contracts with electronic signatures has numerous benefits that enable faster deal closures with added convenience.
- Improved Security:
Real estate contracts can contain sensitive data which is not compromised when realtors use eSignatures to execute them. To enhance security, the documents are restricted from unauthorized access & have additional safety features such as audit trails, encryption, & secure storage.
By using a secure eSign solution like SignDesk, relators & their customers can be assured that their data is not shared/misused/sold to third parties.
- Quick Agreement Processing:
Implementing an electronic signature solution ensures an improved process of producing, managing & transmitting legal documentation associated with property transactions.
eSignatures shorten the time it takes for realtors to get documents signed as they can get them signed anytime, anywhere, via any device connected to the internet. As there is no requirement for printing & delivering the signed documents in person, real estate transactions can be completed in shorter durations.
- Greater Efficiency:
Handling paperwork is which is time-consuming & inefficient, especially in the real estate sector, where multiple contracts are involved when dealing with the sale, ownership transfers, purchases, etc.
With eSign, real estate businesses can eliminate paper-based contract management. Using electronic signatures enables them to create digital property documents, & sign & store them electronically to create simple yet efficient approval workflows.
- Reduced Expenses:
Traditional signature processes involve large volumes of paperwork, leading to increased costs for the business. Electronic signatures help them eliminate paper costs, storage costs, printing costs, logistic expenses, and additional labor costs.
SignDesk: One-Stop eSign Solution For Real Estate Transactions
Buying & selling property in India has become ever so simpler with the legalization of electronic signatures for real estate documents.
As users are now aware that esignature for real estate documents is legally binding & more secure than the traditional, time-consuming methods, real estate businesses can carry out transactions more conveniently.
Users can upload property documents in bulk or create them from scratch within minutes & eSign them, all on a single platform. They can eSign real estate documents on secure platforms like SignDesk, ensuring speedy, hassle-free contract execution.