🏠 What Is Deemed Conveyance? A Complete Guide for Homebuyers and Housing Societies
When a housing project is completed, the builder is legally required to transfer the title of the land and the building to the cooperative housing society or residents’ association. This process is known as conveyance.
However, in many cases across India, builders delay, avoid, or refuse to execute this transfer.
This creates long-term problems for residents, such as:
- Inability to redevelop the building
- Difficulty in getting loans or approvals
- No legal ownership of the property land
- Maintenance and structural safety issues
To protect homeowners from such situations, the government introduced the concept of Deemed Conveyance.
🔍 What Is Deemed Conveyance?
Deemed Conveyance is a legal remedy where the government authority grants the conveyance deed to the housing society, even without the builder’s cooperation.
In simple words:
➡️ If the builder refuses to transfer ownership, the law steps in and automatically conveys the property to the society.
The society becomes the legal owner of:
- The land
- The building
- Common areas
- Amenities
This helps residents gain full control and rights over their property.
🏛️ Why Is Deemed Conveyance Important?
Many societies need deemed conveyance because:
✔ Builders delay conveyance intentionally
To retain control of:
- Parking spaces
- Redevelopment rights
- Commercial areas
✔ Redevelopment becomes impossible
Without conveyance, societies cannot legally:
- Redevelop old apartments
- Repair structural damages
- Apply for additional FSI
- Obtain government permissions
✔ Loans and approvals get rejected
Banks and government authorities require legal conveyance to process:
- Home loans
- Renovation loans
- Building permits
✔ Legal ownership becomes unclear
Residents technically do not own the land, which is risky for property value and long-term security.
🧑⚖️ Who Can Apply for Deemed Conveyance?
Deemed conveyance can be applied by:
- A Housing Society registered under the Cooperative Societies Act
- An Apartment Owners’ Association (where applicable)
- Any group of flat owners, if the society is not yet formed
If the builder is:
- Unavailable
- Not cooperating
- Delaying document submission
…the residents can approach the authorized government body for deemed conveyance.
📄 Documents Required for Deemed Conveyance
Common documents include:
- Registration certificate of the housing society
- Sale agreements of all members
- Approved building plan
- Occupancy Certificate (OC) or Completion Certificate
- Property tax receipts
- Architect’s report
- Land records (7/12 extracts, land maps, survey details)
- Proof of communication with the builder
The exact documents vary by state, but these form the base set.
📝 How the Deemed Conveyance Process Works
Step 1: Society passes a resolution
Members formally agree to apply for deemed conveyance.
Step 2: Submit application to the Competent Authority
All documents must be filed along with the application fee.
Step 3: Authority issues notices to the builder
The builder gets a chance to respond or object.
Step 4: Hearing and verification
The authority conducts a legal review.
Step 5: Deemed Conveyance Order is issued
If the builder fails to justify non-conveyance, a final order grants conveyance to the society.
Step 6: Society registers the conveyance deed
The property officially becomes owned by the housing society.
🛠️ Benefits of Deemed Conveyance
✔ Full legal ownership of land and building
Society gets 100% control.
✔ Enables redevelopment of old buildings
Crucial for ageing apartments in cities like Mumbai, Kochi, or Bengaluru.
✔ Prevents builder exploitation
Builders can no longer claim rights over parking, amenities, or redevelopment.
✔ Ensures smooth loan and approval processes
Banks prefer projects with clear conveyance.
✔ Increases property value
Legally transparent properties sell for a higher price.
Deemed conveyance is a powerful legal protection for homebuyers and housing societies. It ensures residents are not at the mercy of builders and can enjoy complete ownership rights over their property.
If your society has not received conveyance from the builder even after several years of completion, it is essential to start the deemed conveyance process to secure your long-term investment.