AGRICULTURAL LAND PURCHASE IN GUJARAT - DUE DILIGENCE & “BUYER, BEWARE” : Author: Shivani Jesingbhai Vadhel

In today’s rapidly changing environment, the prices of agricultural land are increasing significantly. As a result, purchasing agricultural land involves a substantial financial investment. Therefore, when purchasing such high-value property, it is not safe to rely solely on the attractive location of the land, the seller’s registered sale deed, or the seller’s name appearing in Revenue Records such as village form no. 7/12 or the City Survey Property Card.

ARTICLE

Shivani Jesingbhai Vadhel

9/14/2026

Introduction

In today’s rapidly changing environment, the prices of agricultural land are increasing significantly. As a result, purchasing agricultural land involves a substantial financial investment. Therefore, when purchasing such high-value property, it is not safe to rely solely on the attractive location of the land, the seller’s registered sale deed, or the seller’s name appearing in Revenue Records such as village form no. 7/12 or the City Survey Property Card.

Before purchasing agricultural land, it is extremely important to conduct a comprehensive verification of the seller’s title and all relevant documents. Failure to carry out proper due diligence may result in significant financial loss and may also lead to litigation at a later stage.

This is why the principle of “Buyer Beware” (Caveat Emptor) assumes great importance in the purchase of agricultural land.

Documents and Records to be Verified

1. Historical revenue records

First, obtain and verify certified consecutive copies of the following records

· Certified copies of Village Form No. 7/12 (from 1948 up to the present date)

· Certified copies of Village Form No. 8-A

· Certified copies of Village Form No. 6 (Successive Record of rights)

· City Survey Property Card, where ever applicable

· Certified copy of the Family tree (Pedhinama), where the land has developed the seller through inheritance.

The complete historical chain of revenue records should be examined to understand the ownership, history and succession of the land.

2. Previous Title Documents

Verification of Revenue Records alone does not establish that the title to the land is completely clear.

Therefore, the following documents should also be obtained from the seller and carefully examined.

· Certified copies of Previous registered Sale Deeds, Agreements, Will/Probate if any

· If the seller had purchased the land from another agriculturist, the Original/Previous register sale deed, forming part of the title chain should also be obtained and verified.

· Power Of Attorney, if any

· Orders passed by competent authorities relating to the land

· If a seller has acquired the land, pursuant to any government or competent authority order, a certified copy of such order should be obtained and all terms, conditions and restrictions contained their in should be carefully examined.

If the seller has acquired the land through a Will, A copy of the will and, wherever applicable the Probate should be obtained and verified.

it should also verified whether:

· The present seller is legally eligible to hold an agricultural land;

· The previous owner(s) were agriculturists, wherever verification is legally relevant;

· Any statutory restrictions applied to the transfer.

If the land is classified as New Tenure/Restricted Tenure, the relevant order converting the land from New Tenure to Old Tenure, wherever applicable, should be obtained and examined.

If the purchaser intends to use the land for Non-Agricultural (NA) purposes, the possibility and amount of any applicable premium should be assessed before finalising the transaction.

3. Sub-Registrar Search and Encumbrance Verification

A search should be carried out at the concerned Sub-Registrar Office for an appropriate historical period, including the previous 30 years wherever relevant. Such a search may help identify whether the seller or previous owner have:

· Sold the Land to anyone

· Executed an agreement to sell;

· Created a mortgage;

· Created any other registered encumbrance or transaction affecting te property.

This is particularly important to identify any possibility of the property having been mortgaged to a bank or any other financial institution.

4. Outstanding dues and Revenue liabilities

It should be confirmed that there are no outstanding dues relating to:

· Irrigation/Water charges

· Land revenue Tax

· Other Government due or statutory liabilities applicable to the property.

5. Third-Party Rights and Public Notice

It should be ascertained whether any third party has claimed or created rights in the property through:

· Agreement to Sell/Banakhat;

· Power of Attorney;

· On registered documents or writings

· Possession claims

· Any other arrangement, creating third-party rights.

Where appropriate, a Public Notice should be published in newspapers inviting objections or claims from any person having an interest in the property.

This is an important question step for identifying and disclosed transactions or third-party claims before completion of the purchase.

6. Litigation and Online Record Verification

Before purchasing the property, it should be verified whether there are any:

· Civil or revenue disputes

· Revisions

· RTS appeals

· Pending proceedings

· Sale restrictions

· Stay orders

· Status-quo Orders

· Other statutory proceedings or restrictions affecting the land.

Available online government portal and relevant registrations/Revenue database, such as AnyROR, IRCMS, GARVI GUJARAT, ETC. Should be checked whether applicable.

7. Pipeline, Canal, Reservation and Road Acquisition

The purchase should verify whether:

· Whether any Pipeline, Underground Infrastructure, Canal, or Utility Corridor passes through the land.

· Whether the land is affected by a Canal or Canal acquisition/cut.

· Whether any Government Reservation applies to the property.

· Whether any TP/DP Road is proposed or passes through the land.

· Whether any other Infrastructure Project impacts the property.

Where the property falls within a Town Planning (TP) Scheme or Development Plan (DP), the relevant documents such as:

· Development plan

· TP scheme

· F-Form

· Part plan

· Original plot and final plot details

Should be obtained an examined.

8. Zoning and Permissible Land Use

While purchasing land, it is not sufficient to know merely where the land is located. It is equally important to determine how the land can legally be used.

Therefore, the applicable

· Zoning certificate

· Development plan provisions

· TP scheme details

· Original plot/Final plot details

· Applicable land-use restrictions

Should be verified

This is particularly important if the purchaser has plans to develop the land or use it for anything other than agriculture.

9. Physical Verification, Measurements and Boundaries

Even though the title may appear clear, and incorrect location, measurement or boundary can result in substantial to the purchaser.

Therefore, the following must be cross — verified:

· Village Map.

· Measurement Sheet

· Revenue records

· Survey/measurement records

· Actual physical location of the property

The actual area available at the site should be compared with the area recorded in the official document.

A physical site inspection should also be initiated to identify:

· Encroachment

· Boundary disputes

· Possession issues

· Any mismatch between recorded and actual boundaries

10. Legal Access/ Right of Way

It is essential to verify that the land has a legally valid and practically unable access road/right of way.

A property may have a clear title, but still create serious practical problems. If there is no lawful access to the property.

11. Seller’s Affidavit / Undertaking

An appropriate Affidavit / Declaration / Undertaking should preferably be obtained from the seller confirming that;

· No agreement to sell/Banakhat has been executed With any third-party

· No Power of attorney has been granted in respect of the property

· No mortgage or change has been created

· No Third party rights have been created

· No material transactions or claim affecting the property has been concealed

Such declaration should form part of the overall risk-Mitigation process.

12. Jantri, Stamp Duty and Registration Charges

Before executing the Sale Deed, the applicable

· Jantri value

· Stamp duty

· Registration charges

· Applicable premiums

· Other statutory charges and transaction related liabilities

Should be properly verified

The transaction should be structured only after understanding the applicable, statutory and financial implications.

Conclusion — “Buyer Beware”

Agricultural land represents a significant financial investment. Therefore, merely seeing the sellers’s name in village Form No. 7/12, 8-A, Property Card or another Revenue Record is not sufficient to establish that the property is legally safe to purchase.

A comprehensive Title Due Diligence should cover the complete ownership, history, registered document, revenue records, encumbrances, Litigation, statutory restrictions, tenure, conditions, permissions, development, reservations, physical boundaries, excess right and other potential risks.

Proper due delicate before execution of the deed can significantly reduce the risk of fraud, financial loss, title disputes, 3rd party claims and future litigation.

Accordingly, the principal of “Buyer Beware” (Caveat Emptor) should be treated as a fundamental precaution while purchasing agricultural land

A Prudent purchaser should not merely ask, “Who is the current owner?” But should also establish:

“How did the seller acquire the title transferable, are there any encumbrances or restrictions, can be legally used for the intended purpose and does the physical property correspond legal and revenue records?”