An Overview: Transfer of Property Act, 1882

An Overview: Transfer of Property Act 1882

The Transfer of Property Act of 1882 came up intending to create an extensive act that provides knowledge about the transfer and considers all possible outcomes during the process. The Act has been through a few amendment processes over the years to understand the effectiveness of the changing system of society. Developing countries like India need such and more acts like that so that they can pace up with the dynamic environment.

What is the Transfer of Property Act of 1882?

Transfer of property act is one such Act that came about in 1882 to promote transferring of property, mostly immovable property, from one person to another. It mainly refers to changing the ownership of property from person to person. It was operational from 1st July 1882. Property transfer can be done for property purchased in the past or the future. The Transfer of Property act 1882 has 137 sections, providing all rules and regulations that must get considered before transferring the property. The word “property” includes all properties that are movable and immovable.

Immovable property includes all things that cannot be moved or are motionless. The word immovable property is defined under section 3(36) of the general clauses act, 1897, meaning land or property attached to the earth or things that are permanently attached to the ground and cannot get detached. Land, structures, inherited rights, rights of roads, lights, ferries, fisheries, or any other benefit derived from the land are all considered to be “immovable property.”

Movable property means any property that can move from one place to another; that is, it is movable. Section 2(9) of the Registration Act speaks about a movable property, “In addition to immovable property, the moveable property also comprises standing wood, crops, grass, fruits on trees with juice in the trunk, roots, and leaves.”

The word “person” means who may be an individual, business, organisation, or group of people.

The word “transfer” means transfers that occur through sales, mortgages, leases, actionable claims, gifts, or exchanges. The Act does not apply to transfers made by operation of law, such as those resulting from inheritance, forfeiture, insolvency, or sales carried out following court orders.

Types of transfer of property under the Act


Section 54 of the Transfer of Property Act 1882 defines sale as the transfer of title or ownership for which part or full payment is made.


Mortgage means shifting interest in an immovable property to secure payment for advanced loans.


Section 105 of the Transfer of Property Act of 1882 defines a lease as a right to transfer a particular immovable property at a specific time for which consideration or payment is made.


Section 118 states that exchange is when two or more people transfer ownership amongst themselves, mutually agreeing to it. The consideration used doesn’t have to be money only.


A gift is the transfer of movable or immovable property made voluntarily without consideration.

Features of Transfer of Property Act, 1882

  1. The Transfer of Property Act of 1882 offers a unified and precise legislative structure for the Act of parties transferring movable property from one person to another.
  2. The government built the Indian Contract Act of 1872 upon the Transfer of Property Act of 1882 because it is a thorough code.
  3. The transfer of property legislation was made while keeping with the socioeconomic circumstances of the nation, and it does not consider the English transfer of property laws.
  4. Although it includes the transfer of immovable property from a party’s Act of parties, the Transfer of Property Act of 1882 cannot be regarded as entirely exhaustive.
  5. The concurrent list governs the transfer of property.
  6. The Act is governed by equity, justice, and good conscience principles.
  7. According to the Transfer of Property Act of 1882, absolute conditional restriction on the transfer of property is void; however, a partial conditional restriction is legal.
  8. Since the Transfer of Property Act of 1882 is a basic law, the government cannot repeal the legislation approved by the parliament.

Duties and Responsibilities of Buyers and Sellers Under the Transfer of Property Act of 1882

The seller’s responsibilities include understanding all material facts about the properties. The seller shall disclose all the defects in the property and provide the buyer with the property examination as requested. The seller is supposed to answer all critical questions and take care of all the conveyance and documents relating to the property transfer. Ultimately, the seller’s work is to clear all encumbrances and give the buyer possession of the property.

The duties of the buyer while transferring the property under the Transfer of Property Act include the buyer is supposed to disclose all material information about himself, especially any information that might lead to the change of mind of the seller to sell the property. The buyer also must clear off all extra taxes and encumbrances and not put the seller at fault for them.


A transfer is when something changes hands from one person to another. Any tangible or intangible thing a person or group owns is property. Giving away all the rights, interests, ownership, or possession can transfer property from one person to another when requirements are met.

This article taught us about the Transfer of Property Act of 1882- its scope, types, features, duties, and responsibilities. The introduction of this Act has helped society overcome all the issues relating to property transfer.


How many sections are there in the Transfer of Property Act of 1882?

There are 137 sections in the Transfer of Property Act of 1882.

What properties cannot get transferred under the Transfer of Property Act of 1882?

The property must be “transferable” to get transferred. Some assets cannot be transferred, including the right to use, the right to future maintenance, stipends for military members (air force, navy, political prisoners, and civil pensions), and the potential for an heir apparent to inherit an estate.

Is it mandatory for a transfer of property agreement to be written?

Unless the law expressly requires that a written agreement be made to complete the transaction, property transfers may be affected through an oral agreement, according to Section 9 of the Transfer of Property Act.

What are the modes of transfers within the Transfer of Property Act?

There are several ways to transfer property ownership permanently:

  • Relinquishment
  • Sale
  • Gift
  • Mortgage
  • Lease and,
  • Leave and license agreement.