Property ownership can be complex, particularly if one lacks clarity regarding the various types of properties.
Presently, numerous personal laws and statutes exist globally to govern properties. But properties can generally be categorised into two main types: movable and immovable.
This article will cover what is immovable property, the difference between immovable and movable property, and the types and rights under an immovable property.
Immovable Property Meaning
In simpler terms, immovable property means things that cannot be moved from one place to another. It includes anything fixed or attached to the land owned by someone.
For instance, a house is immovable because it is constructed directly on the ground.
When one buys a house, they also acquire ownership of the land on which it is built, making it part of the immovable property.
Difference Between Movable and Immovable Property
The table below shows the main differences between movable and immovable property:
| Specifics | Movable Property | Immovable Property |
|---|---|---|
| Definition | Easy to move without major alterations to their shape, size, or qualities and is not attached/fixed permanently to the earth’s surface | Immovable property includes anything that is fixed permanently to the earth’s surface and cannot be moved. |
| Rights | Right of worship, sale of a mortgaged movable property, and royalty. | Right to collect rent, operate ferries, engage in fishing activities, etc. |
| Property Registration | Not Mandatory | Mandatory |
| Taxes | Subject to Goods and Services Tax (GST) | Subject to Goods and Services Tax (GST) and Stamp Duty |
What is Immovable Property Under the Transfer of Property Act?
According to Section 3(26) of the General Clauses Act of 1897, an immovable property includes land, benefits derived from the land, and things connected to the earth or permanently attached to something connected to the earth.
Types and Examples of Immovable Property
Land
Land refers to a distinct area of the earth’s surface that can be submerged in water, the space above the surface, or the ground itself. It encompasses naturally occurring elements located on or beneath the earth’s surface. Also, an immovable property encompasses all objects constructed or buried by humans to permanently occupy a space, such as buildings, walls, fences, and similar structures.
Benefits Arising from the Land
Regardless of their physical form, the benefits of the particular land are considered immovable property. This also includes advantages associated with any movable property, hereditary allowances, fisheries, and ferries, as the Registration Act defines. Similarly, rights to collect rent, profits, and fees from specific plots of land or markets are also considered immovable property.
Things Attached to the Earth
This category is further subdivided for the purpose of understanding what constitutes the things attached to the earth.
- Earth-rooted things refer to immovable assets originating in the ground, such as trees and bushes. But growing crops and grass are excluded from this category. Trees that are cut down and sold for timber are considered movable. However, trees are considered immovable if they are used for shade or nourishment and remain rooted.
- Earth-embedded things encompass houses, buildings, factories, natural water bodies, and other real estate properties. These items are built on and firmly fixed to the earth, making them immovable. But objects like ship anchors are not considered immovable since they are temporarily embedded in the mud.
- Earth-attached chattels include items affixed to houses or buildings, which in turn are attached to the earth. The inclusion of furniture in this category depends on its strength and capacity. Therefore, not all furniture is classified as immovable.
Legal Rights of Immovable Property
If someone owns immovable assets, they are entitled to various rights associated with the property, which include:
Right to collect rent
If they choose to rent or lease out the property, they can collect rent from the tenant.
Right to collect dues
If the property is rented or leased, they can collect any outstanding dues or payments from the tenant.
Right of ferries
If the immovable property includes a water body, the owner possesses the right to utilise water vehicles to transport people across it, subject to a specified payment.
Right of way
The owners can grant access to their land for private or public movements, and legal consequences can arise in the event of trespassing or unauthorised entry.
Right of fisheries
Exclusive to the owner, they can engage in fishing activities within the water body on their immovable property.
Conclusion
Investors highly favour an immovable property with a long-term perspective as it is considered a preferred investment opportunity. Its enduring value makes it a reliable and constant investment option. This is one of the reasons why homebuyers prefer investing in premium properties from Piramal Realty, one of the leading real estate companies in India.
Disclaimer- This article is based on the information publicly available for general use as well as reference links mentioned herein. We do not claim any responsibility regarding the genuineness of the same. The information provided herein does not, and is not intended to, constitute legal advice; instead, it is for general informational purposes only. We expressly disclaim /disown any liability, which may arise due to any decision taken by any person/s basis the article hereof. Readers should obtain separate advice with respect to any particular information provided herein.
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