For most people, buying a home is a lifelong dream. It requires savings and patience to be able to invest in the right place. Therefore, before purchasing or investing in a property, it is imperative to consider all the legal aspects, especially for first time home buyers.
There are many legal aspects to consider before investing in a property. Here is a list to help you safeguard yourself from frauds and scams:
1) TITLE DEED
The title deed is one of the most crucial documents that establishes property ownership. A homeowner cannot sell their home until the title deed is free of any defects or flaws. You can check the legal status of the property by searching for the title deed at the registrar’s Sub-office. There should be no encumbrances on the title, and you should verify that the Builder owns the property. Check the papers in the Builder’s or Land Owner’s possession to ensure the property isn’t “PLEDGED.”
2) TAX RECEIPTS OF THE PROPERTY
Every financial year, the builder must pay the property’s land tax to assure that the land’s extent, nature, and ownership are correct. So, when you’re double-checking legal paperwork, don’t forget to check the land tax receipts. Before selling a home, the builder must pay all property taxes. Otherwise, you may be held liable for the same. As a result, before acquiring a property, you must confirm that the builder has taken care of all taxes. The sub-registrar can provide all of the data, and you may learn more about any legal fees or other circumstances that may affect your acquisition.
3) CERTIFICATE OF ENCUMBRANCE
Any legal conflicts and dues should be absent from the property you seek to purchase. The Sub-Registrar issues an Encumbrance Certificate, which shows the encumbrance on the property. For more information about the property’s legal history, contact the registrar’s Sub-office. You can obtain a copy of the property’s encumbrance certificate, which will outline all of the legal dues and transactions that are registered. It can be sought for and received online. It ensures that the land is free of encumbrances and the property is free of encumbrances, liabilities, or mortgages. It also serves as a Certificate of Clear Title.
4) RERA Registration
Real estate developers must register their ongoing and forthcoming projects under the RERA (Real Estate Regulatory Authority) Act beginning January 1, 2020. It guarantees that they comply with current building standards and legislation. RERA registration is mandatory for all projects with a land area of 500 square metres or more and a total number of flats of eight or more, including all phases. RERA registration is necessary for any projects that have not received an occupancy certificate or a completion certificate. If you’re buying a new home, make sure to double-check the RERA registration number.
5) OCCUPANCY CERTIFICATE
The Occupancy Certificate, also known as a Completion Certificate, is a document issued by local planning authorities that certifies that a structure has been built following the laws and is ready to be occupied. A building is not considered to be legally fit for use by tenants until it has this certificate.
A smooth legal process also requires choosing the correct builder. Goyal & Co.has a legacy of 50 years. Their transparent and trustworthy practices make them the ideal choice for any first time home buyer. If you are looking to invest in a property, ensure that you follow this checklist of legal aspects and select a good builder like Goyal & Co.
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