Documents you must have when buying a Property

Buying a property is a very important investment for anyone and the experience is totally different when it is about the first property. In order to make that experience a good experience there are a few points that you must keep in mind. If you do not want to fall into the legal Hassels then remember that documentation plays a really important part during the property transactions.

Many buyers find this documentation tricky, but to be honest if you have a fair idea about the documents needed then this process is really Hassle free.

Let us see what all documents you as a buyer must have before buying a property in Original booking.

Indian Citizen:

According to the law, any person born in India, on or after 26 January 1950 to the commencement of the 1986 Act on 1 July 1987, is a citizen of India by birth. After 1 July 1987, a person is a citizen of India if either parent was a citizen of India at the time of the birth. After 3 December 2004, the person is citizen of India only if both of their parents are citizens of India or if one parent is a citizen of India and the other is not an illegal migrant at the time of their birth.

For Indian Citizens the mandatory documents are:

• PAN Card
• Photo ID Proof
• Address Proof
• Photographs – 2 to 6

NRI

An NRI is a citizen of India who holds an Indian passport and has been immigrated to another country over six months for work or residence etc.

For Indian Citizens the mandatory documents are:

• PAN Card
• Photo ID Proof
• Address Proof
• Photographs – 2 to 6
• Valid Visa
• If green card holder, then the person needs to produce NRO/NRE Bank account details

In India, there are just 3 banks that provide this facility: American Express, HSBC and Citibank.

Coming to Resale property, following is the list of the documents required:

When it comes to buying a Property in Resale, then the things get a bit trickier. Lots of other documents get involved and legal procedures increase. We share with you a list of mandatory documents with you, along with the identification certificates.

• Share certificate issued by the society
• Lease deed of society
• Registration details of the society
• Bye-laws of the society
• No objection certificate from the society
• Approved building plan
• Title of builder
• Undertaking from society
• Allocation letter, Allotment letter and Possession letter
• Receipts of payments made to authority
• Permission to mortgage
• Authorization letter signed from seller
• Receipts of payments made by purchaser to seller
• Verification of signature of seller from his bank

Property in Gurgaon

Subvention Scheme for Real Estate Customers: TRICK or TREAT?

Real Estate is a big industry and like any other industry, Real Estate as well relies a lot on its substantial customers. Last year had not been very great for the industry and thus many alluring schemes came out in the industry to attract customers. One of such scheme at hype is subvention scheme.

What is Subvention Scheme?

Subvention scheme is the best scheme for the buyer to save himself from paying the EMI till the possession. Under this scheme, a buyer of an ‘under construction’ building is not required to pay monthly EMIs for a defined time-frame or until he takes possession. But the buyer is required to pay some percent (usually 15-20%) of the booking amount and rest after the possession. This scheme no doubt is beneficial for the buyers as it makes home buying easy and hassle free.

At present only non banking finance corporations and private banks like ICICI and HDFC are associating with the developers for subvention scheme. Under the subvention scheme, once a buyer applies for loan for an under construction property then the borrower need not have to pay any EMIs. Instead, all the interest for first two years will be paid by the concerned builder. Due to heavy risks involved, banks have agreed to associate with Category ‘A’ builders.

Who is offering Subvention Scheme Projects?

Banks are reluctant to finance such schemes with only Category ‘A’ builders, due to which small builders in the industry might find it very difficult to get their projects financed with the banks under such scheme. Experts say that Subvention Scheme works really well with mid-segment projects. Around 200 developers across the country have been trying to attract home buyers with the scheme.  Some of the well known Builders in Gurgaon/NCR that are attracting buyers with such schemes are Tata, CHD, Sare Homes, 3C and BPTP.

Trick or Treat?

This scheme is beneficial for all the three parties-Bank, Builder and Buyer.

For the banks, the scheme is beneficial as the bank gets an access to a larger amount of customers which in return is really good for the business.

The builder can get access to the funds for the project at a much cheaper rate of interest as the funds come in the form of home loans which are cheaper than commercial loans.

Now coming to the buyer, the buyer is the one who gets most attracted to the subvention scheme. For a buyer can be tension free from the burden of paying the EMIs even before possession. Not just this, the customer can enjoy the cost appreciation till the time of possession as well.

Even after all the benefits and attractions there is a catch to this scheme. The buyer must always read the documents thoroughly as a little carelessness can be very risky.  In case of a disputed property the buyer would need to get the money back from the bank.

Apart from this, the buyer must also keep in mind not to fall prey to all these attractive offers without knowing the fine prints. So whether the scheme is a trick or treats completely depends upon the wisdom of the buyer.

Property in Gurgaon