Issues with Property Developers
Delays in possession of flats are an everyday complaint in India even though property, as such has remained almost on top of the list of investment preferences – whether at the domestic level or by NRIs. This interest holds steadfast in spite of the vagaries of prices.Being aware of houses for sale or any land for sale is excellent, but it is most imperative that people are careful about the records of the asset they seek to buy. It is vital for people to learn to protect their properties and the first step towards that is to try and see that all documentation is in proper shape. The documentation includes the registry titles and the ownership details.
Buying could happen either directly through the seller or real estate agents. One primary form of buying that people do is to invest in the Builders or Developers. Unfortunately, it is common practice for land developers to make clients go through delay in possession of flats or entirely avoid handing over of built apartments at the prescribed time. These delays result in monetary loss and mental stress to the customers. Checking out the past records of the builder or the company is vital – it is important to see what kind of reputation he has in the context of the quality of construction and services. Also imperative to make sure whether he has been giving the possession on time or not, who is going to be in charge of management in the long run, what kind of credible associations he has and what is his reputation regarding the customer servicing. In the case of companies offering to do this role, it is important to check out the balance sheets to see how the company has been faring over the past few years. If the project that you are interested in is a Joint Venture, then you need to check out the details of the partner too. The price framework is a crucial aspect when you look at property for sale – being clear on your budget always helps. Sometimes real estate agents often hide the fact that they are not fully compliant in seeking all relevant permissions from the government for developing the project. Withholding information is the cause of delays in projects thus causing untold misery to the investors.
- An investor must do a complete due diligence on the project in which he is investing.
- Full background checks of the developer and his firm including looking into all previous projects completed by him
- Complete title checks on the land along with verifying that all permissions have been issued to the developer for the project to be developed.
- The agreement to be executed between the buyer and the developer needs to be whetted by legal service experts before being signed
- The most important components of the accord should be
- Fixed and frozen cost that the buyer has to pay from start to finish with clauses of increase, if any, be clearly defined
- The total area and size of the unit purchased including common areas be specifically mentioned in the agreement
- The payment plan with exact amounts and dates to be specified and be linked to milestones achieved in the project
- The time of completion and handing over of the property to be written, highlighted and clearly spelled out in the agreement. It is on this basis that you could hold the developer guilty of deficient services
- In case of conflicts and disputes with builders when you buy a house, keep note that:
- To resolve such matters a consumer complaint needs to be filed with the State Consumer Commission.
- Filing a claim is the quickest legal path for bringing defrauding developers and builders to book.
- It is a highly fast and efficient way to get the developers to deliver the property or refund the money along with interest and damages.
- In the present scenario, Consumer courts in India have become quick and aggressive.
- A penal interest is charged from the date of possession mentioned in the original document.
- Complete representation is provided by us throughout the matter till it reaches its logical end – without an overseas citizen having to travel to India.
The company has an online case management system through which an NRI can track the progress of a particular instance. Regular progress and updates are made available to the client throughout the pendency of the matter with us, which can be viewed after logging into our systems through a unique password.
- Scanned copy of the original agreement executed with the real estate company while buying a house
- Copy of the communication done i.e. e-mails, postal mails, etc
- Details about the total cost of the flat/apartment
- Proof of payment sent to the builder
Moreover, in the interest of our clients, we also offer advice about buying and selling of property. We have competence in handling the full spectrum of real estate issues. Since we, as a law firm, are dealing exclusively with these issues, we have the advantage of having an understanding the dynamics and volatility involved while investing in real estate. We offer detailed information to the client regarding risks, technicalities and legal considerations involved in the buying and selling transactions. As part of that, any matter related to delays in possession of flats or apartments is handled by efficient time to suit the need of all clients.