By: M.S.Yatnatti: Editor and Video Journalist Bengaluru: All housing projects including those developed by private builders as well as the Karnataka Housing Board and Bangalore Development Authority will come under the purview of real estate regulatory authority (RERA). .The Real Estate (Regulation & Development) Act, 2016, came into effect from May 1, ending the nine-year long wait.The Act provides for regulating the real estate sector involving over 76,000 companies across India. The law enables buyers to enforce their rights and seek redressal of grievances before the authority. The law stipulates (1) Depositing 70% of the funds collected from buyers in a separate bank account in case of new projects and 70% of unused funds in case of ongoing projects. (2) Projects with plot size of minimum 500 sq.mt or eight apartments shall be registered with regulatory authorities. (3) Both developers and buyers pay the same penal interest of SBI's Marginal Cost of Lending Rate plus 2% in case of delays (4) Liability of developers for structural defects for five years; and (5) Imprisonment of up to three years for developers and up to one year in case of agents and buyers for violation of orders of Appellate Tribunals and Regulatory Authorities.My suggestion is, If you plan to buy a flat or plot always go for Bank loans (even if you have lots of money), when you take the loan route, the papers are legally checked by the bank and secondly, ensure there are minimum 4 - 5 banks offering loan for the apartment/residential colony. Look before you leap.Cons are everywhere . Beware of con artists: Con artists make money through deception. They lie, cheat and fool people into thinking they've happened onto a great deal or some easy money, when they're the ones who'll be making money. If that doesn't work, they'll take advantage of our weaknesses -- loneliness, insecurity, poor health or simple ignorance. The only thing more important to a con artist than perfecting a con is perfecting a total lack of conscience.What does the average con artist look like? Despite what you may think, he isn't always a shady-looking character. A con artist is an expert at looking however he needs to look. If the con involves banking or investments in properties, the con artist will wear a snappy suit. If it involves home improvement scams, he'll show up wearing well-worn work clothes. Even the basic assumption that the con is a "he" is incorrect: there are plenty of con women too."Ensure papers are in order verify the builder's credentials”.
As per news paper reports Bangaluru real estate is booming due to several infrastructures projects coming up .There are nearly 500 residential projects underway in and around Bengaluru adding around 60,000 new units and this indicates huge construction activity happening in and around Bangaluru.. Once the buyer has decided on the location and his or her budget either through own funds or housing loan -care and caution have to be exercised. For, buying apartments and falts and homes and villas involves many intricate and complex issues. The Bengaluru real estate market is vibrant, with builders catering to all sections of the society with apartments and villas of varying categories -built up area ranging from 650 sqft to 10,000 sqft and price Rs 30 lakh to Rs 10 crore plus.In case of many buyers All their hopes of having a dream home has been dashed to ground when they came face to face with un- ethical , un professional and murkier side of the few unscrupulous builders . There are some of the instances of their cheating with unsuspecting customers. Buyers should do their home work before buying anything from builders. Buyers should do complete research of the market and Google every builder and its website and do market research and compare price side by side with the quality parameters and take into account every conceivable item and prepare a project report. Confidence tricks and scams are difficult to classify, because they change often and often contain elements of more than one type.
Document checklist to buy an apartment in Bangalore : Document to show how the present owner acquired title to the subject property and also to produce previous title deeds for 30 years like Sale Deeds, Partition Deeds, etc. and 2. Family Trees and Death Certificates. and 3. Index of Lands and Record of Rights. 4. Mutation Register extracts and Inheritance Certificates. 5. R.T.C.'s from the period 1969-70 to 2015-16. 6. Copies of: a) Akarband; b) Tippany; c) Hissa Tippany; d) R.R. Pakka (Balabhagada Nakalu); e) Karda; f) Mysore Settlement Register; g) Hudbast; h) Village Map 7. Survey Sketch from the Survey Department with respect to survey number clearly indicating the location, extent, boundaries, hissas and demarking kharab land and road, if any. 8. Endorsement from the Tahsildar regarding tenancy applications filed or pending, if any under Sections 48A and 77A of the Karnataka Land Reforms Act, 1961 with respect to the subject property. 9. Endorsement from the Assistant Commissioner regarding proceedings, if any initiated or pending under sections 79A and 79B of the Karnataka Land Reforms Act 1961 with respect to the subject property. 10. Endorsement from the KIADB, KHB and BDA/ BMRDA regarding notification issued if any for the acquisition of the subject property for any of their developmental purposes. 11. Official Memorandum / Conversion Order for having converted the land from agricultural use to residential use same and the challan for having paid the conversion fine. 12. Sketch annexed to the afore-mentioned Conversion Order/ Official Memorandum. 13. Joint Development Agreement, if any and other contracts/ general power of attorneys entered into between the owners and developers. 14. Sanctioned building Plan approved by the competent authority and club house facilities constructed on the subject property. 15. No Objection Certificate from BWSSB, BESCOM, Pollution Control Board, Fire Force and Airport Authority. 16. Commencement Certificate issued by the BBMP. 17. Construction Agreement if any with the prospective purchaser. 18. Allocation Agreement entered between owners and builders showing their respective shares. 19. Occupancy Certificate as and when the building is completed. 20. Special Notice for assigning sub-numbers to the individual apartment. 21. Deed of Declaration executed by the owners of the apartment. 22. No Due Certificate from the Apartment Owners' Association. 23. Whether the apartment is constructed according to the plan? Are there any deviations? If so, what is the percentage of deviation? Architect Certificate. 24. Electricity bills and water connection bill. 25. Khatha Certificate and khatha extract of the apartment intended to be purchased. 26. Up to date tax paid receipt. 27. Encumbrance Certificate for the period 01-04-1970 to date with respect to the subject property. 28. To state if the subject property abuts National/ State/ District Highway. 29. Details of Agreement of Sale/ MoU/ Development Agreement entered into with any person/s with respect to the subject property. 30. Details of mortgage/ charges/ lien created, if any on the subject property31. Details of GPA, if any executed in favor of any person with respect to the subject property. 32. Details of all past and current litigation, arbitration or other disputes or proceedings affecting the subject property/owner or any person for whose acts or default the owner may be vicariously liable which, to the owner's or is contemplated. 33. Any other documents / clarifications required on perusal of the above documents.