Should a builder mention the undivided share value of a given apartment in sale agreement or it should be only mentioned in sale deed?
If the builder refuses to mention the UDS value in the sale agreement, should we be going ahead with the purchase? And if it shouldn't be mentioned, may I know why it's not necessary.
It is sufficient if it is mentioned in sale deed
Even if it is not mentioned, buyer gets proportionate share in land.
But this should mention in ats and sd, otherwise builder later may construct more flats and consequently share in land will reduce.
1. Undivided share with respect to the given flat has to be mentioned in the sale agreement as well as in the sale deed.
2. Without knowing the quantum of undivided share, how can buyer of the flat proceed to conclude the sale.
3. After some years, when the whole apartment complex is demolished, the owner of flat will be entitled only to the undivided share in the entire plot.
Builder should mention that owner shall have proportional undivided share to all common areas.
Absolute value is not required to be mentioned.
If the builder refuses to mention the UDS value in the Sale Agreement, then this sale agreement will only be for constructed walls, which will depreciate over the years and only UDS land value will only appreciate. You can obtain information from the builder as to why he is refusing to mention the UDS value.
In the draft agreement it is mentioned as such. Could you please clarify this as well. The common areas and facilities shall remain undivided and no apartment owner including allotee's shall bring any action for partition or division of any part thereof. Further the Allotee's shall not seek partition of undivided share in the said land.
Sale deed supersedes agreement for sake
your interest are protected if mentioned in sale deed
Common areas are fir benefit of all flat owners
you cannot seek partition of common areas or the land
Such clause is invalid. Any agreement which prohibits legal right is void.
This comes under normal terms.
We have asked the builder we got this as a response. Is the below email response enough as a proof that they will mention the UDS in the sale deed? We can't show UDS in the sale agreement because we have applied for the modified plan sanctions from BBMP and the total number of units that can come up are determined in the plans. Final UDS figures will be alloted at the point of sale deed clearly and unequivocally.
Email is admissible in evidence
it is sufficient to protect your interests
1. The value of the undivided share of the common area of a flat is not mentioned anywhere, be it sale agreement or sale deed.
2. The area of the land on which the building consisting the said flat has been constructed is mentioned in details.
3. The sanctioned plan showing the undivided common area is also annexed with the sale deed making part of the deed.
4. The undivided common area is not mentioned since the said area is not for sale but for common use of all the flat owner of the building.
1.The builder should mention the area of the flat only and its value
2. The value of the UDS of the common area is not mentioned since it is not required as the said area exclusively will not be sold.
1. It is perfectly alright.
2. In case the entire building gets demolished by earthquake, then only you might require to claim your proportionate share of the land based on the area of your flat.
3. The fact that you have the right on the proportionate share of land on which the building has been constructed shall surely be mentioned in the sale agreement or sale deed.
1. The modified construction plan has not yet been sanctioned.
2. The builder can not enter into sale agreement without having the plan (which has been modified certainly because the builder has deviated from earlier plan and has constructed extra square feet of building) sanctioned since the sanctioned plan will be part of the agreement or sale deed.
3. Ask the builder to get the modified plan sanctioned at the earliest from where you shall come to know your UDS of the common area.
4. You need not ascertain the value/price of the UDS of the common area shown in the modified plan since you are not going to sell the said UDS.
As a matter of abundant caution, it should be mentioned both in ATS as well as sale deed,
As I said, builder is intended to construct more flats. Without plan approval, construction cannot start.
Plan is already approved with no. Of flats to be constructed but builder will violate sanctioned plan and will construct more flats.
So he is not mentioning actual approved plan in ATs.
Plan dose not modified above sanctioned units.
1. It will be unwise to go ahead with transaction if builder refuses to mention it in ATS.
2. Builder should have no qualms in mentioning it in ATS.
1. Common areas cannot be divided.
2. Email can also be led in evidence.
No flat without the undivided proportionate share in land can be sold.
It appears due to oversight the same has been missing in the sale agreement.
To avoid future complications its recommended that you make a supplementary sale agreement to cover this anomaly.
During the registration of sale deed do take care of having this clause.
Builder here might be planning to construct more units after approval.
UDS should be mentioned in all documents
Yes it's mentioned in sale deed.
The UDS can be mentioned in the sale deed also, however if you insist about the same in the sale agreement also, then the builder has to oblige.
You should insist on the actual UDS for this flat to be mentioned in the sale agreement to avoid any fraud in this regard at the time of registering the sale deed.
If he is not agreeing then you can cancel the booking and ask for refund of your booking amount with interest because it is not your fault that you are cancelling the booking.
There are chances that the builder may make more number of UDS in excess to the number of flats to be built in the apartment complex, hence the insistence of the UDS in the agreement to sale may be emphasized.
Just have a look at that agreement which is like a specimen or the format, on some of the page, you will see “Details of Undivided Share of Land” and it will be mentioned in percentage terms like “0.45%” or exact area in sqft terms. Just read the whole thing carefully.
Then when the actual agreement has to take place, you can then read the agreement in detail and make sure you look after this point in your agreement copy. A small tip here is that when builder calls you for registration, tell him you would like to come before 1 hour from the scheduled time and have a detailed look at the agreement, if possible also get a lawyer with you and have him look at the agreement.
Without the plan approval it is not advisable to buy the property itself.
The builder's reply is evasive.
The builder cannot wash away the responsibility nor he can give such a irresponsible reply.
If the number of units have not been determined then on what basis is he entering into a sale agreement ?
You can inform the builder that you will cancel the booking if he is not making a mention of actual UDS to be allotted to your flat.
- As per rule , when a person buy an apartment then technically he buys two things,
1. First is the constructed part of the building where that purchaser after becoming owner will actually reside, and
2. The Second is a proportionate share of the land on which the property is built,and this share of land allotted to the flat buyer is known as an undivided land share or UDS.
- Further , the value of the said flat/property is depend on the UDS, and constructed area i.e Land rate will increase and not the value of the constructed flats rate.
- Further , if a flat owner has no undivided land share, then he may not be able to sell the property or to get a good amount at the time of selling of that flat in future.
- Further , the sum of all the undivided shares for each flat owner must be proportionate to the area of the land in which the apartment has been constructed.
- Further In case of co-operative housing societies, the UDS must legally be in the name of the society since the flat owners are the shareholders of the society.
- Hence , the details of the undivided share of land., must be mentioned in the sale agreement, and further the same details should be mention in the Sale deed ,at the time of registering the same .
- Further , as per rule, common area is not a part of undivided share , and legally it cannot be included as part of the floor area .
- Since, the builder has given a reason for the same and dully emailed you , then in the event of failure to comply the same , you can claim from the builder.
- However, to mention in the sale agreement is mandatory , like the sale deed.
uds details have to be mentioned in agreement and sale deed.
The said response from builder via email is sufficient and you may proceed further keeping the email safe.
It doesn't matter that he is providing undivided share value of land in agreement or not if he is giving this detail in sales deed.
Based on majority of the suggestion, we have decided to not go for the apartment but unfortunately the builder is refusing to pay back our amount. This we didn't get to know from their CRM team but from their sales representative. We started the process in the month of February and then lockdown happened. The issue is when we gave the booking amount, there was a clause in booking agreement that we will only get back money within 15 days. Our reason of cancellation is them not having the new plan approved and UDS being not mentioned in the agreement. But the sales representative told us that we can send them legal notice and they will send to us. According to him we will lose to them. We weren't even thinking into legal notice in the first place. It felt more like a blackmailing. Now it got me thinking if they can blackmail and not agree to us now, they may not agree later as well during sale deed. Probably they might threaten us more. What should we do now? Please guide.
Sale teams is wrong and threatening you with fake news. Send legal notice for refund with interest and reason of withdrawal. If not refunded, can file FIR, RERA, and consumer complaint.
Majority of builders are facing financial issues
if you cancel booking you May get refund only after lengthy court battle
The sales representative or the builder are not law nor they can do whatever they feel like to dominate the clients.
You don't be scared by their threats.
You may proceed with the legal notice as suggested and then drag them to consumer forum for relief and remedy later on.
issue a legal notice through an advocate and file complaint before Consumer court .
1. You should have sought legal advice before parting with money to the builder. Builders lay a trap for buyers, and gullible buyers walk right into it.
2. The builder lobby in India has made an edifice of unjust enrichment due to unenlightened buyers.
3. Now serve a lawyer's notice to him to refund the amount, and if he still does not refund then you will have to file a suit for recovery of money in the civil court in order to get back the money.
You don't need to believe a salesman about winning or losing a legal battle.
Send them legal notice.
They will do the needful.
If they doesn't do, than go to consumer court.
Believer or not, most of the builders have their agents/employees to mislead, misguide and dupe the innocent people. However, as per the law of torts, the employer is responsible for acts of its employees and hence apart from cancellation of bookings and asking refund with interests and compensation for misleading and thus causing mental agony also file the criminal complaints against the company and its employees after naming them.
You will get your refund under rera rules if the booking is not cancelled only due to your fault.
1. Your booking agreement is required to be seen for advising properly.
2. Not informing you that then sanctioned plan has been modified without your consent can be a ground for cancelling the booking.
3. You can lodge a police complaint against the builder alleging fraudulent acts against him.
4. Thereafter you can file a complaint case before the RERA Tribunal if the project is RERA compliant.