• Buying Ready To Move Property

I am planning to buy 1 bhk flat. The flat is in ready to move condition and cost is Rs. 24 lakhs. Builder is asking for 90% amount then he will do registration as I told him I am not taking loan. Should I pay him 90%?, I haven't even pay a penny or booking amount yet. Please tell me the procedure and payment method as I am planning to pay by cheque.
Asked 8 months ago in Property Law
Religion: Hindu

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20 Answers

Make an agreement to sell. Then pay him a booking amount, say 2-3 lakhs. Then give him a PDC for the remaining amount. Or give him a DD at the time of registration.

You just can't give him almost the whole amount initially.

Rahul Mishra
Advocate, Lucknow
13335 Answers
49 Consultations

5.0 on 5.0

Yes he can give a cheque. That will involve paying stamp duty. A gift deed can be made.

Rahul Mishra
Advocate, Lucknow
13335 Answers
49 Consultations

5.0 on 5.0

- You can pay 10% of the consideration amount at the time of booking the flat ,and further at the time of registration of sale deed pay remaining amount to the builder .

- If you will pay the 90% before the registration , then may face trouble from him.

- Yes, that property can be registered in your name with the funding of your father. 

- If your father will purchase in his name , then for transferring the property in your name double stamp duty may be charged. 

Mohammed Shahzad
Advocate, Delhi
8791 Answers
94 Consultations

5.0 on 5.0

has Oc been issued by muncipal corporation 

 

check whether builder has building completion certificate 

 

dont make any payment unless builder furnishes copy of oc/ completion certifcate 

Ajay Sethi
Advocate, Mumbai
85547 Answers
5730 Consultations

5.0 on 5.0

No prudent person gives much of the total considerable duration booking or making sale agreement.  Pay it in part as per progress of the work.  If it's ready then pay majority of the amount during registration of sale deed. 

Devajyoti Barman
Advocate, Kolkata
22515 Answers
373 Consultations

5.0 on 5.0

funds should be transferred to builder from your account 

 

if it is purchased in father name he can execute gift deed in your name later 

Ajay Sethi
Advocate, Mumbai
85547 Answers
5730 Consultations

5.0 on 5.0

First an agreement to sell is executed by making token amount of 10 % than at the time of registration  balance is paid before the Registrar this is the procedure. Following  are the documents to be checked before purchase. …

  1. Original sale deed in favor of seller. (if sale deed is available, the risk of bank lean of property ruled out)
  2. Original sale deeds of seller’s seller and linking documents.
  3. Municipal records, as to whether property is mutated in seller’s name.
  4. Clearance of municipal dues, electricity dues, water cess, telephone dues.
  5. Whether the property self acquired by seller or ancestral.
  6. Legal heirs/sharers in the property of seller for obtaining consent of all of them.
  7. If property is newly constructed, the approved sanction plan.
  8. A public notice to be issued seeking objections by unknowns to purchase of property.
  9. Circle rate of property for payment of stamp duty.

For further clarification you may contact me through pathlegal. Hit the like button if the advice is useful to you.  

 

Ravi Shinde
Advocate, Hyderabad
1654 Answers
21 Consultations

5.0 on 5.0

Your father issue cheque to builder for you. He has give written instruction to the builder to register flat in your name.

Ravi Shinde
Advocate, Hyderabad
1654 Answers
21 Consultations

5.0 on 5.0

Dear Sir/Ma’am,

First, enquire and get the completion certificate from the builder. And execute an agreement to sell.

Further, you will have to make only 10% at the time of registration and the balance is paid in the presence of the registrar.

The property can be registered in his and funds can be transferred by your father. After the same, he can execute a gift deed and transfer the ownership to you.

However, if your dad has given a written statement for the registration to be done in your name, then the property can be in your name and funding from his account.

Thank You

  • For further assistance, you can book a consultation with me.
  •  

Anik Miu
Advocate, Bangalore
3311 Answers
34 Consultations

4.9 on 5.0

why not pay full amount to the builder SIMULTANEOUSLY with registration of the sale deed?

that would be more better

the builder is not concerned who makes the payment

he is only concerned that the cheque he is given should be realised upon presentation to his banker for encashment

i dont think he will agree for a cheque

you can give a DD or PO instead which is as good as cash

if the property is purchased in the name of your father and it is to be transferred to your name, then a gift deed can be made and registered for which the stamp duty is only Rs. 200

Yusuf Rampurawala
Advocate, Mumbai
6639 Answers
63 Consultations

5.0 on 5.0

Yes can be done 

Cash gift from father to son is not taxable in the hands of the donee son u/s 56 of the income tax act 

Yusuf Rampurawala
Advocate, Mumbai
6639 Answers
63 Consultations

5.0 on 5.0

Yeah you can.

Rahul Mishra
Advocate, Lucknow
13335 Answers
49 Consultations

5.0 on 5.0

You can purchase house with that money 

Ajay Sethi
Advocate, Mumbai
85547 Answers
5730 Consultations

5.0 on 5.0

No problem to pay by cheque

You can buy the property on your name

Madhura Akolkar
Advocate, Aurangabad
5 Answers

Not rated

If you have planned to buy a property then you may have to pay the sale consideration amount to the seller.Therefore what is your doubt about paying the sale consideration amount demanded by the seller at the time of registration.

Before that you may get a legal opinion from a local lawyer about the genuineness of the property and then proceed only if recommended. 

T Kalaiselvan
Advocate, Vellore
75676 Answers
1313 Consultations

5.0 on 5.0

You can very well buy the property out of your father's funds.

You can deposit your father's cheque to your bank account and issue a cheque from your account to the seller which will solve the problem.Buying the property on your father's name will involve stamp duty  and again transfer of the same property to you once agains will involve another huge stamp duty which is unnecessary, hence better buy the property on your name itself.

T Kalaiselvan
Advocate, Vellore
75676 Answers
1313 Consultations

5.0 on 5.0

Yes you can buy the property from the funds you have father provided you.

You can ask your father to give you a gift deed in your name for this amount which would be useful for you to file ITR in future with regard to the source of this income.

T Kalaiselvan
Advocate, Vellore
75676 Answers
1313 Consultations

5.0 on 5.0

Dear Sir,

Yes you may use that money to buy the house.

Thank you,

  • If you like my answer, please give a good rating and leave a review 

Anik Miu
Advocate, Bangalore
3311 Answers
34 Consultations

4.9 on 5.0

1. It is for you to decide whether to accede to his demand or not.

2. If he is going to directly execute the sale deed then no harm in doing this.

3. You can pay with your dad's cheque if the builder is ready to accept it.

4. Your dad will have to execute gift deed in your favour.

Ashish Davessar
Advocate, Jaipur
30752 Answers
930 Consultations

5.0 on 5.0

-    Builders do lot of things.

 

-    Absolutely no need to pay 90% before registration.

Builder is asking because you are not taking loan.

 

-    Since this is ready to move in then you can pay DD on the day of registration.

You can pay 10-20% for agreement of sale before registration.

 

-    Your father can directly give DD on registration date to builder directly.

 

-    You can make him joint owner also.

Later he can execute Release deed to give his share to you.

Charges will be minimal for it.

 

-    Your father can gift money to your account and you can use that money to buy flat.

 

All the options are possible.

Ankur Goel
Advocate, Bangalore
373 Answers

4.9 on 5.0

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