An Undivided share is a share of land allotted to the flat buyer while purchasing a property and it is registered in the name of the owner. When a home buyer purchases an apartment, he/she is entitled to 2 things: the constructed building and the proportionate share of land, where the whole building is constructed.
The sum of all the undivided shares must be equal to the size of the land in which the apartments are constructed. The more UDS one buys, the better value for money in future. In case of co-operative societies, the UDs will be in the name of the society as the flat owners are the share holders of the society. Otherwise, the flat owners should check their share of UDS in the sales agreement.
The UDS is based on the percentage of the super built up area of the apartment to the total super built-up area of all the flats. For instance, if 4 equally sized apartments of 1000 sq ft were built on one ground of land which measures 2400 sq ft, the UDS will be calculated as below: UDS = Super built-up area of individual flat / Sum of all flats’ built-up area X Total land area UDS = 1000 X 2400 / 4000 UDS of individual flat = 800 sq ft. It is important to know your undivided share of land before hand and verify the same with the actual sales agreement before registration.
Why the builder is not giving complete UDS at present?
Is the deal fishy?
The builder may play games of his own in this regard, you should not agree to his gimmicks.
Have you ever thought what will happen to your apartment in case of natural disaster like an earthquake, building collapse or if government wants to acquire the property for a public project? Even if the apartment society wants to redevelop the property after decades, the building will be demolished and only the undivided share of land matters. It is crucial to understand your undivided share in a multi-storey residential project.
How useful and important UDS is? does UDS plays role in resale of property?
While buying an apartment in a multistory residential complex, we carefully analyses the carpet area, built up area and super built up area but the ownership doesn’t depend on the flat area but the undivided land share. In a flat system, it is necessary to check the undivided share (UDS) which will determine the value of the property.
While buying an apartment, Indian home buyers concentrate on flat area but clueless about the actual land ownership - Undivided share of land. The property appreciation depends on the land value (UDS) and not the concrete building. It is important to understand and ensure the UDS of the individual flat before buying it.