The documents to be verified before buying the re-sale apartment:
Sale Deed: One of the core legal documents that evidences the proof of property sale and transfer of ownership between the seller and the buyer is the Sale Deed.
Mother Deed: Also known as the parent document, Mother Deed is the second most important document that traces and evidences the origin/antecedent ownership of the property from the beginning, in case the property has changed various hands
Encumbrance Certificate (EC): An Encumbrance Certificate denotes the charges in the ownership or liabilities created on a property that is held against a home loan as security. The document consists of all the registered transactions pertaining to the property for a particular period/sought period.
Latest tax paid receipt: The latest tax paid receipts are a proof that the property tax is paid up-to-date to the municipality
Occupancy Certificate (for a constructed property): An Occupancy Certificate is obtained after the completion of a project construction by a builder. It is given only after the authorities carry out an inspection on the property. The certificate evidences that the project constructed by the builder has met all the given norms
Building approval plan: Without a building approval plan, a building will be deemed as an illegal construction
Possession Certificate (PC): A Possession Certificate has to be mandatorily issued by the Builder / Developer to the first owner. A PC confirms proper construction and allows people to take possession of the property
RTC (Record of Tenancy Rights/Certificate) Document: An RTC or a Pahani is a crucial revenue record that consists of the land owner’s details, the soil type, the water rate, assessment, area, liabilities, tenancy details, crops grown on the land, nature of possession of the land and other details.
Conversion Order/ DC Conversion (agricultural to residential): A Conversion Certificate or a DC (District Commissioner) certificate is acquired to change the property status from an agricultural land use to a non-agricultural land use viz., residential use or industrial use.
The buyer should ensure that the property has a marketable title
The buyer should check for the existing loan on the property
Loan eligibility for the buyer
Property valuation; It is advisable that the buyer seeks technical expertise to evaluate the property before approaching the bank, as the bank would safeguard its interests by evaluating the property at a lower rate considering the depreciating property value in future.
In case of a resale apartment, it is always wiser to buy a ready-to-move in property with all the amenities.
More Points to remember:
Buying a resale property is quite advantageous- no project delays, ready-to-move-in property and no service tax/VAT burden.
Before buying a resale property that is quite old and attracts additional maintenance charges by the society, one should meet the society’s office bearer to know more about it.
Resale properties are likely to be discounted. They have more flexible payment options.
For properties aged over 18-20 years, there are possibilities of them being unregistered and registering in the current period will add to the buyer’s burden in terms of stamp duty and arrears.
A buyer of a resale property should consider the parking space, plumbing, electricals etc.