OC unavailable for property resale but all other documents exist
I am in talks to buy a resale apartment(8 yrs old, 2008) in a flat in Bangalore, from a reputed builder.
All documents including Master Document/Deed, Khata certificate, Khata extract, EC, RTC/pahani, Latest Tax paid receipt, Approval plan, Conversion order.
But OC (occupancy certificate) is not available.
What do you suggest? Should i consider buying the property without an OC?
Asked 11 months ago in Property Law from Bangalore, Karnataka
Does the apartment complex have building completion certificate ?
2) if apartment does not have building completion certificate nor OC don't purchase the flat
3) it would imply that building has not been completed as per sanctioned plans and unauthorised construction can be demolished
Thanks Mr Ajay. Both OC/CC are not available but the property is 'A' Khata. Both Khata certificate & extract are available. Also building approval plan, tax receipt, encumbrnce cert.,mother deed are available. What do u suggest? Should I be proceeding without OC/CC? Please do reply fast. Thanks again.
Asked 11 months ago
Don't proceed without OC and CC
File RTI as to why OC not issued by BBMP
Without OC the property cannot be occupied as OC certifies that the property has been constructed in tune with the approved plan. One should not buy such a property under any circumstances.
A resale flat which is 8 years old having all documents of title, and revenue records such as latest tax paid receipts, Katha certificate and extract in the name of present owner would be sufficient to proceed. If you are borrowing money from some financial institution or bank, getting the loan approved also would not be a problem. In which case it is safe to proceed.
The builder might not have obtained OC/CC after completion of construction owing to many reactors and irregularities.
However khatha cannot be issued without OC now, but since it has been obtained then dont worry about the OC at this stage.
You can get loan on the basis of other available valid and genuine documents.
Other than OC, all other documents are available. The electricity connection and water supply connection have also been obtained, hence there is no necessity for obtaining OC at this stage after a lapse of 8 years.
1) You can proceed to buy the property without Occupancy certificate as there are other documents such as Sale deed, Khata certificate, Khata Extract, EC, Latest tax paid receipt, conversion order etc.
2) Also since you there is an approved plan, Occupancy certificate should not be a problem.
3) Also suggest you to take an actual measurement of the apartment and check whether the flat dimensions(built up area, carpet area of the flat) are as per approved plan.
4) If there are deviations in the dimensions between actual at site and approved plan, then better to renegotiate the price with the current seller as you will need to pay the regularisation charges from your pocket.
5) if there are no deviations, please take an indemnity bond from the seller that in the event of any penalties being levied by BBMP that the seller will indemnify you in case of any claims on account of regularisation/penalisation by BBMP.
Looks like you have all the documents to go ahead for the purchase. Points 3, 4 and 5 are outlined by us only for providing a sense of comfort/as a matter of abundant caution.
Hope this helps