Buying a home is a life-changing decision that requires careful planning and financial commitment. While location, budget, and amenities are crucial factors, real estate due diligence plays an equally important role. Without proper document verification, homebuyers risk facing legal disputes, ownership conflicts, or financial setbacks. A property legal checklist ensures that the home you purchase is free from legal issues and complies with government regulations.
If you are planning to buy a home in Pune, this Pune property legal guide will walk you through the essential steps to verify property documents and protect yourself from fraud.
Table of Contents
Understanding the Importance of Property Document Verification
It is a common perception that if a house is still under construction or is occupied, then it is legal. However, even fully developed projects may have ownership issues, unpaid fees, or legal issues. Real estate due diligence should not be overlooked when purchasing a property because it may result in loss-making and legal consequences.
This is the legal requirement of the developers and sellers to ensure that they give accurate documentation. In this case, as a buyer, you have to make the extra effort and verify these documents on your own to avoid future inconveniences. It is also necessary to consult a legal consultant in order to ensure that all the legal issues are well handled before making the decision.
Ensure That the Title of the Property is Correct
The first check that is conducted in document verification is the title of the property. The title deed also identifies the owner and the legal right of the seller to transfer the property to the buyer. A clean and marketable title means that the property is free from any encumbrances, disputes, or fraudulent ownership claims.
Ask for a copy of the title deed and engage the services of a lawyer to peruse through it. If the property has changed hands several times, check the records of the previous sales and ensure that they were not fraudulent. The other document that is used to show the history of ownership of a particular property is the mother deed.
When the property is transferred through a will or inheritance, it is advisable to ensure that the legal heirs have consented to the transfer. In case of joint ownership, all the joint owners have to agree to the sale.
Check the Land Records and Ownership Details
While buying a plot or an independent house, it becomes compulsory to verify the records of the land. These records can be accessed from government websites or from municipal offices. The 7/12 extract (Saat Baara Utara) is a document of Maharashtra that has all the records of the land, encumbrances, and any alteration in the agricultural land.
However, before making the final decision, one should ensure that:
- The ownership of the land is with the seller.
- There are no legal problems with regard to the ownership of the land.
- There is no encumbrance such as a mortgage on the land as well.
Ensure RERA Compliance
The Real Estate (Regulation and Development) Act, 2016 (RERA) was passed to protect the interest of home buyers and to bring transparency to the real estate sector. While purchasing any under-construction property, ensure that the property is registered under RERA. The Maharashtra RERA site allows the buyer to verify the project details, the developer, the construction permit, and the completion dates of the project.
The RERA registration number is an assurance that the project is legal and has complied with the set construction standards. If a project is not registered under RERA, it may be an unauthorised one or may be involved in some legal dispute.
Check the Construction Approvals
Any residential project that is to be approved by the law must be approved by several authorities. The property legal checklist should include the following:
- Development Agreement – It proves that the developer has the legal control of the land.
- Commencement Certificate (CC) – Approves construction work after government inspection.
- Zoning – Establishes that the layout of the building adheres to the zoning laws of the area of the building.
- Occupancy Certificate (OC) – This is issued once construction is complete and one can use the building for occupancy.
The absence of these approvals may result in legal suits or demolition of structures that have been developed in the area. In the case of resale property, the Occupancy Certificate and Completion Certificate should be available.
Verify the Sale Agreement Terms
A sale agreement is a legal document that outlines the terms of the sale of the property in question. It includes crucial details like:
- The total cost of the property.
- Payment schedules and installment plans.
- Possession date and construction delays.
- Transfer of ownership process.
- Penalties for breach of contract.
Many people fail to read the fine print, and this is the reason why they find themselves in some situations. It is also important to ensure that there are no hidden charges, extra charges for maintenance, or any other fees that may lead to controversy in the future. Some of the homebuyer safety measures include consulting a lawyer in order to avoid future problems regarding the sale agreement.
This means that one should look for any balance that may be outstanding in terms of dues and encumbrances in the organization.
Avoid Purchasing a Property with Unpaid Fees
Purchasing a property with unpaid fees is not a wise thing to do. It is also necessary to verify whether the property has any mortgage, unpaid utility bills, or property taxes. Request the following documents:
- Encumbrance Certificate (EC) – A certificate that indicates that the property is not tied in any way legally or financially.
- No Objection Certificate (NOC) – A legal document that is issued by the housing society and certifies that there are no outstanding dues in terms of maintenance charges.
- Property Tax Receipts – Proof that all taxes have been paid.
An encumbered property is one that is burdened by some factors that make the buying process slightly complex. If the seller has taken any loan on the property, it should be paid off, and the lending authority should provide a No Dues Certificate.
Cross-Check the Builder’s Reputation
It is important to do some research on the developer and the projects that they have done in the past. Verify the following:
- Previous project delivery timelines.
- Customer reviews and complaints.
- Legal disputes or fraud allegations.
- The promised amenities and layouts have been provided as per the plan and design.
It is also advisable to avoid developers who have had one or more cases of delayed projects or legal cases. Namrata Group is one of the leading developers, which implies that the project will be legal and finished as planned.
Additional Legal Considerations
The following factors should also be taken into consideration when preparing the basic property legal checklist:
- Home Loan Verification – When taking a loan, ensure that the bank has approved the project.
- Power of Attorney (POA) Transactions – Be careful when purchasing properties that are sold through POA.
- Inheritance or Partitioned Properties – It is recommended to check the legal heir certificates to avoid future complications.
- Stamp Duty and Registration Charges – These charges may be concealed and should be checked.
Making an Informed Decision
A home is a long-term investment, and therefore, document verification is crucial in order to avoid making a wrong decision. Whether you are buying a small flat in Happycity Varale, a large apartment in 7 Plumeria Drive, or investing in a commercial property in Vision Flora, it will protect your financial investment if you check legal documents.
It is advantageous to buy a property that is legally sound because it will not lead to legal complications in the future. In any case, it is always wise to seek the services of lawyers to review the documents before the final payment is made.
Conclusion
It is always better to follow the legal rules and regulations of Pune property and get the legal check of real estate before going for the purchase. It is therefore important that a property to be invested in has a clear title, the necessary permits, and no covenants.
To the homebuyers in Pune, it is relatively easier to deal with a developer who has a good reputation in the market. Namrata Group is a company that has been in the construction business for over 37 years and is well known for legal residential and commercial construction. If you are looking for a hassle-free home buying experience, then Namrata Group’s projects are the right destination for you to transform your dream into reality.
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