In my post, buying a property from landowner share I briefly discussed Joint Development Agreement. I keep receiving large no of queries on Joint Development Agreement. Most of these queries are directly or indirectly linked to the registration of the Joint Development Agreement. Based on the request of the readers, I decided to share my views through dedicated post on this topic. What is Joint Development Agreement? In layman terms, assume that I own a residential land and builder approach me to construct flats on my land. This arrangement is beneficial for both the parties. The reason ... Read More
Buyers Beware of 5 False Promises By The Property Developer
For a property buyer, the Property Developer or Builder is the most important person in the life till the sale deed is signed. In most of the cases, the property developer occupies almost 100% mind share during the buying process. He may throw a lot of surprises and unexpected events in your life. Based on my experience with property buyers, i can conclude that hardly 5% property buyers are HAPPY with their interaction with the property developer. In this post, i am using the term property developer instead of the builder. The reason being, anyone, and everyone claims to be a builder. The ... Read More
Being a Joint Owner – 5 Clauses You Should Include In Sale Deed
Being a Joint Owner of a property is a casual affair in India. The potential joint owner of a property doesn't understand the future implications. In my previous post, i highlighted why it is important to mention the type of joint property ownership in agreement. Though the inclusion of Joint Tenants or Tenants in Common is more relevant in case one of the joint owner is deceased. There are certain other clauses that should be included in sale deed to safeguard your interest as a joint owner. Before we proceed, i would like to clarify one of the biggest misconceptions of joint property ... Read More
Personal Lending to Family or Friends – 10 Tips to Safeguard
Personal Lending and Borrowing is very common and deep-rooted in the Indian Society. We double up as a borrower and lender depending on the situation/circumstances. With economic prosperity and ease of borrowing, personal lending has subdued but still very popular in small cities and towns. The people prefer to borrow from a known person rather than from a bank or financial institution. In many cases, it is compulsion because of low CIBIL Score or under reporting of income in ITR. It means an individual cannot avail credit facility from the bank or financial institution. Though not 100% ... Read More
Property Registry – 10 Most Common Types of Registration
Property Registry is one of the most curious subjects for any buyer. Predominantly, it depends whether you are buying a resale or under construction flat / property. Property Registry is most crucial and a final step of property purchase. Normally, a buyer gets confused because of unique suggestions from builders/lawyers on property registry. In many cases, banks also impose conditions on property registry. Each stakeholder has it's own motive/logic on how to execute property registry. The stamp duty and registration charges play a crucial role in this regard. The prime objective of a buyer ... Read More
Cash Payment in Property Deal – Beware of Black Money
Builder is asking for a Cash Payment in a Property Deal. One of the clients told me recently. I suggested against cash payment; he said that he will never be able to close a property deal. From this interaction, you can gauge the menace of black money in Indian Economy. Sometimes knowingly or unknowingly a buyer generate black money through cash payment. Another primary concern of my blog readers in small towns/semi-urban/rural areas is a lack of trust factor between buyer and the seller. In large no of cases, the cheque bounce after the property deal is completed. In this scenario, it becomes ... Read More