Legal Tips To Buy A Resale Property
A resale property is a good option from a buyer's perspective. Buying a house in resale means you will not have to spend any money as rent. You will also not have to eagerly wait to get the possession of your dream home; you will have it ready to move in. You also save money as you do not have to pay many taxes, as is the case with under-construction properties.
Here are 10 things to bear in mind before you seal the deal:
- All the documents that are required in the primary sale of property are also required in the resale of the property. It is important to ensure that the seller produces all the relevant original documents.
- If you are buying an apartment in a housing complex, you can't ignore the original sale deed and the society share certificate because the property transaction can't take place without them.
- The buyer should also be mindful of the fact that property transfer and re-registration are necessary in case of resale of a property, too.
- Apart from the sale deed, other papers that are needed in the sub-registrar's office are a letter from the society giving details about the number of floors in the building, the construction year, the apartment's built-up area and the number of elevators, etc.
- It is also crucial to check whether the seller is the true owner of the property. The buyer should seek clear ownership history if the property has changed hands multiple times. The registrar will establish the authenticity of these documents.
- Ensure that the seller doesn't have any dues pending to the society or against the house which you may have to pay later.
- Also required is an assessment bill to the society from the local civic body, a copy of the property card and a receipt for the payment of the registration fee.
- In case the property is mortgaged, the owner needs to give an undertaking to the bank that he has agreed to give property documents to the buyer upon the home loan foreclosure. When you transfer the money to the seller's account, the bank will release the original property documents along with an NOC.
- Other challenges that a buyer of a resale flat may face include the absence of proper chain of documentation, especially in cases where the property has changed hands a couple of times in the past. If the property is over three decades old, it is possible that it was never formally registered. Registering it at the current point in time would put the onus of paying the stamp duty in arrears on the buyer.
Also Read: Are You Ready To Sell Your Home This Year?