Frequently Asked Questions
Buying Go To Top
1. What should a purchaser keep in mind while purchasing a residential flat?
Some important points to keep in mind while buying the flat:
- Locality – Proximity to the workplace, educational institutions, hospitals, shopping areas, entertainment centers, transportation, pollution levels.
- Quoted area of the flat i.e. Carpet, Built Up Area and super Built Up Area
- Car parking space
- Quality of construction
- Reputation of the builder or seller
- Sufficient water and electric supply, other utilities
- Cost components: price, stamp duty, registration charges, transfer fees, maintenance charges, any other payments
- Appreciation of the property for resale and rental.
- Any other distinguishing features or advantages of the property
2. What is meant by Carpet Area, Built-Up Area & Super Built-Up Area?
- Carpet Area is the area enclosed within the walls, actual area to lay the carpet. This area does not include the thickness of the inner walls. It is the actually used area of an apartment/office unit/showroom etc.
- Built-up Area is the carpet area plus the thickness of outer walls and the balcony.
- Super Built Up Area is the built-up area plus proportionate area of common areas such as the lobby, lifts shaft, stairs, etc. The plinth area along with a share of all common areas proportionately divided amongst all unit owners makes up the Super Built-up area. Sometimes it may also include the common areas such, swimming pool, garden, clubhouse, etc. This term is therefore only applicable in the case of multi-dwelling units.
3. How can knowing the Carpet Area, Built-Up Area & Super Built-Up Area of a flat help me in purchasing a flat?
4. Should I inspect a property before buying it?
Yes. It is important to inspect the property, probably this is the largest single investment you will ever make. You should know all the details of the property and need for any major repairs/modifications before you buy. You can crosscheck the commitment made by the builder and actual implementation. A close inspection points out the positive aspects of the property, as well as the maintenance that will be necessary to keep it in good shape. After the inspection, you will have a much clearer understanding of the property you are about to purchase. Few important points to check while inspecting…
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- Plumbing systems, drainage, water faucets and sanitary fittings.
- Electrical systems, circuit breakers, wires, capacity of the electric meter, functioning of light fittings.
- Roof, walls, ceilings, floors, paintwork.
- Foundation, basement and visible structures.
- Doors and windows, latches, locks.
- Structural stability of the building.
5. Checklist for buying residential or commercial property.
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- Identify the property you wish to purchase
- A crosscheck of current market rates of property in the vicinity and last known transactions, current market trends.
- Formulate commercial terms.
- Distinguish between negotiable and fixed terms and conditions of the contract, eg. Price, payment schedule, time of completion etc.
- Avail of services of Propmart for a legal opinion, valuation or property related matters.
- Check for clear titles of the property. Ask for photocopies of the all deeds of title related to the property to be purchased. Examine the deeds to establish the ownership of the property by the seller, preferably through an advocate. Ascertain the survey number, village and registration district of the property as these details are required for registration of the sale. Previous encumbrances and loans, if any of the property must be cleared before completion of the purchase of the property.
- Finalise commercial terms of purchase of the property. Ascertain transfer fees, stamp duty and registration charges to be paid on the purchase of the property.
- Ascertain outgoings to be for the property i.e. property tax, water and electricity charges, society charges, maintenance charges.
- Request Vendor to obtain, if applicable, consent, permission, sanction, no objection certificate of various authorities such as the (a) society (b) the income tax authority (c) Municipal Corporation (d) the competent authority under the Urban Land Ceiling and Regulation Act (e) any other authority.
- If you are looking for a loan for property purchase, contact financial institutions and ask for a pre-approval letter, many options are available for loans. Propmart can also assist you with loan requirement.
- Permanent Account Number of Vendor and Purchaser under Income Tax laws Payment of stamp duty on the formal agreement or document for transfer of the property, signing by both the Vendor and Purchaser and registration.
- After payment of the entire sale price, take over legal possession of the property and check the receipt of original documents from the Vendor of the property.
- Make sure that property holder’s name is changed in all related records, e.g. society, Electricity Company, municipal corporation, Index II etc.
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Selling Go To Top
5. I want to sell my property, which are the documents a prospective buyer need from me?
4. Are there any formalities to be completed or forms to be filed on execution of the Sell Deed or document of transfer?
3. Does one have to pay any amount for registration of the sell/transfer documents?
2. Is it compulsory to register documents for the sell of property?
1. When is a sell of immovable property concluded?
Renting Go To Top
1. What should a lessee or occupant keep in mind while purchasing a flat or office?
Some of the factors a lessee or occupant must keep in mind while rent a flat or office is:
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- Locality i.e. transport, schools, hospitals, market, business district, entertainment centers hotels, restaurants, pollution levels
- Quoted area of the flat i.e. Carpet, Built Up Area and super Built Up Area
- Car parking space
- State of the premises, quality of construction, fixtures and fittings in the premises
- Reputation of the Lessor
- Sufficient water and electric supply, other utilities
- Cost components: rent, stamp duty, registration charges, transfer fees, monthly outgoings and society charges, costs of utilities.
- Any other distinguishing features or advantages of the property
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2. On what basis is the rent charged ?
3. What are non-occupancy charges?
4. What are types of documents to be signed for renting an office or a shop?
5. What are the types of documents to be signed for renting residential premises?
Home Loans Go To Top
5. What is the security required against the home loan?
4. What is the difference between monthly rest and annual rest?
- Monthly rent the interest is calculated on the outstanding principal loan at the beginning of every month.
- Annual rest: the interest is calculated on the outstanding principal loan at the beginning of every year.
3. What are the types of loans available depending on the interest charged?
2. On what basis is the amount of the home loan decided? or on what basis a capacity of a person to repay the loan is evaluated ?
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- An Indian resident or NRI
- The income of the family applying for the loan.
- Above 21 years of the age at the commencement of the loan.
- Below 65 years when the loan matures.
- Number of dependants.
- Qualifications.
- Assets and liabilities.
- Either salaried or self employed
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1. Can I repay the loan ahead of schedule?
NRI Go To Top
5. Who is a Person of Indian Origin?
4. Do non-resident Indian citizen require permission of Reserve Bank to acquire residential/ commercial property in India?
3. Where can permission be taken for acquisition of agricultural land/plantation property / farmhouse by any person resident outside India or foreign nationals of Indian origin?
2. Do non-resident Indian citizen require permission of Reserve Bank to acquire residential/ commercial property in India?
1. Who is a Non-Resident Indian (NRI)?
Legal Go To Top
5. What is the object of the tax levied under Maharahstra Tax on Buildings (with Larger Residential Premises) (Re-enacted) Act 1979? Why was it re-enacted? When is such a tax payable?
4. What is the purpose of collecting amounts towards Sinking Fund in Co-operative Housing Society? What should be the contribution from members towards Sinking Fund? When can the amount collected for Sinking Fund be spent by the society?
3. A house is a house, by whatever name you call it. How is an apartment under the Maharashtra Apartment Ownership Act the any different from a flat under the Maharashtra ownership Flats Act, 1963?
2. What particulars must 'Deeds of Apartments' under the Apartment Ownership Act contain ?
1. I live in an apartment constituted under the Apartment Ownership Act, 1963 What happens in case of destruction or damage to the common property?
Tax Go To Top
5. Is there any time limit for such investments to be made?
4. What is the nature of assets in which the sale proceeds should be re-invested by the assessee to avail the exemption?
3. Is there a minimum holding period for such property before transfer to be eligible for the concessions?
2. Who is entitled to such concessions?
1. Are any concessions available under the income tax laws with regard to profit on sale of residential property?
Vaastu Go To Top
5. What should be the proportion of the dimensions of a house?
4. How does one determined direction of the plot?
3. What would constitute an ideal plot?
- Square Plot is the best shape of a plot in which all four sides are straight and equal in length and it has an equal angle of 90 degrees at all four corners.
- Rectangular Plot: having its length not more than double the breadth (length and breadth not more than 1:2) is a very good plot. A rectangular plot has four straight sides and equal angles of 90 degrees at all corners with opposite sides of equal length.
2. What are the basic principles of Vaastu Shastra?
1. What is Vaastu Shastra?
Fengshui Go To Top
5. What is Bagua According to Feng shui?
4. How is a Feng Shui reading done?
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- Move into a new home or office
- Buy, remodel or sell a home or business office
- Increase your prosperity
- Boost your health
- Improve your relationships
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3. What is the role of the five basic elements?
2. What are the basic principles of Feng Shui?
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- Yin and Yang
- Five elements: METAL, WOOD, WATER, FIRE and EARTH
- East/West Compass Directions
- Solar System
- Environment
Feng Shui is based upon a set of theories and complex calculations derived from the Yi Jing. This includes an in-depth understanding and application of the theories of Yin and Yang, along with the balancing of the Five Elements and taking into account the physical relationship between the natural environment and the magnetic field. It recommends that you build structures, whether residential or commercial, so as to have a positive atmosphere inside. The ownership of premises is not so important, whoever occupies and stays in the building is the recipient of the positive or negative effect.
1. What is Feng Shui?
Registration/Stamp Duty Go To Top
5. Can a document be registered after a lapse of four months?
4. When and where should a document be registered?
3. What are the pre-requisites for a document for sale of a flat or shop or office to be registered in Maharashtra?
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- Duly completed, stamped and signed instrument printed on a single side only.
- Receipts for payment of Stamp Duty and Registration Fees.
- Property Register Card
- Commencement Certificate issued by the Municipal Corporation for premises in a building under construction and Occupation Certificate for a completed building.
- Property Tax Bill in case of depreciation in market value for old buildings.
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