From Search to Signing: Mastering the Flat Buying Process in Mumbai

The act of purchasing a house in India represents one of the most significant personal investments and arduous undertakings. Owning a home is a cherished ambition for millions in the country. Given that acquiring a home is a rare occurrence in one's lifetime, the emotions of homebuyers become deeply intertwined with the journey right from the beginning. However, delving further into the ultimate decision-making process brings us into the realm of the legal procedures associated with the process. 

While specific individuals possess a basic understanding of the legal intricacies involved in this procedure, others find themselves perplexed and anxious. To facilitate a better comprehension of the process of purchasing a home in India, we have broken down the essential steps into more comprehensible components.

Whether you are planning to buy a flat in Mumbai or land in Thane, we have got you covered:

Title Authentication

As an initial stage, the purchaser must initially verify the legitimacy and authenticity of the property's title. It must not have any unpaid debts or claims. Examine all documents thoroughly, covering a minimum period of the last 12 years and potentially extending up to 30 years. This will help you detect legal inconsistencies, if any.

Verification of Seller's Identity

It is equally important to verify the seller's identity as it is to confirm the title documents of the apartment. It is essential to meticulously review valid legal credentials like a PAN Card and Aadhar Card. If the seller is an entity, validate legal documents related to the company's registration and TAN number.

Documents Pertaining to Land Utilization

Establishing the category of land – residential, commercial, industrial, and mixed-use. – stands as a pivotal step. Numerous state and national regulations prohibit the utilisation of land for purposes other than its intended function. If there has been a legal conversion of the land and its purpose, look for documents pertaining to land conversion. So, whether you are planning to buy a flat in Mumbai or a villa in Navi Mumbai, these steps are crucial. 

Furthermore, it is of significance to inspect the master plan and ensure that the property's development aligns with the zoning plan, encompassing designations like residential, commercial, industrial, public, semi-public, parks and open spaces. 

Approvals for Construction

In the case of an already-developed structure, it is imperative to authenticate the building or layout plan. It must be approved by municipal authorities, governmental bodies, and statutory and regulatory agencies to secure provisions like electricity, water, environmental clearances, and fire safety.

Certificate of Occupancy

Before transferring property titles, the seller must procure a Certificate of Occupancy (OC). The absence of an OC could lead to substantial issues for the buyer, from hefty fines to even potential demolition of the property.

Settlement of Taxes

If the seller is unable to settle property taxes, substantial penalty charges may accrue. It is essential to verify with municipal authorities that the seller is not in default of tax payments.

Mortgages and Other Claims

If the apartment, building, or land is entangled in a dispute for any reason, the likelihood of a hindrance existing is considerable. Have a look at the government websites that offer property registration data.

Additionally, consider publishing a public notice in newspapers before concluding any financial transaction. Being aware of any third-party claims from the beginning is always advisable.

Physical Examination and Property Access

Conducting a physical survey or visit to the property holds great significance for the buyer. Moreover, the measurements must be compared to the promises made in the documentation. A physical survey is also helpful in evaluating the location, the vicinity, connectivity options, and other similar features.

No Objection Certificates

The developer or the seller should provide copies of no objection certificates issued by different departments such as the Pollution Board, Environment Department, Sewage Board, and Traffic and Coordination Department.

Adherence to RERA (Real Estate Regulatory Authority)

Lastly, but most critically, conduct due diligence to verify if the property is registered under your state's RERA. The RERA website also provides information about any lodged cases or complaints against the developer, instances of defaulted payments by the developer, and more.

All of these steps will help you buy a flat in Mumbai or any other city in a smooth and hassle-free manner. 

Conclusion

Given the substantial nature of the investment, ensuring prudence when acquiring an apartment or property is highly recommended. Seeking professional legal counsel can also help in precisely scrutinising all legal documents. While carrying out all these steps may feel a bit overwhelming and time-consuming, in the long haul, it guarantees peace of mind and a more favourable return on investment.