When selling their property, housing schemes, housing societies and commercial buildings owners use a third-party intermediary or brokerage business to get the best price for their property while ensuring that their long-term investment and wealth objectives are carried out. In several markets around the country, sellers are currently confronted with dropping but slowly recovering property values. When combined with historically low mortgage rates, these prices make now an excellent time to invest in real estate. More than ever, sellers want the expertise of a market expert who knows how to maximize the price per square foot while still meeting their customers’ investment objectives, all while possessing a superior understanding of the submarket in which the property is located.
The capacity of the agent to generate a market for each asset is critical to maximizing value for the seller. Broad exposure is the primary driver of a competitive bidding environment. An agent can give a professional package with defensible underwriting to a vast universe of qualified buyers with the correct representation and marketing. The seller is usually presented with several offers to choose the one that best matches their goals in terms of price and terms.
Property investments are high-risk investments, and any blunder made during the process can cost the buyer a lot of money. As a result, a buyer must proceed with caution when reviewing the property documentation.
Interestingly, while the land is a physical asset, who owns it cannot be determined solely by a claim of ownership; the claim must be supported by many documents proving the property’s ownership status.
The buyer can ensure that the investment gives peace of mind and security by getting adequate legal assistance, scrutinizing paperwork, and verifying vital facts about the property.
Learn about the Taj Residence files.
Checklist for Property Documents
It is a well-established legal concept that a person cannot transfer a superior title to his own. As a first step, the buyer should do due diligence to confirm the existence of the seller’s title, the nature of the title and its marketability, and the seller’s ability to deliver a clear and marketable title that is free of encumbrances. Must inspect documents for a minimum of 30 years (and if records are not accessible, for a minimum of 12 years). And the seller may be aske to submit the following documents/information:
- Government order for grant, succession certificate, sale deed, gift deed, will, partition deed, and other property title documents proving the transfer of title over time, ending in the vesting of property with the seller.
- Leasehold, freehold, or development rights are the different types of titles.
- If the seller wants to claim development rights to the property, the owner must sign a development agreement and a power of attorney in their favor.
- At the office of the jurisdictional sub-registrar of assurances, all title documents are officially stamp and registere.
- Khata was create in the seller’s name.
- Litigation that is either active or has occurred in the past.
- Originals are still available.
Permissions for conversion and land use
Conversion of property for non-agricultural usage becomes increasingly important as cities grow and revenue lands merge with urban conglomerates because numerous state laws prohibit non-agriculturists from purchasing an agricultural property. Second, the buyer must review the Master Plan to ensure that the land is being develop in line with the zoning plan. Including residential, commercial, industrial, public/semi-public, parks and open spaces, and so on. Obtaining directives from the Town Planning Authority for land-use change is require where actual use differs from the notified zoning.
Approvals for Construction
When purchasing an apartment or land with a built structure, the buyer should review the building plan/layout plan approved by the local municipal authorities and approvals issued by a government, statutory, and regulatory authorities.
It is important to request copies of NOCs from various authorities, such as the Pollution Board, Environment Department, Sewage Board, and Traffic and Coordination Department. Which form the “intimation of disapproval” or initial permit required for building construction, from the builder.
Certificate of Occupancy
Before selling the property, the seller must get an occupancy certificate from the appropriate authority. Use of the property without gaining occupancy may result in a penalty under the relevant building by-laws and the danger of the property being demolish.
The Payment Status of Taxes
Property tax arrears are a charge on the property, limiting its marketability. As a result, the buyer must check with the local government to ensure that the seller has not defaulted on property tax payments.
Inquire about the seller’s receipts for all utility bills. Would you mind keeping in mind that you will be responsible for all outstanding dues? After the property is transfer into your name, whether utility or otherwise?
Access to the Land and a Physical Survey
The buyer may conduct a physical survey to validate the property’s size and dimensions. In the case of land, it’s a good idea to identify and demarcate the property’s boundaries and access points. As well as any other physical features that can make it difficult to enjoy the property.
The dangers of buying a property without doing your homework
A buyer should avoid entering into a bargain unless he is aware of the seller’s credentials. His ownership over the asset is officially prove by documentary proof, regardless of how lucrative it appears. People sometimes try to sell disputed properties for a low price. This opportunity may seem appealing at first, but it will ultimately prove to be a tremendous nuisance. Also, never deal with a merchant who wants you to make a transaction with unexplained funds to save money on taxes. It could lead to a slew of problems in the future.
Buyers should be aware of the following suggestions:
- Never agree to sign anything without first conducting your investigation.
- Check an agent’s or a developer’s RERA ID and registration even if recommended by someone you know.
- Never agree to accept black money in place of tax breaks.
- Do not agree to buy or sell a property on behalf of someone else.
Conclusion
Purchasing a property from a responsible third party and having a solid reputation in the market is acceptable. Buying a property from a third party has no adverse consequences. All you have to do now is ask questions and conduct a thorough study on the market before investing.
Author Bio
Muhammad Junaid is a senior Analyst and Search Engine Expert. Extensive experience being a lead writer in Estate Land |Park View City. Work for years with local and international enterprises. Also, represent well-known brands in the UAE.
