For most of us, purchasing a home is a once-in-a-lifetime opportunity. When you start looking for your dream home, it is an exciting time. You may not pay much attention to the legal issues of home purchase because your primary focus will be on comfort and ease.
Certain laws have been enacted by the government to protect consumers’ interests and increase transparency in real estate transactions. A homebuyer, sometimes known as an allottee, is someone who buys an apartment or a plot of land through a transfer or sale, as opposed to someone who rents such a plot or unit. You can avoid problems if you understand your legal rights as a house buyer.
So, if you’re thinking of buying a new house, educate yourself on your rights as a homebuyer.
Right to information
A homebuyer or allottee has the right to get information from the concerned authority on legal sanctions, building layouts and specifications, and other approvals.
Rights of possession
The purchaser or allottee of a residence has the right to claim possession of an apartment, plot, or building. The allottees’ organization will have the right to claim possession of the common spaces.
Rights of Inspection
You have the right as a house buyer to view a property and check its quality before buying. The allottee has the right to inspect the project site to assess its development.
Right to Alterations
If a developer makes major structural changes to the sanctioned designs, layout, fittings, and amenities without the permission of at least 2/3rd of the allottees, other than the promoter, who have agreed to buy an apartment in a building, a buyer can submit a complaint.
Timeline for construction
A home buyer is entitled to information on the project’s stage-by-stage completion, including provisions for water, sanitation, power, and other facilities and services as agreed to by the promoter and allottee under the terms and circumstances of the sale agreement.
If the land promoter fails to deliver the apartment, plot, or building, the allottee has the right to withdraw from the project and seek a refund, interest, and compensation. The National Consumer Dispute Resolution Commission (NCDRC) has ruled that customers are entitled to a refund if possession is delayed for more than a year after the builder’s specified date. According to NCDRC, if projects are not delivered within the specified time frame, the builder would repay the entire sum plus 10% interest.
Delays in the project
If a project is delayed and the allottee does not plan to withdraw from the project, the developer is responsible for paying the allottee monthly interest on bank loans every month of delay, as stated in the agreement.
Benefits of a Value increase
After gaining ownership of the property from the seller, the buyer is entitled to any improvements or increases in its value, as well as the property’s rents and profits.
After the sale, the seller has no claim to the property’s benefits.
Defects in the structure
If a buyer discovers a structural or workmanship flaw within the five years after taking possession, the property seller is obligated to repair it without charging buyers. The allottee is entitled to compensation if the promoter fails to correct the problem within 30 days.
Registered Conveyance Deed
The seller is responsible for recording a conveyance deed in the allottee’s name. The agreement signifies the transfer of the property’s title from the seller to the buyer. The seller must confirm that the property is clear of all legal liens. The buyer has legal rights to the property once the transfer agreement is registered.
Now that you know everything about your legal rights as a buyer, you’re fit to buy your dream home.