Buyer's Guide

Buyers Guide Documentation

This section gives you an overview of the paperwork it takes to purchase an apartment or villa.

What are the documents that should be verified before buying a residential / commercial unit?

  • Ownership Documents of the Land Owner/Promoter including title certificate .

  • Development Agreement, if the Developer/Promoter is not the owner and has acquired the development rights.

  • Intimation of Disapproval (IOD)/Development Permission/ Commencement Certificate and the building plan/s approved by the competent authority.

  • Commencement Certificate.

  • Other permissions issued by the competent authority depending on the nature of plot/type of development.

  • If the construction is completed then the Occupancy Certificate issued by the competent authority.

  • Draft of Agreement for Sale and brochure for specifications, layout and amenities in the flat/complex/layout.

What documents are required to be executed if the intended purchaser wishes to proceed for purchase of premises?

The Developer/Promoter shall execute an Agreement for Sale as per the provisions of the Real Estate (Regulation & Development) Act, 2016

What is the procedure for execution of the Agreement for Sale?

The procedure involved is three-fold:

  • Firstly, the payment of adequate stamp duty on the Agreement for Sale

  • Secondly, Execution of the Agreement for Sale by the Developer/Promoter and the Purchaser/Allottee(s) and;

  • Thirdly, Registration of Agreement for Sale.

TAX BENEFITS INFORMATION

  • DO I GET A TAX BENEFIT ON THE LOAN?

    Yes

  • DO I GET DEDUCTION ON INTEREST?

    The repayment of the interest portion of the EMI is allowed as a deduction under section 24 if the purchase or construction is completed within a period of three years from the end of the year in which the loan is take under the head "income from house property" up to Rs. 2,00,000/- for self-occupied property and full amount of Interest in case of let-out property provided that loss from such let out house property does not exceed Rs 2lakhs.

We shall deal with the above aspect in detail as under:

  • Stamp Duty

  • Execution

  • Registration

  • Unless there is an agreement, the stamp duty shall be borne and paid by the purchaser as per Section 30 of the Maharashtra Stamp Act, 2013. The stamp duty to be paid on the Agreement for Sale shall be equivalent to 5% on the market value of the unit. The mode of payment of stamp duty is E-Payment through GRAS (Govt. Receipt Accounting System).

DO I GET DEDUCTION ON PRINCIPAL REPAYMENT?

The repayment of principal amount of the loan can be claimed as a deduction under section 80C up to a maximum amount of Rs. 1.5 lakh. You can also claim deduction under Section 80C towards payment made for stamp duty, registration fee and other expenses for the purpose of transferring the property in the name of the assessed. All these deductions however should not exceed the overall limit of Rs. 1.5 lakh.

However, deduction under Section 80C is not available in respect of payment made towards the cost of any addition, alteration, renovation or repair carried out after the issue of the completion certificate.

Home Loan

General Documents

  • Proof of Income: a) Salaried Applicant minimum 4 months’ salary slip along with 2 years form 16. b) Self Employed, Professionals 3 years ITR with Profit and Loss, Balance Sheet and all the Annexures(if any)

  • Business profile with details on the nature of business, list of clients, suppliers, staff strength, geographical spread, etc.

  • Age proof: PAN card, Voters ID, Passport, or License

  • Copy of ration card or company ID card

  • Updated bank passbook or a copy of the statement of accounts for the last 6 months for salaried and 1 Year for Self Employed/Professionals.

  • Copy of educational qualifications certificate/s and proof of business existence like Shop Act Registration copy, GST/TAN registration

  • Cheque for processing fees, Certificate in original from employer for any other allowances which are not reflected in salary slip

  • Passport size photographs of applicant and co-applicant

You may be asked to submit further legal documents if required by the bank, or its approved lawyers. Retain photocopies of all the documents being submitted by you.

Disbursement

Your loan will be disbursed after you identify and select the property that you are purchasing and submit the requisite legal documents. Each and every single document asked for will be verified and checked for your safety. This may take some time but we want to ensure a clear title by completing all the legal and technical verifications so that you have full rights to your home. The 230 A Clearance of the seller and / or 37I clearance from the appropriate income tax authorities (if applicable) is also needed. On satisfactory completion of the above, registration of the conveyance deed and investment of your own contribution, the loan amount (as warranted by the stage of construction) will be disbursed by Bank. The disbursement will be in favour of the builder/seller.

List of documents for disbursement

  • Loan Agreements

  • Disbursement Requests

  • Post-dated cheques

  • Personal guarantors’ documents(if any), as called for