Start with the Developer’s Reputation
Before you fall in love with the layout or the view, investigate the builder. Redevelopment is more complex than building on an empty plot; it involves negotiations with existing residents, temporary relocations, and tight timelines. A developer's track
record in redevelopment is a crucial indicator of their ability to deliver on promises. Look for their history of completed projects, especially similar redevelopment work. Check online forums and speak to residents of their past projects to gauge their reputation for quality and timely delivery. A builder with a solid history of finishing projects and satisfying original society members is a much safer bet.
Scrutinise All Legal Documents
This is a non-negotiable step. The legal foundation of a redeveloped property is intricate. Your primary task is to ensure the developer has a clear and marketable title to the land. Ask for the title deed, which proves ownership, and have a lawyer conduct a title search. It is also critical to check the Development Agreement between the builder and the original housing society. This document outlines the terms of the redevelopment, including commitments made to the old residents. Also, ensure the project is registered under the Real Estate (Regulation and Development) Act (RERA). The state RERA website provides project details, completion timelines, and any complaints filed against the developer.
Verify Building Approvals and Plans
A project may look great in a brochure, but its legality depends on official approvals. The most important document here is the Commencement Certificate (CC), issued by the local municipal authority, which legally permits the developer to begin construction. Building without a CC is illegal. You should also review the sanctioned building plans to ensure the flat you are buying, including its size and layout, matches the officially approved design. Any deviation can cause major problems later, affecting the project's legality and your ability to get an Occupancy Certificate.
Confirm the Occupancy Certificate (OC) Is Issued
Never take possession of a flat without a valid Occupancy Certificate (OC). The OC is the final proof, issued by the municipal body, that the building has been constructed according to the approved plans and complies with all local laws and safety norms. Without an OC, occupying the flat is illegal and can lead to penalties or even eviction orders. Furthermore, essential utilities like water and sanitation connections are typically granted only after the OC is issued. Most banks and financial institutions will also refuse to sanction a home loan for a property that does not have a valid OC.
Assess Construction Quality and Amenities
While paperwork is crucial, the physical quality of the building is just as important. If possible, visit the site to check the quality of construction materials and finishes. Pay attention to the details in the sample flat and compare them with the promises made in the sale agreement. Verify the promised amenities—such as parking, elevators, security systems, and common areas—are being developed as advertised. Ensure the carpet area mentioned in the agreement matches the actual usable space in the flat, as this is a common area for discrepancies.
Understand the Financials Thoroughly
Before you commit, get a complete picture of all the costs involved. The total price is often more than just the base cost of the flat. Ask for a detailed breakdown that includes charges for parking, development, club membership, and applicable taxes like GST. If you are applying for a home loan, check with multiple banks to see if they have approved the project for financing. Banks conduct their own due diligence, and their willingness to lend is a positive sign. Be clear on the payment schedule and avoid making large cash payments that are not officially documented.
