Home Buying Tips | Kolkata Real Estate | Kolkata Property

What Happens If You Check In Your Dream Home Without Occupancy Certificate?

The current market demand trend is heavier on the side of occupancy certificate ready apartments. In the whirl of timely deliverance, developers are scheduling the possession without property possession certificate/occupancy certificate. Property investment is centred on the sentiments of a homebuyer. Buying a new home definitely adds some moments of pride and self esteem in the buyers; but this is another ploy of the developers to wreak your emotions. Without occupancy certificate handing over a property actually can be could hallmark your entire real estate purchase illegal. In case any buyer accept any property with a pending occupancy certificate that person endangers own investment.

Importance of Occupancy Certificate
Occupancy Certificate should be always issued by the local civic body or the government-run agencies and planning authorities. It’s given after an entire real estate project completion in the very locale. An OC ready property is the parameter of a legitimate construction. It means the building has been developed complying with all construction rules and laws which includes approved floor area, project planning, fire safety standard, building standard and environmental criterion. As per the industry standards, if a building is developed adhere to all these measurements, then the developer gets occupancy certificate from the local governmental authority within a month maximum.

It’s largely observed that a first time homebuyer is unaware of the importance of the OC. It’s not just another piece of paper. Building without OC means you are not allowed to access better civic facilities; it could even stack up your tax burden. This document is necessary for applying your Khata or for buying resale real estate units. Resale properties won’t return profit without a valid OC.

Barin Midya, a potential homebuyer in Kolkata asked us on our forum, “I have been looking for affordable flats in Kolkata, over past couple of years. Finally got an apartment in ready-to-move in condition, where as the developer is keep on delaying for handing over the occupancy certificate. Should I buy the property?”

Let’s brief you the real reason behind the delay from your developer–

The project plan might not approved by the local civic body.
Your chosen apartment might not have sanction or commencement certificate as well
If it’s not giving you full-length amenities that means it’s not even ready for obtaining a completion certificate.
It might not have received NOCs from pollution boards and airport authorities etc.
Builder should have all prior tax receipts to obtain OC.

In prime metros in India it’s mandatory for a builder to obtain the OC before handing over the possession to the buyers. In certain cases partial OC might also be considered. Without OC access to electrical connection, water supply and sanitary connection gets difficult. Leaving these minor issues aside if any civic body asks an inhabitant to leave the apartment, that hasn’t obtained OC, occupants have no other options than to empty the apartment. Thus, it’s really important to seek OC before taking the possession.

–LNN (Liyans News Network)

West Bengal Gives The Nod To RERA

inally, West Bengal Govt. professes The West Bengal Housing Industry Regulation Bill 2017 after missing the time-stretched granted by the central ministry. July 31, 2017 was the deadline for all the states for their respective state RERA notification, cited the central government. West Bengal was one of those states that fell short in meeting the mentioned time frame. However, sticking to the previous disclosure, The West Bengal Housing Industry Regulation Bill 2017 was passed by the state assembly on Aug 16, 2017.
The bill was moved by West Bengal Housing Minister Sovon Chatterjee. The opposition party CPI (M) claimed that it should be spelled out by the select committee, which was declined. Despite all the oppositions of the came from the real estate stake holders for sidelining most of the ongoing projects state chose to prioritize the central norms. The state Housing Minister also declared that construction developments that will be structured on filling up any wetland, state government will take strict action against those. He too pointed out in the Assembly that the Chief Minister has given a clear instruction on this subject and no housing complexes will be permitted without going through the clearances issued by various departments.

Reportedly, all the housing projects above 500 square metres or consisting of eight apartments are required to be registered with the state regulator Housing Industry Regulatory Authority (HIRA), after overall completion of the notification. The bill recommends forming the HIRA within the next 60 days of the notification.

At a glance of the West Bengal Housing Industry Regulation Bill 2017–

Ongoing projects without occupancy certificates should apply for the same to HIRA within a period of three months from the commencement of the Act. A promoter has to maintain 70% of the received fund to the escrow account for the existing project development purpose. If a developer is incapable of delivering timely possession, then buyer has the right to cancel the agreement. Under this circumstance the builder has to pay off the booking amount with interest within 45 days of time period. After possession if there is any constructional dispute and the promoter refuses fixing it, then he has to reckon the interest along with the compensation amount. An agreement of 20 pages will be signed between builder and the buyer. If one party evades any rule, then the other owns the authority to cancel the deal. The agreement should contain the details of project delivery and mention the time slots of partly payments made by the consumers.

Asking on the West Bengal state RERA notification, Mr. Mahesh Somani, The Chairman – National RERA Committee, National Association of Realtors India said, “A homebuyer saves his every penny for purchasing his dream home. Implementation of RERA in its true law and spirit will definitely recover primeval buyers’ sentiment to the real estate market of the state. Being the biggest reform of Indian realty market RERA will sentence all the loop holes and double-dealings of the developers and realtors for whom the industry had lost its transparency and saleability. It’s expected that residential property sale in Kolkata will perk up post RERA.”

–LNN (Liyans News Network)

RBI Cuts Rate To Boost Affordable Housing To Boost Affordable Housing

Even RBI has come to the line to promote PMAY flagship project ‘Home for all by 2022’. Real estate experts consider that the apex bank of Indian economy has cut the repo rate at the onset of the Indian festive season just to boost the demand for affordable housing sector. A good monsoon in progress, low inflation numbers, favourable global environment and overall uptick in industry sentiments- bank has pointed out these facts as the catalyst of the recent rate cut.

RBI slashed the repo rate by 25 basis points to 6% at its third bimonthly policy check. The revised repo rate will go well with the two major policy reforms by the government ‘RERA’ and ‘GST’ which will eventually be favourable for the both buyer and the developer, during the investment in affordable housing. A rightly measured rate cut is the appropriate mediator to push the realty business. Affordable housing sector is not beyond that. By far the Central Bank has reduced their short-term lending rate 175 bps since 2014. With this revised rate cut the sluggishness of Indian real estate market will be recovered to a great extent.

Affordable housing in fact fed the real estate during the post demonetization season; while the entire market had fallen flat. The sector has been kept out of GST purview. The rate cut couldn’t have come more right time than this, when the affordable housing sector is expecting to be soared. Banks even relaxed the home loan percentage on purchasing affordable flats. Luring with the input tax credit by the government, market is expecting some major cash inflow from the domestic and overseas investment sector. The repo rate is beneficial at this moment as the current inflation rate is hanging at low levels less than 2%. Real estate sector has been on the way to be recovered by the means of low construction rate, supervision of RERA, lower price of ready to move apartments post GST and now with revised repo rate by RBI.

Real estate industry is hoping some positive come back as RERA is set to bring the accountability and visibility of the real estate business. RERA won’t allow any fraudulence in realty business. This move will surely able to bring back an investment boost along with the primal sentiment of home-buying. There is a temporary market slowdown observed after RERA enforcement. New project launches have been significantly shortened. This revised repo rate is a 7 year low. Nevertheless, the rate cut announcement sends out positive signals to the foreign investors and PE firms. With various progressive measures government will set affordable housing sector the big ticket of future investment. Indian real estate market is stepping towards progress with the deployment of RERA and GST rollout. Moreover rate cut comes as amen to Indian realty growth.

_LNN (Liyans News Network)- Visit www.liyans.com- the leading property portal in Kolkata to keep yourself updated with the latest news on Indian real estate and track every move of the market from the inception.

We Are Not Against RERA- NAREDCO and CREDAI

Sources confirmed that National Real Estate Development Council (NAREDCO) and CREDAI (Confederation of Real Estate Developers’ Associations of India) are in favour of Real Estate Regulation and (Development) Act (RERA) implementation and they won’t move court against it, even in the matter of ongoing projects, as it helps bring back positive buyers’ sentiment towards the real estate market. NAREDCO president Praveen Jain confirmed this in a press release.
According to the notified rules of state RERA, CREDAI also directed its members to go through the registration procedure. But it will certainly monitor RERA’s future course of action and will wait for the observations by courts hearing this matter. Developers from Nagpur Jabalpur and have filed cases in and Mumbai Bhopal high court, respectively, against the execution of RERA on under construction projects.
Some developers have claimed that some projects have been launched under the previous policy, RERA rules should be equally stood for-RERA came into force in May, 2017- would measure up implementing the law with retrospective effect.
RERA was brought into frame by the union government for recovering people’s trust factor and accountability to the real estate sector. This act needs to be executed through the state governments in the presence of a real estate regulatory authority, formed by the state legislature. Along this states have to develop their respective RERA websites to enable developers to register their projects online.
The reason why CREDAI opposed RERA is that there is a clause in RERA, where it’s said developer needs to maintain 70% unused amount for project development, which apparently he collected from the buyers of an ongoing project in escrow account- shouldn’t be implemented with the retrospective effect. CREDAI thinks that all should follow MahaRERA model, which allows 70% of all future payments from buyers in ongoing projects must go in the escrow account. CREDAI has indicated that RERA rules have to be practical enough in all-square, which should aim at faster completion of ongoing projects.
Similarly, NAREDCO envisages that a proper infrastructure in required for successful implementation of RERA, where developers should be provided a smooth-operating project registration service to avoid any discontinuance in the project development procedure. An interim regulator is not enough for the apt judgement; states should soon replace them with the permanent ones. This is supposed to be another crucial reason causing delay in the project registration process.
Haryana, Telangana and West Bengal have not notified their respective state RERA norms. A series of new launches have come up in luxury and budget residential property sector in West Bengal. Market has witnessed a lots of new-build flats in Rajarhat and Garia location under the previous regime. These properties are yet to register, as the state hasn’t launched its website as of now.
Hence, every project should get registered by July 31 to carry on their marketing and sales conducts. Else, RERA holds the decisive authority to nullify or even to bulldoze any project,

-LNN (Liyans News Network)- Try free property advertisement tool post your property in Kolkata under our real estate portal. Selling property online with us is that easy.

Is Your Housing Society Well-Protected ?

After a long day of your tiring schedule when you get back home and find everything disorderly? Or what if a gang of people outraged in the society and create some serious rupture? Do you think consider living inside a gated community apartment is safe? Is it safe because there are several amenities to look up your securities; such as- CCTV, 24*7 securities or intercom? If these are the reasons behind choosing a housing community, then here are some advices which you should mull over before choosing your dream home.

Here’s what your need to know before you choose to buy flats in Kolkata–

Safety measurements of housing apartment– When thinking about a luxury property purchase, first things we spot on are the exterior design and the connectivity of the locality. We observe the number of lifestyle facilities that we could avail within our budget limitation. Not only the connectedness of the housing society, one should always double-check majority of the inside and the outside radius of the apartment. This is important because, many a time there are several communal riots shock the entire society. It’s better to avoid these locations, where these kinds of incidents are foreseen, even if the package is lucrative to your lifestyle.

How much your apartment is covered?– If you think CCTV coverage of the entire compound, checkpoints and metal detector at the entrances are the ultimate safety measurement of your apartment, then you are probably having very rough knowledge regarding the safety measurements. These are the facilities just to keep evidence way of living. If anything abhorrent gets noticed, these tools just store those up for future witness. Do you ever think before going to bed, whether these facilities are up and running or whether the security guards belong from a trusted agency? It’s often seen in the mid-budget apartments, the society keeps those people as securities, who are underprivileged and live near-by. They provide basic security knowledge to these people for your protection purpose. So, settling down with low budget might leave out your security determination.

Ways to reduce fraudulence – It’s so obvious that a builder or a realtor will say potential buyers nice things about the apartment and its environs. It’s the buyers’ responsibility to cross-check that saying. Take every essential step to safeguard your lifestyle. Domestic attendants have been one of the major reasons to form brawls. It doesn’t mean you should keep a suspicious overview about those people; again it’s not advisable to take their activities casual. Keeping a maid on your neighbour’s recommendation is not enough. Always take advice from maximum numbers of residents before the final appointment. Make sure, you don’t discuss your personal details before the person is at your service. Always confirm that you lock your apartment well while going out.

It’s suggested to every potential homebuyer, to undergo these basic security checks before deciding home purchase. Know the authority and the administrator of the society well before you come to any agreement. Don’t take any breach lightly when it comes to your lifestyle security.

–LNN (Liyans News Network)