Hello, I am looking to buy a flat in RERA registered project in Maharashtra. The builder is saying that once I paid 10% of the flat value as advance we will do a sale agreement. Sale agreement with Stamp Duty, Registration charges, GST paid with will register it with sub-registrar office jus like sale deed. Since we have already done with the stamp duty, registration charges, GST, and all. We are not going to do any sale deed. Once I have done all the payment (except 5% will be done on possession of the flat) he will give me possession (once everything is ready). Also, the building work is almost complete 1-2 months left for full completion. Can anyone tell me will be a legal procedure? PS: All other bookings in the building have done the same thing.
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Wait for building to be completed and OC issued
2) then only buy the flat
3) ask builder to execute registered sale deed in your favour on making full payment
4) don’t buy under construction flat
5) there is no guarantee builder would complete project on time
Thanks Ajay Sethi, I understand the other risks. I just wanted to check whether doing registered Sale Agreement with payment of GST, Stamp Duty, Registration charges enough or still I have to sale deed? I am asking this because I saw in another answer on this forum on another question that if I do registred sale agreement with all stamp duty and charge paid.. Builder provided the possession with OC and done the did Conveyance deed with the newly form housing society then it is fine to not have any sale deed.
Registered agreement for sale operates as sale deed when full payment is made and possession delivered by builder
there is no harm in doing a sale deed which will attract only Rs. 100 stamp duty since full duty is already paid on the agreement to sell/agreement for sale
generally nobody does that
it is correct that a final deed of conveyance is registered by the builder in favour of the society of flat purchasers
though under RERA there is a concept of agreement for sale and sale deed/deed of conveyance of flat, i am yet to come across any case where the flat buyer also has a sale deed in his favour in addition to the registered agreement for sale
even the lender banks accept the agreement for sale for the purpose of granting loan
Hi, Once the builder has handed over the possession to you. The builder must execute the Registered Sale Deed. If the builder is failed to execute the Registered Sale Deed then the Sale will not complete. The property will be legally transferred only when the Sale Deed is registered in favor of you.
Registered sale agreement of the property will not confer the title to you.
You may have to get the registered sale deed executed to your name before taking possession of the constructed flat.
All may be doing in the manner you have told, but that will create problem at a later stage when you are going to sell the proeprty because it will be a case of devoid of title to the property.
Yes registered sale agreement is just an agreement to sell by the vendor to the vendee, whereas ther registered sale deed alone would confer title to the vendee.
Therefore it is advisable that you get the sale deed registered to your name without fail.
Conveyance deed is nothing but the sale deed, hence you do not get confused by the same meaning spelt out in two different terms.
Dear sir, sale deed is required.
get things registered and make it officially and legally valid.
- As per Sub-Section 1 of Section 13 of The Real Estate (Regulation and Development Act,), A builder will have to enter into an agreement to Sell with a home buyer, and then accept the booking amount which should not be more than 10%.
Hence demanding 90% payment at the time of sale agreement and only allowing 10% to be left for registration is against the Law.
- Further, if you pay the amount demanded by the said builder against the Act , then you may face problem , specially when the builder could not get OC etc from competent authority or delay in handing over the possession.,
- Further the said registered agreement to sell is not title deed of the property.
