Guide For Real Estate Investment

Repo rates are one of the most critical tools that any central bank has in its kitty through which it exercises its authority to manage and maintain a sound and robust financial system of the economy. It is broadly defined as the interest rate at which the central bank lends money to commercial banks. The central bank in India i.e. the Reserve Bank of India (RBI) uses repo rate to manage and maintain healthy and sustainable liquidity in the financial system. When there is a shortage of funds, commercial banks borrow money from the RBI which is paid back according to the repo rate. The central bank increases the repo rate when they need to control prices and restrict borrowings. On the other hand, the repo rate is decreased when there is a need to infuse more money into the market and support economic growth. An increase in repo rate means commercial banks have to pay more interest for the money they borrow from RBI. Therefore, a change in repo rate eventually affects public borrowings ...

  Agreement to Sale is an important document represent   the terms and conditions of sale of a property by the seller to the buyer. These terms and conditions include the amount at which it is to be sold and the future date of full payment. Being an important document in the sale transaction, it enables the process of sale to go through without any hurdles. All the terms and conditions included in the agreement of sale must be understood thoroughly by both the parties and obeyed throughout the sale process till the time the sale deed is made. Agreement of sale is the base document on which the sale deed is drafted. Agreement to sale cover below mentioned points 1)     History of document:- In which promoter/developer need to mention whole documentation record of the land with document number. Anyone can demand copy of the mentioned document to. developer/promoter     2)     Payment detail:- Agreement to sale contain total paymen...

1. What are the objects and reasons for which the Real Estate (Regulation and                              Development) Act 2016 has been framed?         Ans: The Real Estate Act is intended to achieve the following objectives: • ensure accountability towards allottees and protect their interest; • infuse transparency, ensure fair-play and reduce frauds & delays; • introduce professionalism and pan India standardization; • establish symmetry of information between the promoter and allottee; • imposing certain responsibilities on both promoter and allottees; • establish regulatory oversight mechanism to enforce contracts; • establish fast- track dispute resolution mechanism; • promote good governance in the sector which in turn would create investor                                  ...

    1)    According to RERA act, The builder will have to pay interest to the Buyer now   if delaying the                possession of the flats. 2) For the developers its compulsory to keep disclose all details prior starting the project. Even it be        Residential Project or commercial project. Details are like cost of particular land at which building is   going to stand, total construction cost or the project, capital to completed the project in targeted time,    Investment plan and name of investors, construction plan, Plat details, approval certificates, RERA certificate number etc. All mentioned details will always be available for the Real Estate Property Buyer. 3)   The promoter of a real estate development firm has to maintain a separate escrow account for each of      their projects. A minimum 70 per cent of the money from investors and ...

    1. Land Record: Title deed is the most important document as it gives details about ownership, rights, obligations and mortgages on the property. So it validates whether the land where the project is coming up has been registered and development rights transferred. Get a copy of it from the builder and cross-check the information with the land record office.   2. Construction Clearances: A 'certificate of commencement' is mandatory to commence any construction of a property. The certificate is issued by the town planning and engineering department post the inspection of the basic foundation for a superstructure and building boundaries. This also means that the builder would have obtained the required licenses, sanctions and permissions for the map that are required before you can even start excavating.   3. Approved Planning: It is good to run an additional check and verify that the building plan and layout plan has been approved and no byelaw applicabl...