HomeImportant Things You Need to Check for Legal Approvals and ClearancesTipsImportant Things You Need to Check for Legal Approvals and Clearances

Important Things You Need to Check for Legal Approvals and Clearances

When you decide to buy an apartment, check the builder’s written documents, which range from the local authority’s permission to the environmental permit, the approval of the construction plan, etc. Before finalizing the property, you may need to review some documents. Here are the important things you need to check for legal approvals and clearances –

applying for a home loan

  1. Title Deed

It provides you with detailed information on ownership, mortgage rights, any obligations of the property, and helps you understand whether the land to be developed by the project has been registered and whether the development rights have been transferred to the builder’s name. You can also seek the help of legal counsel to understand the contract and check for legal approvals, or ask for a copy of the agreement from the builder and cross-check with the land records office.

  1. Commencement Certificate

The builder needs to obtain a start-up certificate before starting to build the property. These certificates are issued after the engineering and urban planning departments inspect the superstructure’s foundations and building boundaries. If the builder does not have a certificate of activation, he will not be provided with a certificate of occupancy for the property. It is illegal to occupy such property.

  1. Land Use Certificate

Any construction used for residential purposes in a commercial or industrial zone is illegal. Check the certificate carefully and check whether the apartment you plan to buy is in the residential area.

  1. No Objection Certificate

Check whether the builder has NOC for environmental cleaning, electric board, water board, and other local municipality NOC. The builder should be able to provide you with copies of all such NOCs.

  1. Encumbrance Certificate

The certificate contains details of all transactions on the property. There is evidence that the property does not bear any legal and monetary responsibilities and will be handed over to you without any burden.

  1. Miscellaneous

If you are buying an apartment/apartment for resale, please check if you have secured a bank loan. If so, please apply to the bank to repay the loan before purchasing this type of apartment. Also, please check the seller’s previous tax receipts to make sure there are no pending bills.

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