Realty rules that homebuyers need to know
The realty low has made it pretty tough for the defaulters to escape. The developers, however, are not the only defaulters. Numerous times, the home buyers delay the payments making it a lot though for the developers as well. Also, there are provisions in the law that talk about the duties of the home buyers.
Penalty to be paid at 10%
As per the latest reports, the realty regulator in Madhya Pradesh has said that it has actually fixed the penalty at 10% interest for both the developers and the home buyers. This is somewhat 2% more than the SBI’s Marginal Cost of Funds Based Lending Rate. Numerous other states are said to be expected to follow the suit. This has encouraged the home buyers to invest as previously earlier for delayed payment stood to anywhere between 12-18 % while developers responsible for the delay amounted to Rs 5-10 per square feet. The disparity that is cased the home buyers a huge loss in the case of the unexpected delays.
For issues like not taking the possession owing to the discontinuance of the business or because of the suspension or because of the revocation of the registration, the home buyers can actually claim the compensations as prescribed by the state regulator.
Rules to clarify that the interest that is payable by allottees to promoter shall be from the date the default of allottees in the payment to promoter till date it is paid.
Mandatory to clear all dues
The buyers have to commit to the timelines of the payments which includes a share of the registration charges, water and electricity charges, municipal taxes, ground rent, maintenance charges, and other charges if there are any.
Take possession only after the occupancy certificate
Not only the developers, it’s even binding upon home buyers to take possession of the apartment, plot, building within the two months of occupancy certificate being issued to the developer. Opting for the fit-out building or going for the soft possession could actually lead you into the trouble.
Association of home buyers is compulsory
The allottees of the project must get together to form the society/association/cooperative society/federation. This would actually help them to solve problems related to the residential society. Also, this association will take the care of common resources as well as look into the logistics.
Allottees in projects beyond planning area have a say
In the interest of the home buyers, the authority can order project developer to register with authority and thus become bound by rules and regulations prescribed.