Check the credentials of the builder/ developer

Find out if he has a track record of quality construction. Ascertain whether the building project is
approved for loans by housing finance companies. Check the copy of the development agreement between
the builder and the owner of the land. Also check the building plan sanctioned by the Municipal
Corporation and confirm that the builder has taken possession of the plot. The builder should also
produce the Intimation of Disapproval (IOD) and thecommencement certificate. Verify the title of the
property as certified by a solicitor.

Agreement: The agreement for sale of the flat with the builder should disclose the following particulars
 The title of the land. The encumbrances. The nature of the fixtures and fittings. The date by which
possession will be granted. The cost of the flat agreed upon. The outgoing, local taxes, water and
electricity charges. Details of how and when the co-operative society is going to be formed and registered.

Register the Agreement with the sub-registrar of assurances under the provisions of the Indian Registration
Act within four months from the date of its execution and pay the applicable stamp duty. Only after this,
your agreement will be legally valid.

Payment: Payment should be made slabwise as the construction work progresses. Check the architect's
certificate certifying the progress of the work before making the payments. Check whether the builder
has cleared all his pending taxes and bills before making the final payment. Payments should be in cheque,
and receipts should bear a revenue stamp.

When you buy a ready possession flat
Work out the tax implications of the transaction with a chartered accountant.
If you are using the services of an estate agent, finalise his fees in advance to avoid his over-charging
you later. Make a requirement list and work out your budget before going to see the flats. On selecting a
 property, discuss and clarify the terms, conditions and price with the owners. Inspect whether all original
 property documents are in order and whether the society's outgoing and the electricity bills are paid.
Ascertain the date on which the seller plans to vacate the premises. It should be within 30 days of the
date of receipt of the NOC from the income tax acquisition department. According to the bylaws of certain
co-operative housing societies, their present members have the first right to purchase the flats. In this
case, a NOC is needed stating that none of the members are interested in buying this property at the intended
price of sale. Meet the society's secretary/ manager to check whether the title is clear and marketable, and
the seller has paid all his outstandings. Verify that the flat has not been mortgaged to any housing finance
company. Find out the transfer charges of the society and the car-parking situation.

Verify the area of the flat either by taking physical measurements or by checking the blueprint/ society records.
 The agreement should be signed along with the 37(i) form, if applicable, and a letter of intent by the seller
to his society, asking for a NOC in the name of the buyer. Before making the final payment for the flat,
inspect the flat. After taking possession, change the lock immediately.