Business Mantra News
Indian Property Market has reached a stage where the rates of property are quite low as compared to the rates five years back. Further Government also wants that interest of property buyers be protected, so introduction of Real Estate Regulatory Authority (RERA) is a good sign from the prospective of the buyers.
From the last five years the property market has shifted from sellers’ market to the buyers’ market i.e. now-a-days buyers place their terms and conditions before buying property.
After demonetization and GST and of course with the implementation of RERA finding a buyer has become difficult for selling of property. If the seller is a builder or a dealer, then professionals are hired and selling does not become a difficult job. But if individually a person has to sell/resell his property then he has to take the help of a dealer. An individual seller/reseller, therefore, has to take precaution of both the dealer and the prospective buyer.
There may be pseudo-dealers and fake buyers in the market. Fake sellers mean that he/she only wants to check the price of the properties. Pseudo- dealer may cheat the seller with his unfair tactics.
Precautions before Signing Sale Deed:
- Decide the sale price of the property keeping in view of the market trend, conditions, location of property, age of property and payment conditions.
- Keep a minimum price in the mind
- Never show enthusiasm to sell the property when enquiries are made.
- Do not rush to show property papers before proper verification.
- Clearing the statutory dues of authorities is duty of the seller. So all dues must be paid up to date for the property to be sold.
- A dealer may also fake purchase of property, pretending to be a buyer.
- After proper verification, finalise the terms and conditions like, price, payment terms etc.
- Sources of funds for buying the property is also an important point a seller should know like own funds, borrowed funds, loan from Bank/NBFC etc.
- Taking proper precautions while entering into contract with “Agreement to Sell” keeping period of full transaction and advance money and brokerage to the dealer if involved etc.
- If buyer has opted for financing from a Bank/NBFC then his net worth should be known to the seller (Just information). Time to be taken by Bank/NBFC for sanction of his Loan.
- Lending Bank/NBFC if has sanctioned the loan, has mentioned the address of the seller’s property in the sanction letter that should show that the loan is for the property of the seller.
- Setting the date on which the sale deed is to be executed and authenticated at the appropriate authority i.e. Registrar/Sub-registrar/Tehsildar office.
- Preparing the Sale deed with proper information of the seller and the property is very vital.
- Receipt of full and final payment as per the terms and conditions in front of the Registrar/Sub-registrar/Tehsildar office upon the signing of sale deed.
The list of precautions is not exhaustive but some have been discussed above. Please take precautions and sell property peacefully.