Rights and Duties of an Intelligent Real Estate Buyer

Real estate purchase in Hyderabad has always been one of the biggest financial decisions for a middle class family. Many people purchase real estate property through bank loans. They wipe out all their hard earned savings to make a down payment and then repay the loan amount through EMIs for almost next 20 years – putting aside a considerable amount of their salaries. Therefore, it is very important for every home buyer to know his/her rights and duties as home purchase has become a lifetime investment. An intelligent home buyer will get most value for his money by knowing his rights and duties as a consumer.

Rights of an intelligent home buyer

• A buyer should be informed about the construction schedule and also if there is any structural change in the project.
• The buyer has every right to claim the compensation or come out of the agreement in case of a delay.
• If the builder is unable to deliver the property within the stipulated time, the builder is required to bear all the escalated costs of construction.
• Collecting money from potential buyers without obtaining the required permissions is not a fair trade practice on the part of the developer.
• A builder has to hand over possession after construction. Buyer is not bothered even if the company goes for liquidation.
• A buyer can lodge an FIR on charges of cheating and breach of trust against the developer if he does shoddy construction.
• A buyer can approach the local authorities if commercial units such as shops or offices are included, which are not specified in the original building plan.
• Buyers can drag the builders to court for harassment or for rude behavior which includes mental agony, harassment, physical discomfort and insult.
• Buyers can approached the local authorities such as municipal corporation to check if the real estate developer had relevant permissions or not.

Duties of an intelligent home buyer

• You should make sure that you have all the copies of correspondence when you go to the court.
• Send a notice in writing to the builder if you have any grievance, as the proof of sending is valid in the consumer court. You need not worry even if the builder refuses to accept your notice.
• Make sure that you get the promise to deliver goods or services from builder in writing. This will serve as a proof to show what the company had promised.

Always remember, the burden of responsibility is more on you, as you will loose a lot more than the builder, if anything goes wrong. So be a smart shopper – know all your rights and duties before spending on real estate.

Source: Money Today, Nov’ 09.