According to the Real Estate (Regulation and Development) Act, 2016 (RERA), carpet area is defined as ‘the net usable floor area of an apartment, excluding the area covered by the external walls, areas under service shafts, exclusive balcony or verandah area, and exclusive open terrace area, but including the area covered by the internal partition walls of the apartment’.

Super Built-up Area is the built-up area plus the proportionate area of common areas such as the lobby, lift shafts, stairs, etc.

Built-up Area is the actual usable area of an apartment. It comprises the carpet area plus the thickness of outer walls and the balcony.

An Agreement for Sale contains the terms and conditions of the sale of a property agreed upon by the parties and binds them. An agreement to sell is the document on the basis of which a conveyance deed is drafted.

Total Consideration means the amount, amongst others, payable for the said unit and the properties appurtenant thereto, but does not include other amounts, charges, security deposits, stamp duty, registration fees, municipality tax, and any other charges/taxes/cess/levies, etc., levied by any authority that may be payable by purchasers.

A certain percentage of the Total Consideration amount, as mentioned in the sale agreement, shall be treated by the seller as the Booking Amount, which shall be liable to be forfeited by the seller in the event of a breach of any of the terms and conditions herein contained by the purchasers.

Freehold property means the property which is free from the hold of any entity besides the owner. You can enjoy complete ownership and sell, renovate, or transfer it as per your convenience.

In the case of leasehold property, it is owned for a certain period as agreed in a lease. Generally, the lease period varies from 30 to 99 years. The lease can be extended by giving a certain amount of money.

Force Majeure means any event or combination of events or circumstances beyond the control of the Developer which cannot (a) by the exercise of reasonable diligence, or (b) despite the adoption of reasonable precaution and/or alternative measures, be prevented or cause to be prevented and which adversely affects the Developer’s ability to perform obligations.

here are a few distinct advantages to buying an under-construction property. An under-construction property is likely to cost less than a ready-to-move-in property, and you would find a lot more options in the market. It is a better investment because the price of the property rises with each floor of completed construction. There is payment flexibility and you are not required to pay the entire amount at one time. Thanks to RERA, the risks of buying under-construction property have considerably reduced. If the builder fails to deliver the completed property within the stipulated time, they will have to return the entire money to the buyer.

The Finance Bill 2013 has proposed that purchasers of an immovable property (other than rural agricultural land) worth 50 lakh or more are required to pay withholding tax at the rate of 1% from the consideration payable to a resident transferor.

According to rules in respect of tax deducted at source, the buyer of the property would have to deduct the TDS and deposit the same in the Government treasury.