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Occupancy certificate terms in the Sale agreement or Construction agreement
Q: Hi, How are the terms on Occupancy certificate mentioned in the Sale agreement or Construction agreement?
I am looking at purchasing an apartment from a fairly new builder (has done 2 small projects so far). I asked for a term to be mentioned in the Sale agreement. I asked for the below two
1. That builder commits to providing Occupancy certificate within 6 months of possession of the flat by the purchaser. 2. That the last payment 5% (or could be 2.5%) would be made only after Occupancy certificate is provided by the builder to the purchaser
The builder is willing to provide '1' but not willing to add any clause that says what if the occupancy certificate is not provided within 6 months per the term '1'. Is this good enough?
The project is on Sarjapur road in a area of over 1 acres. The builder is confident of providing Occupancy certificate. From where the construction is today (it's a G+4 with 2 Basement parkings), there seems to be no significant deviations.
When I was buying the house, I realized the importance of getting the sale agreement reviewed by the lawyer. It is as important as property document verification. I availed the service from Zippserv. The lawyers were exceptional and they inserted many clauses. I really felt so safe that my interests were being protected. Please look at this link - https://www.zippserv.com/property-lawyer/sale-document-review-bangalore.html.
Hi Krishna, I would say that it is not a good idea to go for project which is not going to provide Occupancy Certificate. Better go for some other projects.
Hi Krishna, If the builder is confident that he will be giving Occupancy certificate and he is also agreeing that the last payment 5% (or could be 2.5%) would be made only after Occupancy certificate is provided by the builder to the purchaser, then I do not think there is any harm. But to be on the safer side you can take help from a legal expert in this matter.