What is a residential apartment?

A residential apartment is an accommodation space that includes bed rooms, living rooms, kitchen, bath rooms, etc. Several apartments make a building and these apartments can either be owned by an owner or by rented occupants.

What are various types of apartments?

Apartments can be largely categorized on the basis of its size as below:

Small sized apartments:

These can be generally defined as studio apartments/bachelorette apartments. They are developed especially for rent purpose. Here, dining, living room and bed room is clubbed into one single room and kitchen comprises bathroom.

One/two/three bed room apartments:

One bed room apartments are those wherein the bed room is separated from rest of the apartment. While two and three bed room apartments have two and 3 bed rooms respectively. In large apartments, there is more than one entry point unlike single room apartments which have just one entry point.

Garden apartments:

In these apartments, each room has its own entrance and rooms are not necessarily placed vertically over one another. Garden apartments are generally a one-storey and not more than two-storey. There are many rooms, common courtyard, balconies, etc. inside a garden apartment.

What should a buyer keep in mind while purchasing a residential apartment?

There are many points one should keep in mind while buying a residential apartment:
  • The fore most thing is the location – how near or far is it from the places of importance like educational institutions, hospitals, entertainment centre, etc.
  • There are certain quoted areas of the apartment – carpet, built up area and super built up area
  • Car parking space
  • Quality of construction
  • Goodwill of the builder/seller
  • Proper sanitation, water and electricity supply
  • Other prices – stamp duty, registration charges, transfer fees, maintenance charges and other payments
  • Appreciation of the property for resale and rental

What do you mean by carpet area, built up area and super built up area?

Carpet area is the total usable area within the walls of an apartment or a commercial space. It excludes the thickness of the inner walls.

Built up area includes carpet area and in addition the thickness of the outer walls as well as the balcony.

Super built up area includes the built up area in addition to the proportionate area of common areas such as lobby, lifts, stairs, etc. at times, the list of common areas may also include swimming pool, garden and clubhouse. This term is only applicable in case of multi-dwelling units.

How can knowing the carpet area, built up area and super built up area of an apartment help during the purchase of an apartment?

This information is important as builders can quote any space from 65% to 85% of the super built up area as the carpet area. This helps you to approximately calculate the carpet area on the basis of the built up area as specified by the builder. If this break up is not mentioned in the agreement, demand it from the vendor/builder.

Should I inspect a property before buying it?

Investing in an apartment is one of the crucial decisions of life. Hence, it is essential to inspect any property before investing your money into it. Few points you need to inspect are:
  • Plumbing systems, drainage, water faucets and sanitary fittings
  • Electrical systems, circuit breakers, wires, capacity of the electric metre and functioning of light fittings
  • Roof, walls, ceilings, floors, paint work
  • Foundation, basement and visible structures
  • Doors and windows, latches, locks
  • Structural stability of the building

What points should be included in the checklist for buying residential or commercial property?

Your checklist should include the following points:
  • Property identification
  • Checkout the current market rates of the properties
  • Formulation of commercial terms
  • Distinguishing between negotiable and fixed terms and conditions of the contract, like price, payment schedule, time of completion, etc.
  • Evaluate property related matters
  • Verify all the documents required
  • Ask the vendor to get the NOC (No Objection Certificate) form any of the authoritative source
  • Permanent Account Number (PAN) of vendor and purchaser under Income Tax laws must be ascertained
  • Ensure that property holder's name is changed in all related records like society, electric company, Municipal Corporation, index II etc.

What is a Sale Deed?

Also known as Conveyance Deed, a Sale Deed is a document wherein the seller transfers his right to the purchaser who acquires an absolute ownership of the property.

What is a Draft Sale Deed?

A Draft Sale Deed consists of complete details of the concerned purchaser like advance amount paid, mode of balance amount payable, receipt of the amount already paid, original documents of the property, etc.

What is Khata?

A Khata is an account for assessment of a property and to record details about the property like size, location, built up area, etc. This is required for the payment of property tax.

What is the difference between a Khata and Title Deed?

A khata is needed during the payment of tax. It does not confer ownership. However, the Title Deed is the document wherein a person derives a title/ownership of the said property.

What is a leasehold property?

A property leased to a lessee for a specific time period is known as leasehold property. The lessee pays lease premium and annual lease amount as mutually agreed upon. The land ownership rights remain with the lessor and a prior sale-permission is required if you plan to transfer the property.

What are legal aspects related to buying a property?

While buying an apartment, check whether the property has clear legal titles or not. Check if the developer has the right to transfer the properties. Examine the contract properly with the help of some legal experts before singing it.