The most common problems in real estate that the people face are fake deals, illegal possession, delayed transfer of assets and funds. These are even more prevalent among NRIs, generally, most of the NRIs are facing the Issues related with Property Developers in India
The NRIs face such problems when they either invest in Indian property or when they sell their property in India.
When investing in Property in India
The primary purpose of NRIs for investing in Indian Property is to earn maximum security or returns. Unfortunately, this goes down when they have to face difficulties in the delay in possession of flat or non-delivery of property, fraudulent property builders or fake deals; incurring huge financial losses.
Some of the major issues that investors face is the following:
- Poor quality of the delivered projects
- Issues in the transfer of title of the property in India
- Treachery by the seller/ property developers concerning – showing and selling different properties and land or submitting fake documents or not handing over the property at all.
- Purchased property and land are falling under the city or village survey.
If the area falls under the village part and is agricultural land, it is a massive problem for the NRI because according to the rules of the Indian government, NRIs cannot invest in Agricultural Land, Farmhouses, and Plantation Property.
- If the area comes under the city part, the NRIs are allowed to invest in commercial or residential property in India.
- It may also happen that at the time of investment the property developers do not ask for the registration and the stamp duty but later on the NRIs may face problems because of the lack of such relevant documents concerning these.
- Problems due to the lack of all or some of the following terms in the property agreement:
- date of delivery
- date of possession
- the contract amounts
- regular maintenance fees
- Purchased building non-compliant with the bye-laws and state laws.
- Lack of detailed sketches of structural details/ site plans/ maps, plumbing, drainage, electrical fittings and water supply can lead to various problems in the future.
- Insufficient or Improper or forged signature on the agreement.
Even little negligence can lead to a lot of troublesome circumstances. Although it is challenging to take care of all little nuance, it is essential to do so, and also one should not hesitate from taking adequate assistant whenever required.
It is always advised that one should take legal advice from a professional property lawyer before dealing with any kind of issues related to property developers.