CAUTION – APARTMENT BUYERS – PRE LAUNCH OFFERS FROM LITTLE KNOWN OR UNKNOWN GROUPS


PLEASE BE CAREFUL AND CONDUCT DUE DILIGENT EXAMINATION AND THE SCRUTINY OF THE DOCUMENTS, APPROVALS AND COMPLIANCE OF THE PRE LAUNCH OFFERS FROM UNKNOWN, LITTLE KNOWN, DISREPUTE OR STRANGE GROUPS.

DO NOT MAKE ANY PAYMENT OR NOR GIVE ANY MONEY, UNDER ANY CIRCUMSTANCE WITHOUT PROPER AND DILIGENT TITLE CLEARANCE AND APPROVALS FROM THE APPROPRIATE DEPARTMENTS AND BODIES.

EXERCISE UTMOST CAUTION:

BUT, BUYING IT FROM WELL KNOWN AND STANDARD BUILDERS ARE RECOMMENDED.

ALWAYS PREFER THE BEST AND THE TOP BUILDERS LIKE

BRIGADE, STERLING, PURUVANKARA, MANTRI, SOBHA, TATA, GODREJ, DLF, HIRANANDANI, SHRIRAM, PRESTIGE & ADARSH  etc, even, if there are any minor issues, they are capable of resolving it and fulfill their commitments and promise.

DECLARATION CUM INDEMNITY BOND SIGNED BY THE HOME LOAN BORROWERS


HOME LOAN BORROWERS ARE UNAWARE OF THE FACTS THAT AT THE TIME OF AVAILING THE HOME LOAN EITHER FOR THE PURCHASE AND CONSTRUCTION OF THE HOUSE(COMPOSITE LOAN) OR FOR THE PURCHASE OF THE HOUSE OR APARTMENT, A DECLARATION CUM INDEMNITY BOND WILL BE SIGNED AS PER THE DIRECTIVES OF THE RESERVE BANK OF INDIA, WHICH GENERALLY CONTAINS THE FOLLOWING CLAUSE:

DECLARATION CUM INDEMNITY BOND EXECUTED BY THE BORROWER IN FAVOUR OF THE BANK

 Further I indemnify XXXHFL(BANK) from any losses, interests, claims or rights, financial or otherwise if any, arising out of non availability of documents, minor’s interest, litigation, non regularization of deviations in constructions etc and other acts of omission/commission in connection with the said    schedule property and construction /development as mentioned above and declare and assure that the Schedule property has been constructed as per sanctioned plan from XXXXX and if at any point of time, ever proved otherwise, the XXXHFL(BANK) may initiate action for the recovery of the loan.

 

FORFIETURE OF EARNEST MONEY DEPOSIT/SECURITY DEPOSIT/ADVANCE PAID FOR THE PURCHASE OF PROPERTY


Advance/ Security Deposit/Earnest money is paid or given at the time when the contract is entered into and, as a pledge for its due performance by the depositor to be forfeited in case of non-performance, by the depositor.

It (Advance/earnest money deposit/security deposit)represents the guarantee that the contract (clauses in the sale agreement) would be fulfilled by both the parties.  In other words, ‘earnest’ is given to bind the contract, which is a part of the purchase price when the transaction is carried out and it will be forfeited when the transaction falls through by reason of the default or failure of the purchase.

To justify the forfeiture of advance money being part of ‘earnest money’/ `security deposit` the terms of the contract must be clear and explicit.

If the seller fails to perform the contract the purchaser can also get the double the amount/whatever the amount stated in the agreement, if it is so stipulated.

In case if the payment made is that of part payment of purchase price/consideration, then, it cannot be forfeited unless it is a guarantee for the due performance of the contract.

If the payment is made only towards part payment of consideration and not intended as earnest money then the forfeiture clause will not apply. 

 

B-KATHA – HOME LOANS


IT HAS COME TO OUR NOTICE THAT SOME BANKS ARE OFFERING HOME LOANS ON `B` KATHAS.  

PLEASE DO NOT SEEK THE DETAILS OF THE BANKS, WHICH ARE OFFERING IT,FROM US.

THE SANCTION/OFFER OF LOAN WILL NOT CONFER ANY RIGHT, TITLE AND INTEREST AND THE BUYERS ARE ADVISED TO BE VERY CAUTIOUS BEFORE THE PURCHASE.  THIS IS FOR YOUR INFORMATION.

Pre closure/foreclosure charges for home loans – Government Directions –


Government, in May 2010, advised Public Sector Banks, Indian Banks’ Association and National Housing Bank that no pre-payment charges may be levied by the lending institutions when the loan amount is paid by the borrowers out of their own funds; and if any pre-payment charges are to be imposed on housing loans, the same need to be reasonable and transparent and not out of line with the average cost of providing these services. 
The Public Sector Banks (PSBs) have reported that by and large they do not levy any pre-payment charges when the amount is paid by the borrowers from their own sources. 

In general, own funds means funds generated through ‘own sources’ and not through borrowings by any lender. Prepayment of loan by a borrower can take place on account of (i) takeover of his / her loan by other lender, and (ii) out of their own sources. In the first case, the borrower often gets their existing loan refinanced by other lender, if the interest rate offered by other lending institution in the market was lower and attractive. 

In terms of RBI guidelines, in the context of granting greater functional autonomy to banks, freedom has been given to scheduled commercial banks, including public sector banks, private sector banks and foreign banks, on all operational matters pertaining to banking transactions.

DID YOU BUY `B` KATHA PROPERTY ?


IF, YES, YOU CANNOT TRANSFER IT TO YOUR NAME AND NOR CAN YOU SELL IT NOW.  YOU HAVE TO WAIT FOR AKRAMA-SAKRAMA OR ANY OTHER REGULARISATION SCHEME. B KATHA IS NOT USEFUL TO GET THE LOAN AND BUILDING PLAN WILL NOT BE SANCTIONED.