Buying a property is a huge task. You need to conduct a thorough research on the plot, the builder and other factors before making a decision. It involves a lot of paperwork and one has to follow many laws. One is also required to visit the plot regularly and deal with the concerned parties.
This process can become very difficult if a person is not aware of all the property requirements. Thus, when you plan to buy a plot, a house or a flat, ensure that you are aware of the procedure and the requirements when it comes to documents, funds etc.
Difference between the Lease Agreement and the Leave and License Agreement
It is important to understand the lease agreement and the leave and license agreement of a property.
A Lease is a transfer of property for a fixed period of time. The original owner of the property is called lessor and he transfers the right of the entire property for a particular period. The person who gets the property is called the lessee. The lessor can lease the property for however long he wishes to.
A License allows a license holder to occupy the licensed property for a specified time period. The license is mandatory to own a property entirely and lawfully.
You need to register and pay stamp duty in both cases. The stamp duty in case of a lease agreement is higher than the stamp duty in case of the leave and license. If the holding period of the property is over three years, the stamp duty applicable is the same.
Difference between Built-Up Area, Super Built-Up Area, and Carpet Area
When you are buying an apartment, the area is classified into three parts.
Carpet area: This is the area of your apartment which a carpet can cover actually cover if required. In other words, it is the actual livable area.
Built-up area: It is the area which the walls of your apartment cover.
Super built-up area: If your apartment is part of a complex, the common areas of the complex such as the stairs, lift, lobby, etc. are called the super built-up area.
Why is it considered necessary to register a property?
The registration of your property is imperative. It is the process of maintaining an official record and having a proof that the property is owned by you. Any use of the property can only be allowed by you if you are the registered owner of the property.