Purchasing land and constructing your own house is the dream of almost every middle-class Indian and even NRIs. But are you aware of the issues involved? If not, read on for a ready reckoner of what you need to know before you embark upon building your dream home.
The seller from whom you wish to purchase the land must have bought it from their own earnings or through:
The Hindu Succession Act or the Muslim Law or the Indian Succession Act
A legal will probated by the concerned court
Gift or partition of property or exchange. Verify that a deed has been executed to this effect
A minor’s (person below 18 years of age) share in a property cannot be mortgaged, transferred, or charged through gift, exchange, or sale or in any other manner without prior permission of the court.
Ensure that there is no claim on the property from the government or any statutory body and that the land does not fall under the Urban Land Ceiling and Regulation Act, CRZ (Coastal Regulatory Zone) or Archaeology department restrictions. Also check if the land is designated for residential purpose by the planning authorities.
Ensure that the title of your land is clear.
Register your property.
Get your property valued by an authorized valuer.
Obtain an encumbrance certificate to ensure that your property is unencumbered (ideally for the past 30 years).
Get your construction plan sanctioned from the concerned authorities.
Ensure that all taxes are paid and retain the receipts for record.
Ensure that your property has an independent approach road and is not accessible via a neighbor’s property. Get adequate electrical connections, drinking and cleaning water connections, and provide for facilities such as sewage, garbage disposal, and drainage.
Before constructing your house, it is necessary to obtain certain approvals from the concerned authorities such as the Municipal Corporation, Area Development Authority, electricity authorities, Water Supply and Sewerage Board, Airport Authorities etc. You must submit relevant documents/certificates along with the plan to the concerned authorities. Avoid unauthorized construction or any deviation from the plan to prevent legal enforcement action later on. Try and consult a lawyer or friend with adequate knowledge of such issues to guide you through the process.
Have you already constructed a house in India? In your experience, what are the benefits and pitfalls of having a house in India? Do you have more tips for those who are planning to set up their dream house in India?
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