Builder-floor verification.

Builder floors present a unique legal construct. While the land often remains vested with the promoter/seller or jointly held, the flats/partial rights are sold through individual conveyance deeds. Is the buyer of a floor truly entitled to what they think they are buying? What happens to the undivided land left behind? Are the parties really bound by any arrangements they have made for sharing of floors, amenities etc.? Are such arrangements even enforceable?

This is why Adv. BK Singh separates the title two levels deep- at the plot level and at the floor level -right at the start of the discussion with the client. He makes sure that both levels are verified beyond reproach so that a buyer can be certain that there is nobody who has rights superior to that of the owner of the unit he is buying. The buyer should also be able to independently sell his unit.

Builder floors in Delhi NCR also face distinct, on-ground issues -inconsistent quality of construction, partial approvals from municipal corporations and boilerplate agreements on critical aspects such as parking, terrace or staircase areas.

Generic residential house or flat verification reports don't spend enough time diving deep into each layer of rights and obligations specific to builder floors. Only a detailed verification of a builder floor by Adv. BK Singh can help you uncover potential deal-breakers.

No builder floor is built over land that does not have a title. For that reason, Advocate BK Singh begins his due diligence by checking title documents related to the plot for sale-sale deeds, mutation entries etc.- as well as any mortgage or litigation history-to ensure that the seller has the legal right to sell floors built on it.

If the land is still in the name of an individual who has built several floors, then the due diligence verifies that the builder has not restricted himself from selling floors independently and has not entered into any agreement already that would restrict any further sales. For properties held jointly or by a family, this step involves ensuring that all parties have provided their consent to the sale before the buyer agrees to move forward.

Once satisfied with the title of the plot itself, BK Singh then examines the title of the floor in question. This process helps ensure that a buyer does not purchase a floor with a weak foundation- literally!

Floor conveyances by Builders take many different forms. Some Conveyance documents convey the exclusive right to a specific floor and a certain portion of the land as common; others use vague and generic terms that fail to clearly specify what rights to common areas are being transferred. BK Singh studies the operative terms to determine exactly what rights the purchaser is getting.

Important consideration is given to terrace rights; stilt or parking rights; and any exclusive/preferential rights to common areas. Verbal or implied promises by the builder or other owners are differentiated from what rights are legally enforceable pursuant to the conveyance instruments.

If other floors have been sold previously, it is also determined whether the proportionate remaining share of land and common areas are adequate to give the new buyer the same rights promised without infringing on rights already sold.

Many builder floors are developed with some degree of municipal approval - some may be based on a sanctioned plan & occupancy certificate; some floors are built on partial approvals or later regularised. BK Singh looks at any sanction letters/copies of completion or occupancy certificates & any compounding/deviation orders pertaining to that particular floor.

Based on these approvals the as-built condition is analysed versus approved drawings (where available). Major deviations which have not been regularised are noted, as they can impact on insurability, loanability and future transferability.

The review does not extend to structural engineering assessment unless separately arranged; it remains focused on the documentary trail of municipal permissions and their implications for the legal status of the floor.

Litigations between builder-owner of the floors are mostly about staircases accessing their respective floor, terrace area, parking spaces and sharing of maintenance expenses. These issues are sometimes mutually sorted out (mostly verbally) at the time of buying and selling. Advocate BK Singh will therefore check for any written statement/guarantee/floor sharing agreement/society kind of set-up pertaining to these common areas.

If nothing is found on record, the ground reality i.e. what is being practiced is mentioned so that the buyer is at least aware of what he can see now and what could become a problem later on. Not having any preset rules for maintenance is itself recorded as a point to be considered by buyer.

The objective is to ensure that buyer is aware of the reality of routine rights and responsibilities that he will inherit along with his floor purchase.

Verification is done based on plot title deed, floor transfer/allotment deed, building-plan occupancy certificate and if any floor sharing or society maintenance declaration already exists. Lawyers at BK Singh cross check what documents are supplied and check list what important document is absent.

If the seller is builder who has sold this floor but still owns other floors, then it is also verified whether previous sale deeds have already assigned rights which conflict with current sale. Scrutiny is done for all floor transfers successively so that you don't get into an already over-encumbered set of transfers.

Physical survey of flat or measurement of carpet area is not done as part of verification process, unless specifically hired by the client to perform such services.

Advocate BK Singh does not encounter every possible issue with every builder-floor combination. Occurrences of missing occupancy certificates, ambiguous land- share language, absent maintenance agreements or failure to regularise deviations are some examples of gaps encountered. Material deficiencies are documented and explained as to their pragmatic impact upon the buyer.

Items that can be rectified prior to completion are separated from those that will continue to exist with the property. Either way you are empowered to walk away, negotiate further or seek indemnification.

If a reasonable effort has been made to discover information that cannot be found, we disclose that fact so you will understand the limits of the due diligence that was performed.

Selling of a floor by the promoting shareholder himself who has kept the remaining floors for himself is treated different from resale of the floor by an allottee preceding you. Sale of a freshly constructed floor where sanctions are new are different from sales of aged apartments where sanctions were incomplete or subsequently regularised. Advocate BK Singh customizes depth of due diligence as per the variant factual situation

Floors that are in plotted colonies, unauthorized colonies which are regularised later on or those with pending responsibilities of the builder towards the apartment have varied documentary and practical aspects associated with it. Checks are tailored keeping in mind the scope mutually agreed upon.

Structural safety, interior quality and valuation are not part of the standard legal verification unless the client separately engages those services.

Transaction Advisors Advocate BK Singh compiles his findings in an easy to read report covering plot-title position, the floor rights to be transferred, whether the flat is municipal compliant, arrangement (or lack thereof) for common areas and maintenance, and plainly stating material gaps and residual risk.

The findings are clearly organized so the buyer knows immediately what issues are acceptable, what items need to be corrected, and what characteristics will continue with the flat after purchase. You are now able to make a knowledgeable decision, and if required, negotiate with the builder over specifics.

Advocate BK Singh's report is based on documents presented and information received as of the date of the report. Any subsequent change in title, approvals or co-ownership would invalidate the report, and would need to be re-reviewed.

Scope depends on how old the building is, how many floors have been sold and what papers the seller has. We'll provide fee estimates after a quick review of what paperwork you have. Verifications are typically done within a few working days of receiving a complete set of papers. Advocate BK Singh personally reviews every engagement to ensure professional standards and clarity.