The realty scene in Bangalore is the best when compared to other metro cities in India because there are a lot of transactions taking place on a daily basis, throughout the year. Watching land prices has become akin to watching the Sensex or bullion prices as they not only keep varying from day to day, but also from area to area. This scene spells out an all-round economic prosperity which seems to have rubbed off onto the other sectors of the economy too.
A talk with various leading builders revealed that most investors were non-resident Indians and also businessmen from other parts of India. The disintegration of the joint family system, the green pastures of the job scene and a sense of social security are apparently the inspiring factors for this trend. Random statistics given by a local real estate dealer, Chandrappa, covering 20 builders in various capacities, revealed that the ratio of property buyers was in the proportion of 1:4, where only one out of every four buyers happens to be a native Bangalorean.
The buck with ‘muck!
When one tries to delve into the reasons for this pattern, the most obvious cause that emerges is that the population of native Bangaloreans matches that of the immigrants. But the issue is not merely about numbers. Apparently, City-dwelling buyers and sellers of property are aware that the legalisation of property is a Herculean task. To put it in the words of R M Seshan, a retired bank officer, “ Buying property by way of investment is a far more easier task as one can pass the buck along with the muck whenever the need arises — but if one chooses to put the property to personal use then a whole lot of legal factors raise their ugly heads.“
It is really no wonder that in spite of an apparent surging progress, the land developers, builders and prospective buyers are not a very happy lot nowadays. They are frustrated as their properties are yet to be registered. Though at the outset they recognise that the BDA, BIIAPA and the BMRDA are trying to set right and organise the city and correct the various existent anomalies by way of Sakrama, at the personal level they feel vindicated for no fault of theirs.
Practised malpractices
On conditions of anonymity some buyers and builders revealed that the papers of properties like sites or houses hardly had any element of truth. Sometimes two or more people have been sold the same property with all the right papers in which the owners have been named differently. In some cases the building has been sold to one person, and the site in which the building stands, to another. There have also been several cases of people buying non-existent sites which have a location only on paper. Then there are also buyers who buy a house or site without a clear title or sometimes under litigation. They base their purchase on the promise that matters will be resolved at the earliest, only to find that they have inadvertently stepped into a whirlpool of sorts.
These instances not only led to confusion and bitterness among the buyers but have also resulted in the loss of precious time, mental peace and savings of a lifetime.
Once again, on strict conditions of anonymity some buyers and builders revealed several grievances which forbade them from completing the project that they held so close to their hearts. Some buyers said they were seriously contemplating selling their partially constructed houses or apartments and their land. They feel their capital will fetch them a better interest if deposited in a bank. Many projects which begin with great dreams, end up in a lot of distaste with all the bickering and mollifying that goes on between the seller and the buyer.
Educated follies
The khatha and registration of sites and buildings is a Pandora’s Box by itself. One broker who has been earning his living by merely signing as a witness outside the registration office, smugly remarked that no one can stop the aberrations as long as the educated choose to play illiterate and sign where there are ‘X’ marks on the relevant papers. Lawyers who deal with property issues rarely fight a case to the end as the long-drawn-out procedures prompt one of the parties to compromise or simply give up because they can see that no logical conclusion is likely to emerge out of the situation at any rate.
Then there are other property buyers and sellers who bend backwards to register their ancestral property for a ridiculously low amount in the hope of avoiding taxes and generating some black money for themselves, little realising that they are unwittingly paving the way for a lot of unseen trouble in future.
It is ironical to note that the buyers who are willing to invest lakhs, sometimes even crores of rupees in property, fail to do their basic homework. They are blindly led by the nose by scintillating advertisement and rarely bother to verify whether the contents of the write-up, match the real property scene.
It is best to be on your guard and make absolutely sure that your developer has the approval of the appropriate authorities.
If your newly acquired property does not fulfill legal requirements of the Land Revenue Act, the Land Reforms Act, the Town and Country Planning Act and BMRDA Act, you are likely to pay various statutory fees and levies which have not been paid by the developer.
But then Rome was not built in a day. People sometimes learn only the hard way. If buyers do their homework well they will never regret their investment. After all well begun is half done….
Note
The following information is available on the internet in all sites relating to buying property in Bangalore.
Before buying land or a house, check from the survey number of the site whether it is a Gramathana or Revenue Site as notified by the BDA (even if you are told that it is).
Find out whether the particular area has been included in the CDP (Comprehensive Development Plan) of the BDA.
Even if it is a BDA site, take the documents from the BDA office and have them verified.
If a developer claims that he has got the NOC from BMRDA/BIAAPA/BDA/ local planning authorities, it is only a clearance to procure other clearances from other agencies. But they have to invariably get the sanction of the above authorities concerned, regarding approval of layout.
Do not buy any site in the layout without verifying the seal and signature of BMRDA/BIAAPA/BDA.
