📜 Legal & Financial Facts Every Buyer Must Know

Buying a property is a major financial investment. Here are the critical legal and financial aspects every homebuyer in India (especially Maharashtra) should be aware of before making a purchase.

🔹 1. Essential Legal Documents to Verify

Before buying a property, verify these legal documents to avoid fraud:

• ✔️ Sale Deed – Proof of ownership transfer from seller to buyer.
• ✔️ Title Deed – Ensures the property has a clear title and no disputes.
• ✔️ Encumbrance Certificate – Confirms no pending loans or legal claims.
• ✔️ RERA Registration Certificate – Check project details on MahaRERA.
• ✔️ Property Tax Receipts – Ensure no outstanding municipal taxes.
• ✔️ Completion Certificate (CC) & Occupancy Certificate (OC) – Needed for legally staying in the building.

🔹 2. Stamp Duty & Registration Fees in Maharashtra

Home buyers in Maharashtra must pay Stamp Duty and Registration Fees at the time of purchase:

• 🏡 Stamp Duty: 6% of the total property value.
• 📜 Registration Fee: 1% of the property value (Max ₹30,000).
• 💰 GST: 5% on under-construction properties (Not applicable for ready-to-move properties).

🔹 3. Home Loan & Bank Verification

If taking a home loan, follow these important steps:

• ✔️ Check Loan Eligibility – Based on income, CIBIL score, and repayment capacity.
• ✔️ Compare Interest Rates – Look for the best rate among banks & financial institutions.
• ✔️ Verify Property Approval by Banks – Some projects are pre-approved by banks (safer to buy).
• ✔️ Understand EMI & Processing Fees – Calculate monthly payments & any hidden costs.

🔹 4. Hidden Costs You Should Be Aware Of

Apart from the flat price, be aware of these extra costs:

• ⚡ Electricity & Water Connection Charges – Sometimes charged separately.
• 🏗️ Society Maintenance Fees – Check annual/monthly maintenance charges.
• 🚗 Parking Charges – Separate cost for open/covered parking.
• 🏢 Clubhouse & Amenities Fees – Some builders charge extra for clubhouse, gym, etc.

🔹 5. Possession Delays & Agreement Terms

Before signing the Agreement for Sale, ensure the following:

• ✔️ Possession Date is Clearly Mentioned – Avoid delays.
• ✔️ Penalty Clause for Delay – Protects buyers if possession is not on time.
• ✔️ Refund Policy in Case of Cancellation – Important if you change your mind.

💡 Want to estimate your home buying cost? Try our Flat Cost Calculator.