FAQ

As per Real Estate (Regulation and Development) Act, 2016, “Carpet Area” means the net usable floor area of an apartment, excluding the area covered by the external walls, areas under service shafts, exclusive balcony or veranda area and exclusive open terrace area, but includes the area covered by the internal partition walls of the apartment.

• Sale Deed
• Title Deed
• Approved Building plans
• Completion Certificate - (Newly Constructed)
• Commencement Certificate - (Under-construction property)
• Conversion Certificate - (If agricultural land is covered to non-agricultural)
• Encumbrance Certificate – If any
• Latest Tax Receipts
• Occupancy Certificate – If construction work is finished long time back
• Project RERA registered – If buying under construction

Home loan is the money borrowed from a bank or a housing finance institution on interest for buying / constructing / upgrading a residential real estate property.

Yes, Adequate and necessary process is adopted and the due-diligence procedure is undertaken prior to land acquisition by reputed Solicitors/Lawyers who are working for this industry and Clear Title reports are made obtained.

We start our projects only after getting the required permissions from the concerned planning & development government authorities like – Zilla Parishad, Collector or Municipal corporations. The building plans are sanctioned as per the respective jurisdictional authority.

Select an A partment/Plot which suits your requirement the most and is within your resources or loan repayment ability
Fill in the booking application form, Pay the initial booking amount of as per the terms finalized; payment of booking amount could be by way of a cheque/DD/net banking for the respective project along with the supporting documents like passport-sized photos, PAN Card, Address Proof
Get a Loan sanction or make the full payment towards the amount due towards the sale price prior to the Execution and Registration of the Agreement for Sale agreeing to purchase the Apartment / plot
You can pay the balance consideration amount as per the respective project payment schedule for under construction property.

For a under construction we accept payments as per work in progress chart duly certified by the architect, For 100% down payment please check with the respective sales team for more details.

Installments are to be paid by way of post-dated cheques which is a prerequisite for allotment. The schedule of payment is partly on a time bound basis & partly on construction milestone, basis as mentioned in the payment schedule of the respective project.

Property tax charges, Development charges, Advance maintenance charges, Generator charges, Stamp duty, Registration charges, GST, Legal charges for documentation & registration office charges and any other charges, taxes will be required to be paid as per the prevailing guidelines at the time of possession. In addition, monthly consumption charges towards water & electricity used as per actual will have to be borne by the buyers.

In case you wish to cancel your booking, amount paid towards booking of the apartment/Plot shall be forfeited and the balance will be refunded (subject to statutory deductions, if any) without interest.

Agreement to Sell

For under construction property a Registration of Agreement to Sell is to be done immediately upon issuance of Allotment Letter, receipt of Booking amount, loan sanction letter and other booking formalities are completed.
Registration of Sale Deed will be done for a property where the development work is complete and after the payment of the entire sale consideration, including the additional charges.
Registration will be facilitated by us through an appointed /designated person in the office of jurisdictional Sub-Registrar office.

YES.

It is the customer's responsibility to ensure timely disbursement of all your installments from the Housing Financial institutions (HFI). To facilitate smooth payments, customers are required to issue a consent letter.

Maintenance of the Property will be handed over to the Owner's Association by Shrehit Developers immediately upon registration and handing over possession of all the Apartments/Plots in the Project.

Modifications barring few minor changes are not permitted in apartments.

The connection for basic facilities such as water (either through municipal connection or other sources), and electrical connections (as supplied by state electricity board) are provided to the community on as per the applicable chargeable basis levied by facility provider.

Maintenance of the Property will be handed over to the Owner's Association immediately upon registration and handing over possession of all the Apartments/Plots in the Project.

Yes, there will be a Homeowner's Association. They are in-charge of the common areas and other amenities.

Modifications barring few minor changes are not permitted in Plots.

Stamp Duty is the tax paid for the legal recognition of property. It is paid by the home buyers. You can claim tax incentives of up to Rs 1.5 lakh on stamp duty and registration charges on a new property purchase or construction of a house. However, these benefits are available for only one self-occupied property.

The buyer needs to pay the following taxes:

TDS (Tax deducted at Source) on amount exceeding Rs 50 lakhs for the purchase of property excluding agricultural land.

Stamp duty at Percentage fixed by State Government on Market value as per ready reckoner rate or agreement price whichever is higher

Registration fees at Percentage fixed by State Government (prevalent rate is 1%) on Market value as per ready reckoner rate or agreement price whichever is higher however @ Rs. 30000/- (Rupees Thirty Thousand only) as the maximum amount payable

GST (Goods & Service Tax) is applicable at the rate fixed by the government if the property being purchased from the builder/developer is under conception or construction stage or before offering possession to the buyer. If a `ready to move in' property is purchased from the builder/developer/seller which has a Occupation Certificate then GST tax is not applicable.

Yes, you can execute Special Power Of Attorney to get your property registered by someone else.

Power of Attorney allows a person to authorize another person the right to make decisions regarding the person's assets, finances and real estate properties.

There are two types of power of attorney. First, the 'General Power of Attorney' where a property owner confers 'general' rights. The rights include but are not limited to sell, lease, sub-lease etc. The second one is the 'Special Power of Attorney' where only a specific right is given by the owner to the chosen person.

You can own as many properties as you want.

It refers to the registering of documents relating to transfer, sale, lease or any other form of disposal of an immovable property. Registration is compulsory by law for all properties under Section 17 of Indian Registrations Act, 1908. Once a property is registered lawfully, it means that the person in whose favor the property is registered is the lawful owner of the premises and is fully responsible for it in all respects.

Registration of a property includes necessary stamping and paying of registration charges for a sale deed and getting it recorded at the sub-registrar's office of the concerned jurisdictional area. If a property is purchased from a developer directly, getting it registered amounts to act of legal conveyance. In case the purchased property is a second or third transaction, it involves a duly stamped and registered transfer deed. Nowadays, property registration process is computerized in most states.

• Projects approvals can be verified from the corporation or the sanctioning authority's office.
• Ownership documents can be confirmed from the Sub Registrar's office where they are registered.
• When you purchase a Flat by availing a Home Loan, the Financial institution extending such loan will do all of the above, so it is always advisable to take a Loan on the property, which can be a small amount of the Total price.

Home insurance policies cover the house structure as well as its contents or possessions. Many insurance policies also combine various personal insurance features too.

Home insurance is a type of insurance policy that covers private residences and protects them from unpredictable damages, natural or man-made disasters, burglary and theft.

Yes, lending institutions allow you to prepay your loan. However, these institutions may charge early repayment penalties, which may vary from 2 to 3% of the outstanding principal amount.

It depends from one bank to another. Some banks ask for 1-2 guarantors.

It is generally advantageous to go for a home loan as it helps you in availing tax benefits. However, please consult your CA or tax advisor to discuss the advantages and disadvantages in your case.

In a majority of the cases, the property to be purchased itself becomes the security and is mortgaged to the lender till the entire loan is repaid. A number of lenders may ask for additional security such as life insurance policies, Fixed Deposit receipts and savings certificates.

Yes, you can sell the property with the consent of the banking institution. If the buyer wants to take a loan to buy the property, the process is much easier if he approaches the same bank. In these cases, the bank does not need to release the property papers to another bank before getting the payment.
If the buyer wants to make a payment outright, he can make it to the bank directly. The property papers will be released only after the bank has recovered the entire loan amount.

Yes, a single woman can get a loan. Many lending institutions also have special schemes for them, such as a discount of up to 0.25% on the interest rate.

Generally, banking finance institutions pay around 75 to 85 percent of the cost of the property bought. The remaining 20 % of the amount is paid up front, which is popularly known as the down payment.

On an average, loans are disbursed within 3-15 days after satisfactory and complete documentation and completion of required procedures.

Yes, you can get the benefit on both loans. However, the total amount that you will be entitled to will not exceed Rs 1,50,000 for both the homes.

As per Section 80C of the Income Tax Act, you are allowed separate deductions on principal and interest amount of home loan amount, along with other entities like ULIP, PF, PPF, ELSS and NSC's. In case of principal, you can claim deduction up to Rs 1.5 lakhs while in case of interest, it is Rs 2 lakhs. The amount of stamp duty and registration is also eligible for tax deduction.
It is important to note that the tax break can only be claimed for the year in which the construction is completed.

Home loans are usually accompanied by the following extra costs: Processing Charge: It is the fee payable to the lender on applying for a loan. It is either a fixed amount not linked to the loan amount or a percentage of the loan amounts, apart from this there will some amounts payable towards stamp duty, registration of the Loan agreement Pre-payment Penalty: When a loan is repaid before the scheduled duration, a penalty is charged by some banks, which is known as the pre-payment penalty. Miscellaneous Costs: Some lenders may also ask for documentation or consultation charges.

In fixed interest rate, the interest remains constant throughout the loan period irrespective of the changes in market conditions while in the floating interest rate, the interest can decrease or increase depending on market fluctuations.

The interest on home loans is usually calculated either on monthly reducing or yearly reducing balance. In some cases, daily reducing method is also adopted. Annual reducing: In this system, the principal, for which you pay interest, reduces at the end of the year. Thus, you continue to pay interest on a certain portion of the principal that you have actually paid back to the lender. This means that the EMI for the monthly reducing system is effectively less than the annual reducing system. Monthly reducing: In this system, the principal, for which you pay interest, reduces every month as you pay your EMI. Daily Reducing: In this system, the principal, for which you pay interest, reduces from the day you pay your EMI. EMI in the daily reducing system is less than the monthly reducing system What are the documents needed to apply for a home loan? You have to submit the following documents: Proof of Identity: PAN, Driving license, Voter ID, Aadhar Card Proof of Income: Salaried Applicants: Latest 3 Months salary slip showing all deductions and Form 16 for the last three years. Self Employed Applicants: IT returns for the past 2 years and computation of income for the last 2 years as certified by a CA Bank Statement: Past 6 months Guarantor Form (Optional)

Apart from other criteria and norms of the lending bank, the home loan amount is generally calculated as 30 to 65 percent of your gross income. You can increase your loan amount by including a co-applicant.

The general eligibility conditions are as follows: The borrower should be a resident of India or an NRI Above 24 years of age at the beginning of the loan Below 60 years (65 for self-employed) or retirement age when the loan matures

Yes. One can avail a pre-approved loan from a housing financial institution or a bank.

Under the Pre-EMI option, the borrower is required to pay only the interest on the loan amount that will be disbursed as per the progress on construction of the project. The actual EMI payment starts after the possession of the house.

EMI or Equated Monthly Installment is a fixed amount paid by you to the bank on a specific date every month. The EMIs are fixed when you borrow money from the bank as a loan. EMI's are used to pay both interest and principal amount of a loan in a way that over a specific number of years, the loan amount is repaid to the bank with interest.

Longer the tenure you have, the lesser will be your EMI but higher would be the interest outgo. In shorter tenures, you pay a greater EMI, but the loan gets repaid faster and you pay less interest.

As home loans cover a large sum, the tenure generally varies between 3 to 30 years.

The banks usually offer these nine types of loans on interest: Home Purchase Loan: It is the most common type of loan taken for purchasing a new residential property or an old house from its previous owner. Home Improvement Loan: Home improvement loans are given for executing repair and renovation work at home. Home Construction Loan: These loans are sanctioned to construct a house on a piece of land you have already purchased. The loan approval and application process for these loans is somewhat different from the other commonly available home loans. Home Extension Loan: Home extension loans are offered for expanding or extending an existing house. For example, addition of an extra room, a floor etc. Land Purchase Loan: This type of loan is granted for purchase of a plot of land for both residential or investment purposes. Home Conversion Loans: These loans are available for people who have already purchased a house by taking a home loan but now want to buy and move to another house. With these loans, they can fund the purchase of the new house by transferring the current loan to the new house. Balance Transfer Loan: These loans are availed to transfer one's home loan from one bank to another. It is usually done to repay the remaining amount of loan at lower interest rates or when a customer is unhappy with the services provided by his existing home loan provider and wants to switch to a different bank. NRI Home loans: These are specialized loans, structured to suit the requirements of NRIs who wish to build or buy a home in India. Loan against Property (LAP): These loans are given or disbursed against the mortgage of a property.