Real Estate – National Consumer Helpline

Real Estate Reviews & Complaints

Reported By: cadhruvkumar

Contact information:
Real Estate

Food, Clothing & Shelter are considered essentials of life and every Human Being carries a sweet dream of owning a sweet Home in his life. Customers have very little knowledge of real estate business whether in public sector or in private sector and there is wide gap between the demand and supply. Customers are being victimized due to these reasons in the Real Estate Sector.

Frequently occurring problems are:

• False assurances about provision of various amenities.
• Delays in handing over possession even after making full and final payments. • Clandestine sale of disputed properties which do not have a clear title.
• Wrong measurements and usage of sub- standard materials.
• Charging of more money than agreed.
• Construction not completed within the promised duration.
• Not giving promised / booked plot / flat.

The aggrieved investor /consumer does not want to approach the Consumer Forum / Civil Courts for redressal as he apprehends that this also is time consuming process and a choked system of delivery. There is no Regulatory Authority in this Sector as in other Sectors like Banking, Insurance, Telecom, Stock Investment etc. The committee constituted by Ministry Of Urban Development has already recommended Government of India to consider setting up of Regulatory Authority in the Real Estate sector.

Purchase a property prudently-

To safe guard yourself, be an enlightened consumer Precautionary measures, while purchasing a property-

1. Whether the concerned realtor has obtained C.L.U. [commercial land use certificate] or permission letter from the competent authority wherein he is setting up Project for sale .
2. Do extensive survey about the market rates and negotiate.
3. Ascertain and confirm the target completion date.
4. Ascertain the date of possession when the property will be handed over to the buyer? Discuss penalties for delays.
5. There should be clarity about provision of Gardens, Public utilities, Electricity, Roads, Water and Sewage etc ,which should be defined elaborately in the plan. Whether the buyer will have to pay extra charges for the above mentioned facilities.
6. When buying property from the developer check carpet area, built-up area and super built up area, payment terms , study complete technical specifications of the design and material etc .
7. Ensure that the design offered is earthquake resistant.
8. Always insist for complete original documents and check the owner ship of the Property to be purchased. Certificate of non encumberance i.e. free from any dispute all dues including municipal taxes electricity, water and sewage etc paid.
9. If original documents are not available, make counter check of the ownership from the available photocopies. Verify the ownership from developing authority /Municipal Corporation or Tehsildar /Sub Registrar office.
10. If the property is to be transferred by means of Power of Attorney verify whether the attorney holder has the authority to sell the property.
11. Make proper verification /enquires regarding the property and the neighboring land by examining the site plan properly.
12. Find out whether the property is mortgaged /hypothecated with a bank or under civil/criminal dispute.
13. Find out whether the property is free from any encroachment.
14. Ascertain whether land to be purchased comes under acquisition notification of Govt. u/s 4 & 6 of land Acquisition Act.
15. Verify whether the property is rented or partly sold out.
16. Get a certified copy of every document from the concerned Sub Registrar/ Tehshildar office.
17. Ensure that payments are made through cheques / DDs in the name of vendor against a proper receipt likes sale deed, Agreement to sell etc.
18. Ensure that signatures/fingerprints are made on the documents by the vendor.
19. No sale is complete without signatures of both the parties.
20. Customer should obtain a written agreement from builder. This written agreement will shield him at all times against exploitation by the realtor.
He can approach consumer court against breach of any of above conditions.

Here, some land mark judgments can be quoted which were delivered by several Forums / State Commission.

(1) Distt. Forum of Chandigarh decided a case vide title Inderpaul Singh & others vs. TDI Infrastructure Ltd. In this case Distt. Forum directed the Ops to refund the amount of Rs.7,25,000 /- along with interest @10 % p.a. since the date of deposit till the payment is made, they should also pay Rs. 50,000 /- as the compensation to the complainant. The aforesaid amount along with litigation costs of Rs. 5000 /- shall be paid to the complainant. (Vide case No. 1429 of 2009 of Distt. Forum CHD.

(2) Ghaziabad Distt. Forum delivered a verdict on execution of their previous order. The Forum sentenced a Ghaziabad Development Authority secretary to six months imprisonment for not giving possession of a house to its allottee for 14 years. Forum Chairman Arun Kumar also imposed a fine of Rs 5000 on GDA Secretary Narendra Kumar, a Senior PCS officer, and directed the Ghaziabad SSP to arrest him. (Vishnu Dutt Dimri vs. GDA, C No 299 /1997 DCDRF Ghaziabad)

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