The magistrate had properly noted, according to the session’s court, that there was a prima facie case to establish carelessness on the part of the constructor, which may jeopardize human life and personal safety. “It is apparent from the images that nets are used to protect people and property from harm. The plaster is flaking off owing to debonding in the block, which is a construction-related issue, not wear and tear, according to the report.

Devdarshan CHS filed a complaint with the magistrate court in 2018 saying that a section of the seven-year-old structure was on the verge of collapse. It highlighted two incidents in 2017 in which pieces of plaster from two balconies fell. It said that two automobiles were destroyed and that the damages totalled Rs 2.15 lakh. The group went on to say that audit reports performed by a reputable business and an expert revealed massive fractures, leakage, and seepage that could be seen with the naked eye.

The magistrate’s court-filed proceedings against City Estate Developers Ltd, its directors, and four individuals last year. The complaint was made by the chairman of the CHS, who stated that the builder had constructed the residential-cum commercial building, which consisted of 108 flats, and that the purchasers had been dwelling in the property since 2011.

According to the organization, the builder was obligated to create and register a society but had failed to do so. It was said that the construction was subpar because the materials utilized were of poor quality. In addition, a complaint has been filed with the National Consumer Disputes Redressal Commission.

The complaint was made under provisions of the Indian Penal Code dealing with threatening the life or personal safety of others, as well as common purpose. The maximum punishment under the offence is three months in jail or a fine of up to Rs 250, or both.

The builder and officials, on the other hand, rejected the claims, stating that the building had been maintained by the inhabitants and their committee since 2014, and so they were responsible for upkeep. They said the lawsuit was filed to harass and extort money from them.

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What is Title Insurance?

To protect the buyer of the property, be it a house, land or even a developer who buys land, an insurance company agrees to compensate the purchaser against any loss caused by a defect in the title of the seller in the property.

Under title insurance, you will be paid by the insurance company for any loss in the market value of the property in respect of costs you may incur because of the defect in ownership. At the time you purchase the title insurance, the title defect may be present and that is not known to either the insuring or the insured.

Why Title Insurance is Important?

Section 16 of RERA Act 2016 needs all builders to buy title insurance to undertake anew project also to pursue projects which are unfinished as at the time the law is passed. This provision would help reduce the suffering for innocent flat purchasers if any flaws in the title of the building land are found.

Title Insurance On Completed Projects.

With the fact of price hikes for residential houses, it is vital for the buyer to have an assurance that the title is correct. The builder is required to buy insurance for land and building titles according to the provisions of the RERA prior to moving the plan to the housing society or group of the allottees. The developer must also give the society/association the documents of the insurance. Therefore, purchasers of apartments built after the implementation of RERA must provide title insurance while flat owners who bought the apartment before the enactment of this law, have no title insurance.

The society needs to buy title insurance immediately to protect its members’ interest because the land is usually owned by the housing society and not by the individual flat’s owner. Since the costs of the construction of an apartment are smaller than the costs of the land, the purchase of title insurance in relation to the land that is owned by the society for housing companies is more important.

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Despite India’s property sector being subjected to delayed and stalled housing projects, home buyers are in the need of checking the financial health of a builder, so as to prevent any uncertainty about its completion.

“To avoid risks later it is extremely important for a buyer to verify a project’s financial health. See the company that builds the project, since the constructor can build several projects by various companies. Once the name of the company has been known, you can search online and search for information to understand that company fundamental,” said Sanjeev Chandiramani, Knight Frank India’s national director of capital markets & head west of corporate finance.

You can check the website of the Central Registry of Securitisation Asset Reconstruction and Security interest of India (CERSAI) for information about whether the property is mortgaged from a bank or housing finance company. This was incorporated by the Financial Services division within the finance ministry, which keeps track of all properties for loans.

“Buyers can review documentation sent to the Ministry of Corporate Affairs by a company. Those records can be viewed publicly on the MCA website. Apart from that RERA databases are provided with details concerning the funding of a specific project that a buyer can verify. The third thing is that a customer can search online and access information which the consumers would find useful to the community,” says Abhilash Pillai, Partner, Cyril Amarchand Mangaldas.

RERA portals will also give full details on the real estate project, the developer, the officer, the project plan, properties, the contractor’s name, the name of the architect, the design engineer, the details of the project banks, the land/plot details, the developer’s document uploaded and the four-monthly report. These details can be checked online and accessed via RERA authorities in order to assess the current situation of your project.

Chandiramani stated, “Review the title of the estate with the help of a local lawyer.” He can also verify the land records as buyers usually can not verify. A buyer must take proper due diligence online and offline to figure out whether the developer or plan that he invests in is in any risk or not.

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The property market doesn’t look like picking lost portions and the land still looks brittle. The Knight Frank India report shows that housing units sold (in Mumbai) have increased by 4% in the H1 2019 to 33,731 from 32,412 in the H1 2018 period, for the period January – June 2019, in eight cities. The results in the study show that Mumbai has experienced a 22% increase from 35,874 in H1 2018 to 43,822 in H1 2019.

What still seems to be a disturbing factor is that due to launches that are above sales, the inventory volumes in MMR have risen by 14% YoY to 136,525 units in H1 2019. Furthermore, prices do not seem as much to have adjusted as the customers anticipated. During H1 2019, the weighted average price of MMR decreased by 3% YoY. The prices have corrected by 12% from the peak of H2 2016.

Along with RERA, there is still a need to increase the confidence between customers and builders. The banks still have to pass the repo rate reduction on to the home loan interest, since the transmission is marginal to date. The banks would have transferred 10-30 basis points to their home loan customers out of the 75 base point’s repo rate cut by RBI. Moreover, the GST still spoils as many developers have chosen to implement a previous GST scheme for 12% with ITC for current projects. The liquidity crunch will boost their funding costs and therefore affect the buyer’s interest in light of the continuing NBFC crisis.

Builders and property developers are giving the new buyers free, discounts and deals as “no floor increase, no stamp duties, 2 years free maintenance, no clubhouse charges, 2 years assured rental schemes, multiple schemes for subsidies, deferred plans for payments etc.” Moreover, previous grant schemes and late payment plans were only accessible for projects under construction but they are now accessible in just a handful of OC prepared projects as well.

The buyer’s market interest will take its time until RERA projects begin delivery in the time frame promised and the home loan interest drops below 7% in the present situation.

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Under Secretary, Ministry of Home Affairs and President, CSSOS

With elections done and dusted, the Central Board of Indirect Taxes and Customs (CBIC) is moving ahead with its plan to implement its 12 per cent GST order on balance amount due to the builders. As per the order, Home buyers who have been granted completion certificate by March 31, 2019 will have to shell out 12 per cent GST on their purchases.In a second FAQ released in April, the Central Board of Indirect Taxes and Customs (CBIC) had said that builders will not be able to adjust the accumulated credits in ongoing projects in case they opt for lower new GST rate of 5 per cent for normal and 1 per cent for affordable housing.

In March, the GST Council, headed by then Finance Minister Arun Jaitley and his state counterparts, had allowed real estate players to shift to 5 per cent GST rate for residential units and 1 per cent for affordable housing without the benefit of input tax credit (ITC) from April 1, 2019.

For the ongoing projects, builders were given the option to either continue in 12 per cent GST slab with ITC (8 per cent for affordable housing), or opt for 5 per cent GST rate (1 per cent for affordable housing) without ITC. Though the deadline to communicate the tax structure to the respective jurisdictional officers was to be made by May 20, the implementation had been slowed down due to ongoing elections.

It’s a downer. We were expecting the rates to remain at 5% slab. The changed rates will not just slow down the implementation of Housing for all initiative but will also accelerate the already spiraling bad loans in the debt-riddled sector.”

We are still hopeful that the government will come with some measures of relaxation, especially for the customers who have already paid some part of their payment. The government must also either rollback the retrospective implementation of new tax slabs or provides a sunset period of at least a year so that finances of the home buyers are not impacted drastically.

In addition to the changed rates, the council had also decided that exempted goods procured by a builder under the new tax regime would not be counted within the 80 per cent limit set for procurement from registered dealers, which effectively curtailed the developers ability to avail the credit entailed on an additional tax of 18 per cent on value of exempt supplies.

With the onus of opting for new GST rates shifted to developer instead of the land owner, the move is expected to not just put undue pressure on developers but also on home buyers who will ultimately foot the bill under the new system. It’s highly unlikely that developers will stick to the old rates and this surge in additional taxes will eventually find its way to the buyer’s pocket.

“If immediate relief measures are not put in place, it will undo much of the success that we have achieved of late in housing sector, starting from RERA, Delhi LPP, infrastructure status and so on. Developers in the sector are already under severe resource crunch, as are home buyers. Such high taxation will not help anybody.

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Mumbai, June 28^th, 2019: Runwal Group, one of Mumbai’s leading real estate developers today announced the launch of its new project “Runwal Pinnacle” at Mulund West, Mumbai. Runwal Pinnacle will not only feature the tallest towers in Mulund, but will also provide breathtaking views of Airoli Mangroves & Bay on one side and Sanjay Gandhi National Park on the other. Designed by Architect Hafeez Contractor, the apartments at Pinnacle will comprise of premium 1, 2 and 2.5 bed residences with carpet areas starting from approx. 450sq. ft. onwards. The project is strategically located on the Goregaon-Mulund Link Road offering excellent connectivity to business districts and leisure options like malls, high streets, hotels, theatres and parks. The location also provides effortless access to educational institutions, hospitals, amusement hubs, restaurants and more.

Speaking on the occasion, Mr. Subodh Runwal, Director, Runwal Group said, “We are delighted to announce the launch of our new project, Pinnacle, at Mulund West. I am confident that after Runwal Greens, we will successfully deliver another landmark at Mulund. Runwal Pinnacle will not only have the tallest towers in Mulund, it will also be an excellent lifestyle address. Runwal Group will continue to delight customers through developments which are a blend of superlative design, quality construction and luxurious living.”

Runwal Pinnacle located at Mulund, is a perfect blend of connectivity, convenience and lifestyle. It not only provides easy connectivity to all the parts of city but also to neighbouring Thane and Navi Mumbai. Key business hubs like BKC, SEEPZ, MIDC and International Airport are easily accessible via the Eastern Express Highway, JVLR and SCLR. The project is also close to all public transport transit points. Mulund will soon be a short drive away from Goregaon. The upcoming six lane Goregaon-Mulund Link Road connector will cut down the distance between Mulund and Goregaon to a mere 12.5 km (approx). So whether it is Film City, Westin Hotel or the IT parks in Goregaon, they will all be within easy drive times.

Life at Runwal Pinnacle is not just about a beautiful apartment. Residents can pamper themselves with a wide range of club, sports, recreation and fitness amenities inside the building. Twin level gymnasium, mini theatre, basketball, business centre, mini theatre, kids’ play area, indoor games, swimming pools, rooftop barbecue lounge and star gazing deck are just a few of the amenities on offer. There is something for each member of the family to be thrilled about. It offers a 9 level elevated car park in addition to multiple basement parking levels. Smart home automation and advanced security systems will further enhance life at Runwal Pinnacle. It is the perfect address to invest in a better tomorrow with a great location, superior lifestyle and beautiful homes.

About Runwal Group

Mumbai based Runwal Group was established in 1978 by its visionary Chairman – Mr. Subhash Runwal. Four decades later, the group has emerged as a leading name in Mumbai’s real estate sector with a huge portfolio that comprises of over 65 projects and millions of square feet of quality developments. With 50 delivered projects, the group has brought smiles to more than 25,000 happy families across all corners of Mumbai. Apart from residential projects, the group is also a pioneer in the mall development arena and is well known for its iconic project in Mumbai – R City. Runwal Greens at Mulund, Runwal Bliss in Kanjurmarg East and Runwal Forests in Kanjurmarg West are amongst the group’s recent projects known for their quality lifestyle offerings. Runwal Greens was recently completed and has already evolved into a vibrant community, a landmark in Mulund.

Each project is spread across a large expanse with huge open green spaces and premium amenities, fulfilling the dream of every home-buyer to live in the lap of nature away from hustle and bustle even while being in the heart of the city.

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Digitisation is a method that influences every sector and transforms it. As we enter the fourth stage of the industrial revolution, where digital technologies are deployed to shift our lifestyle from transport to health and education. Digitalisation also transforms the property industry in terms of construction, property governance, advertising and sales as well as the advent of ‘smart housing’ and a skilled working environment. The Indian real estate market is anticipated to reach USD 180 billion by 2020, according to the India Brand Equity Foundation (IBEF).

The residential industry alone makes 5% to 6% of the gross domestic product (GDP) of the country. In the coming years, technology will probably speed up the growth in real estate. Since the land is a crucial commodity in real estate, which is an important price element of any transaction, it is worth noting that only a few nations held an electronic public property register up to now.

Many states in the nation have yet to digitize fundamental survey documents, sketches, maps, etc. In recent years the village maps, indicating limits and/or documents, including the names of the occupants, have been the majority of property documents in the nation. In addition, distinct kinds of data such as maps and sales documents are retained at the village level. These services operate alone and their staff absence digital access training. Because of the absence of retention of rationalized land documents, conflicts over land ownership have occurred. For the better maintenance of property documents, a digital department must, therefore, be set up.

Current Status of Digitisation of land records:

In the early 1980s, land documents became an objective of the government of India in order to contain and check estate frauds. In August 2008, the Indian government introduced the Digital India Land Records Modernisation Programme (DILRMP). The main goal of the program was to computerize and improve the transparency of all land records including mutations, digitalize maps and surveys, update all settlement records and to minimize the extent of land disputes. In order to enable fastened operations, digitisation would offer definite land ownership titles which government authorities can readily monitor. This will also decrease construction time and the developer’s overall expense, whose advantages can be transmitted to the customer and make estate rates more appealing.

Advantages of digitisation:

The government’s Digital India mission will also be directed by the digitalization of land and property records. A complete computerised compilation of land data, starting from the original owner to the present status of the land, including an image of the property and the landowner for identification purposes, will reveal the total area of land owned by a person. To update the documents, a new report must be carried on each piece of property at periodic intervals. This helps to prevent conflict between the government and private land. Digital transparency will render it hard to avoid property tax for the general public.

Digitisation can speed up the property procurement method, making it work on its Smart Cities mission or planning industrialisation simpler for the government. Digitalization will provide the property owner with the right information of a particular property. The purchaser can verify whether the property is in dispute. If a customer wishes to purchase an estate from a builder, he or she can verify whether it complies with all the rules. Similarly, before purchasing a plot of land, digitation helps the purchaser to examine for transparent market pricing.

Benefits of digitisation in real estate:

1) Transparent land record management.

2) A single window to handle land records, including maintenance and updating of maps, survey and registration of properties.

3) Easier online approvals of plans and occupancy certificates.

4) Clarity over ownership status.

5) Greater ease of doing business in the sector, by making it simpler for the developers and buyers to check the authenticity of the land or the property.

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How will you feel when you see your future flat blueprint to be great but in real builder doesn’t fulfil all the said commitments? As a buyer, you will feel cheated right? A similar kind of case happened at Goregaon East where a Residents of a 31 storey tower have sought intervention from the housing regulator Maharashtra Real Estate Regulatory Authority in their dispute with VGS Realty Construction Pvt Ltd, a group company of Omkar Developers. The residents claimed that the builder had washed its hands off the project without providing promised amenities and completing it.
The Omkar Ananta residents, the SRA project component, alleged that the developer marketed the project with a long list of amenities including a double-high entrance lobby, a jogging track, a swimming pool, a landscaped garden, a health & fitness center, a playground for children and an acutherapy walkway, but none have been forthcoming even though they have made 100 per cent payment while taking the fit-out possession in 2017.
Omkar Ananta was proposed as a 31-story project on the top of a rocky hill, consisting of wings A, B and C. The project was designed to have A and C wings in the same building whereas the B wing was a separate structure with all the amenities between the two buildings. In October 2017, residents were fitted out, but they said there is no sign of the developer has started work on the B wing. Slums are still in the B wing plot and have been denied all facilities.
We had shown fancy brochures promising every comfort and we could not even see our flats until 100% of payments were made and fitout possession papers were signed. We realized there are many problems in the internal fittings after taking possession. In addition, new projects are being initiated by the developer, but they are non-committal on when we will get these amenities.
One of the resident Srikrishna Mohanta, who lives in Flat C 1104 said, “The management is not answering to any of our calls.”
Another resident named Urmila Singh, who lives in flat A 202 said, “There is no connection to BMC water. Four tankers have been provided by the developer each day. The gas piped line has not yet been provided. Parking for all of us is not enough. The elevators are not backed up by power and fire safety equipment has not been properly installed. There is only one entry/exit into the building and fire engines cannot be fitted in the event of a fire. We wonder how the SRA awarded the project Occupancy Certificate with these fundamental things missing.”
When the residents approached the MahaRERA to request the registration of the project, they were told that it would be impossible to register for a current real estate project once OC was granted. “SRA granted the OC on 29 April 2017 only 2 days before the entry into force of RERA on 1 May 2017. But the project is unfinished and should be registered with MahaRERA, “said C403 resident Krishna Keshav.
Bharat Dhuppar, Omkar Developers CEO, Western Region, has denied that it has discharged its B wing construction responsibilities, stressing that all of the facilities had been designed to take an integrated Phase I and Phase II of the project into account. “Following the completion of Phase I, we could not begin Phase II; and B wing was to be developed in Phase II. However, the real estate scenario was turned so dreadful. There’s a market downturn. In addition, due to the NBFC (non-banking financial institution) crisis, the liquidity scenario has deteriorated. But we will soon complete the B wing and residents will have all the amenities, but we can not give an approximate or exact timeframe from now on because of the market scenario, “said Dhuppar.
He says BMC water connection compliance is in an advanced stage. He responded to a fire-safety lacuna and complained that elevators were not backed up by power: “We wouldn’t have OC in the first place without fire safety compliance. In case of power failure, the elevators are equipped with the necessary Auto Rescue equipment and the elevator will be opened automatically in case of a power failure. Back-up generators are not essential in accordance with fire standards, but we want to install them soon so that elevators work smoothly even if the power failure happens.”

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Thakur Village, Kandivali, residents of an elegant building alleged the builder had forcefully seized the parking slots despite a civil court’s residency order to use/sell the disputed parking spaces. They even complained to the police of Samata Nagar that Raheja Universal Private Limited was acting in disregard of the court since it had asked all concerned individuals to wait until the verdict was issued.

Raheja Eternity residents approached the police on Friday after some of the builder’s attempts to break the partition wall separating parking areas. They also mentioned in their complaint to the police, that the presence of bouncers in the building makes women feel uncomfortable.

The building in question is a complex of 20 floors, with 229 apartments in three wings. Residents claim 608 parking spots were allocated according to the original building plans, but the constructor gave them 389.

In November 2017 they filed a case against the builder in the City Civil Court, which had fraudulently allocated the remaining plots to the nearby Raheja Odyssey building.

In December 2017, in a month after the case was brought, the residents lodged the first complaint with the Samata Nagar police.

One of the residents says, “With a stay in the use or further allocation of the disputed car park, the Civil Court gave an order in our favour. The builder then called this decision into question in the High Court and still is a sub-judge. The developer, however, made a temporary office space in the building and set up several bouncers to keep a security guard near the parking space.”

“They cheated us first, and they could not even comply with the court orders now. This week, the police ignored our first complaint. We hope that this one is taken seriously,” said another resident.

On 15th May, the residents also contacted the police with a written complaint about the wall demolition. In addition, the complaint was signed by at least 40 building owners.

But a company spokesperson said the society has the habit of making fake complaints against the developer. “The Samata Nagar Police Station received similar complaints in December 2017. The police submitted a close-out report shortly after it was lodged, as the complaint was civilian in nature. When the RUPL representative talked about the present case, the RUPL said, “The car parks which the society now claims are not part of the pending legal action before the Court of Dindoshi. These parking spots, however, are part of the approved plans for the Odyssey building, which is the neighbouring building.

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Occupancy Certificate is a significant report which shows that the structure was built in accordance with acceptable plans and local legislation. After ensuring that all local regulations are complied with, the local municipal company issues this paper. The builder shall receive the certificate of occupancy. Many financial institutions request a certificate of occupancy while providing loans to property purchasers.

The High Court ruled that once an occupancy certificate (OC) is issued and possession is transferred to flat purchasers there would be no reason for the construction worker to delay the conveyance.

The developer of Mayfair Kumkum building at Andheri (West) filed a petition which was considered by a division bench of justices Indrajit Mahanty and Anant Badar. They challenged a 2018 order of the competent authority granting a certificate of deemed conveyance to the society.

“When the promoter has obtained the complete occupancy certificate and when ownership is transferred to the owners (property buyers), it is not justified that the conveyance certificate has not been given for the benefit of society,” the judges stated.

The builder argued that he had the right to additional FSI in accordance with fresh regulations. The bank refused to comply and pointed out that in May 2018, the Authority granted the order considering deemed conveyance, and in November 2018, the shift in the Development Control Regulations was given.

The judges said, “In our perspective, the promoter has contravened the criteria set out in the Maharashtra Ownership Flats Act by not influencing the conveyance considered in favour of the community, and the qualified authority was fully justified in providing the guidelines for the considered conveyance.”

The company was created in 2013 and in September 2014 OC was granted They went to the assistant secretary, appointed by the MOFA as qualified authorities, seeking deemed conveyance. The company stated that, according to rules, transmission should have taken place within four months of receiving OC. The promoter asserted the request of the society was early since after five years the purchase contract stipulated that the housing was to be provided.

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