Buyers Guide

Home Loan

One of the prerequisites of buying a new property is a home loan. The process of acquiring a home loan can be confusing and tedious. Take a look at the following points that offers information on home loans.

Tax Benefit information

Availing a home loan comes with multiple benefits. Home loans let you achieve your goal of buying a new home and make you eligible for tax benefits. These tax benefits can contribute towards your EMI flow and savings. Take a look at the following points and calculate your tax benefits based on your loan amount.

EMI Calculator


Real Estate FAQ's

As you buy a new home, these questions will answer all common queries about buying and owing a property in India. Use this guide to acquaint yourself with rules, laws and important information.

  • What is the difference between Built-Up Area, Super Built-Up Area, and Carpet Area?
  • What is the difference between the lease agreement and the Leave and License agreement?
  • What are the implications of entering into a lease agreement?
  • There are various implications of entering into a lease agreement such as you have to pay the stamp duty, the lease agreement has to be registered etc.

  • Does a foreign citizen of non-Indian origin require permission from the Reserve Bank of India (RBI) for acquisition of immovable property?
  • Yes. The RBI may grant permission to a foreign citizen of non-Indian origin/foreign companies if the property is purchased for residential use and the consideration is paid by way of foreign exchange.

  • What is the definition of Non Resident Indian (NRI)?
  • Why is it considered necessary to register a property? What is the purpose of registration?
  • By registering the transaction of an immovable property, it becomes permanent public record. Title or interest can be acquired only if the deed is registered.

  • I have a flat which I want to sell and buy a new flat bigger in area. What are my tax implications with regard to capital gains?
  • If you purchase a new flat within two years of the date of sale of the original flat and invest the entire amount of capital gained into the new flat, you will not have to pay any capital gains tax.

  • With reference to the Bombay Rent Act, is there a prescribed percentage of tenants willing to form a society?
  • For instance, 70 per cent tenants out of a total of 32 tenants are ready to form a co-operative housing society.

  • Are there any new provisions?
  • There is no new provision in the new Rent Act regarding the prescribed percentage of tenants willing to form a society.

  • Who does a group of tenants of an old building approach to be able to form a society without the concerned landlord's permission?
  • Approach the Registrar of Co-Operative Societies and file the various relevant documents.

  • In case a tenant is not protected by the Rent Act, what is the procedure to ask him to vacate and what is the notice period that is required to be given?
  • A notice is sent to the tenant, failing which a court case may be filed. It usually takes 10 to 20 years to reach a verdict.

  • With reference to the Bombay Rent Act, can tenants of an old building that was repaired by all the tenants in the year 1995-96 form a co-operative Housing Society without the landlord's permission?
  • Yes, tenants of an old, repaired building can form a co-operative housing society without the landlord's permission. Assume there is a lease agreement for 6 years for a shop with a built-in escalation clause at the rate of 20 per cent after 3 years. The lease expires on a specified date say, March 31, 2000 and the concerned landlord has sent a written letter. It is always advisable to make a new agreement with the landlord.

  • How is the market rent determined?
  • There is no prescribed norm for determining the market rent rate though it can be easily found out by approaching individuals such as brokers, registration authority, etc.

    Buying Tips

    The first step towards buying a property starts from being able to identify the one that suits your needs and fits your budget. With best rates and best quality homes, Godrej Properties offers you a perfect home. However, it is important to select the property depending on following criteria:

    Parameter Questions to be asked
    Affordability Does the location fit your budget?
    Place of work How far is the office from the desired location?
    Market place Where is the nearest market?
    School Where is the nearest school?
    Public transport Are buses/trains easily available from the location?
    Builder Does the builder have a good reputation in the market?
    Availability of water and electricity Is there a steady supply of both?
    Residential/ commercial Commercial areas face traffic jams during working hours and level of noise is rather high
    Hospital/ Medical services Are they available easily?
    Society expenses Is the monthly outgo on the society and maintenance a strain on your budget?
    Security Are the security systems in place, like a professional guard or electronic systems?
    Parking If you own a vehicle, you will need space to park it
    Type of ownership In some areas, property is available only on a power of attorney or "pugree" basis. Getting funding for such properties is a problem.
    Self constructed property (SCP) SCP is a situation where you buy a plot of land and construct a house there. All banks may not fund such projects.
    Under construction property at an early stage Many banks may not prefer to fund such projects. But if the builder is well reputed then it should not be a problem.

    In case of a ready / resale property, you need to bear the following additional points in mind while selecting a property

    Parameter Questions to be asked
    Chain of title It is important to have all the proper registered documents from the proposed seller that declares his ownership. These documents are important for you to garner a loan from the bank.
    Maintenance Check the internal as well as the external condition of the building
    Water leakages A flat with water leakages should be strict no as it adversely impacts the overall condition of the building.
    Condition of the flat Is the paint peeling off or concrete crumbling?
    Neighbours Grumpy neighbours can make life very unpleasant.
    Society transfer charges If they are too high then you need to factor that in your budget.