Image Source : FILE PHOTO Flat registration mandatory in Noida.
In an effort to safeguard the homebuyers, the Noida Authority has made it mandatory for real estate developers to register a flat after receiving 10 per cent of the total payment. The Noida authority also mandated a tripartite ‘sale agreement’ between the buyer, builder and the Noida Authority when purchasing in all new housing developments at Noida in Uttar Pradesh.
New step to promote transparency
The new step is aimed at improving transparency and safeguarding homebuyers. The Noida Authority Board also sought to address longstanding issues within the city’s real estate sector.
As part of the new guidelines, buyers, builders, and the Noida Authority will jointly sign the agreement when a buyer pays the initial 10% of the property cost, ensuring the authority is immediately informed of property ownership transfers.
Till now, flat registration was happening at the time of project completion. But now onwards, the latest guideline mandates it as soon as the builder receives 10 per cent of the flat price from the buyer. The tripartite agreement will be effective at the same time.
How will it help homebuyers?
The real estate experts are of opinion that the latest move will promote transparency and accountability from both developers and homebuyers. They said the new step marks a significant and positive shift in the real estate sector. By mandating registration from the very beginning, the new regulations will promote transparency and accountability from both developers and homebuyers.
Moreover, the move also aims to close loopholes that have previously allowed developers to sell the same unit multiple times or to withdraw from a sale for delayed payments. Cases of duplicate sales in Noida’s real estate market have also surfaced in the past, leaving buyers entangled in disputes when seeking possession.
Apart from this, the Noida Authority also implemented other measures to support the real estate sector, including a rehabilitation package recommended by a committee led by Amitabh Kant.
