Wednesday, August 30, 2006
The case to opt for a reputed builder
Satish Arora (name changed), a resident of Bangalore, wanted to buy an apartment which had all the facilities he wanted and was located near Sahakarnagar. He was shown the plan of an upcoming apartment block after visiting it. The real estate agent who helped him introduced him to the builder. The C wing of the block was under completion and two flats were yet to be sold. Arora was told that the northern and southern sides of the apartment had a scenic view. A clubhouse and a swimming pool had been planned on the northern side.
An impressed Mr. Arora quickly struck a deal with the builder after reaching an understanding on the modifications he wanted to be made to the apartment. Mr. Arora paid an advance of Rs. 2 lakh to begin with. He later gave Rs. 7 lakh while entering into the sale agreement and another Rs. 10 lakh as part payment.
A few months later, Mr. Arora was in for a shock. The northern side view of the apartment had been completely blocked by another upcoming apartment that would also block the sunlight and air flow into the building!
Mr. Arora, who consulted the builder, was told that he should have seen the building plan before booking the apartment. He quickly realised that he had been shown the wrong building as apartment C!
Agreement cancelled
The alterations he suggested were not carried out. And a room had no window! Moreover the builder refused to make any further changes vis-à-vis the apartment. Mr. Arora had no alternative but to annul the agreement, after requesting the builder to return the advance payment.
"After making several calls, the builder gave a post-dated cheque after coercing me into agreeing to part with five per cent of the amount being deducted towards cancellation charges and other alterations. Only after this, the balance amount was paid," Mr. Arora bemoans. In the process, he lost a whooping Rs. 3.25 lakh.
Every hardworking professional dreams of having a luxurious life in a state-of-the-art apartment, that promises him/her of a fully equipped clubhouse, a swimming pool to cool tired nerves, a gym to help keep fit, and all the amenities provided under one roof. But before you go ahead and sign the papers, check the facts.
Sold to many
Alok Nath (named changed), a paediatrician, returned to India from the U.S. some time ago. With all his savings, he decided to construct his own residence. He narrowed down his choice to a 50x80 plot in Basaveshwarnagar and bought it.
When Dr. Alok decided to commence the construction, there others claimed that the property was theirs. Sadly, the property had been sold to them also and they too had the relevant documents!
It was a traumatic experience for the doctor who had invested a large percentage of his life savings in the deal. To this day, the doctor has not received the money invested. He continues to fight his case.
Precautions
Such cases are common and occur occasionally, when the consumers are not careful and don't inspect the background of the builder/owner, says K. Subramani, Chairman, Karnataka Bangalore Centre, Builders' Association of India. He opines, "Prospective buyers should associate themselves with reputed builders and should take the help of a legal expert in property matters, to prevent legal battles." The Builders Association of India has approximately 360 members out of which 80-100 builders are located in Bangalore. The rights of the builder members of the association are protected with regard to government laws and regulations.
There are certain precautions that one must take to before finalising a deal of any sort.
While it is advisable to get in touch with a builder of repute, it is important that one must do a thorough research into the background of the builder.
If you are dealing through a real estate broker, be sure of the percentage charged by him.
While visiting the apartment, obtain the sketch of the apartment and other documents. Make clear to the builder the additional facilities you want and the changes you want in the apartment. Know in advance the additional cost.
Yet, if one is cheated, how are the interests of the consumers protected? The consumer forum may be approached for justice, says K. Subramani.
