Purchasing real estate in India is like setting out on an exciting journey where each corner offers the possibility of a fresh start and a lifetime of memories. Owning a property in Bangalore is a doorway to a vibrant lifestyle surrounded by tech groups, lush green spaces, and fun culture but purchasing real estate in Bangalore is more than just a thrilling experience as you may encounter property frauds, encroachments, delays in construction, fake documents legal intricacies, litigations and situations which may arise after purchase of the property. To avoid such situations, we aim to provide a comprehensive guide to buying property in Bangalore.

Before delving into the legal aspects of property acquisition, it’s essential for buyers to consider the following tips:

1. Research : Conduct thorough research, exploring the neighbourhood, analyse property prices, and consider factors like basic amenities like public transport, water/ street lights, surroundings, infrastructure, and future development plans.

• Market Value of Property: Apart from the above, it is necessary to understand the market prices in the area and particularly the guidance value of the properties in Bangalore. A lot of properties in Bengaluru may be over hyped and may not be worth the price.

• Legal Scrutiny of Documents: The principle of caveat emptor, meaning “let the buyer beware,” underscores the buyer’s responsibility to conduct due diligence and exercise caution while purchasing property. Buyers should refrain from relying solely on the representations made by the seller and must verify all relevant information independently and engage a professional to verify the property’s legal status. Some of the checks can be –

1. Title deeds: To ascertain the rightful ownership of the property and verify the chain of title transfers. Original Documents : Verify the originals of property records,Building License and permits: To ensure that the property complies with all regulatory requirements and possesses necessary approvals from the local authorities.Encumbrance certificates: To verify whether the property is free from any legal or financial liabilities such as mortgages, liens, or pending dues.
2. Background check : Conduct background checks on the seller and his family, if its an ancestral property
3. Pending Cases and Encroachments: Lastly, buyers should ascertain whether the property is embroiled in any legal disputes, litigation, or encroachments. Conducting a thorough investigation into any pending cases or encumbrances ensures that buyers are well-informed about the potential risks associated with the property.

• Agreement of Sale – Once all documentation related to the property transaction is accurate, complete, and legally binding, buyer can enter into a sale agreement and give an advance sale consideration. The Agreement of Sale entails the terms of sale agreed and imposes an obligation on the Vendor/ Seller to sell the property upon payment of entire sale consideration.

• Absolute Sale – A Sale Deed registered with the jurisdictional Sub-Registrar Office serves as conclusive evidence of the transfer of ownership from the seller to the buyer. It is crucial for buyers to ensure that the sale deed is absolute and does not impose any conditions. The Sale Deed must contain details of Consideration paid for the property transaction. It is imperative for buyers to pay the agreed consideration amount through legitimate banking channels and obtain proper receipts to establish a clear trail of the transaction.

• Tax Deducted at Source – In case of any transaction above, Rs. 50 Lakhs, the Buyer must deduct tax at source (TDS) and remit the same in the Seller’s PAN, failing which the buyer can be penalized by the Income Tax Department.

Buying property in Bangalore requires careful attention to various legal considerations to safeguard the interests of buyers and ensure a hassle-free transaction. By adhering to the guidelines outlined in this article and seeking expert legal advice, when necessary, buyers can navigate the complexities of property acquisition with confidence and peace of mind.