Dear Experts,
I am stuck in a dilemma at present and need your suggestions.
I have selected a flat for purchase in Bangalore. The builder is not among the most reputed. The project talks about 45 flats constructed on 4 floors (G+3) only. I have chosen a flat on the 1st floor.
The approved plan includes only three floors. During the initial phases of discussion, the builder clearly stated that the fourth floor is yet to be approved and they are applying for ‘TDR’ and hence I don’t need to worry as my flat comes under approved plan.
Before obtaining documents, I went ahead and made a booking advance of Rs 1 Lakh.
Though they suggested me to go through the banks that they recommended, I went through the bank that I regularly interact. After detailed legal and technical valuation, the bank rejected the loan stating that the project has deviations and on each floor there is an additional flat provisioned and that is not included in the approved plan.
When I approached the builders again, they admitted and said that it is also part of their TDR purchase and they would obtain it by possession date (December 2014).
Now they are recommending me to go with the bank that has funded their project and pressurizing me to go ahead with the Sale Agreement, assuring not to worry.
They are also talking about providing a ‘Indemnity Bond’ to me assuring that they would return the advance and Sale Agreement amount, in the event Bank is not able to provide the loan or if they are unable to provide OC.
The Banker on the other hand is clear that he can process my loan but obtaining Khata, OC etc is between the purchaser and the Builder.
The builder also mentions to me that the flat that I have chosen does appear on the approved plan and hence I don’t need to worry about the deviation or TDR.
But I am not sure if this is safe to proceed. I request your suggestion on whether this is a common practice across similar projects and if it is safe to proceed.
Thanks in advance.
Regards,
Arun
