Buying a home is often an emotional decision. You like the location, the sample flat looks impressive, the sales team is reassuring, and there is usually some pressure to “book today” before the price changes.
But before paying a booking amount, take a step back.
A property purchase is not just a financial decision. It is also a legal transaction. A few hours spent checking the documents and terms can help you identify problems before a large amount of money is committed.
Under the Real Estate (Regulation and Development) Act, 2016, promoters are required to register applicable real estate projects with the relevant Real Estate Regulatory Authority before advertising, marketing or selling them. The law also requires promoters to provide important project information and sanctioned plans to allottees.
Here are 15 legal checks worth making before paying a booking amount.
1. Check the project's RERA registration
Start with the project itself.
Look up the project on the relevant state or Union Territory RERA website and verify the registration details.
Check whether:
- The project is registered
- The registration is current
- The promoter details match the seller
- The approved project details correspond with what you have been shown
- The declared completion timeline is consistent with the documents you have received
RERA requires applicable real estate projects to be registered before they are marketed or sold.
Do not rely only on a brochure or a salesperson’s statement.
2. Verify who actually owns the land
The developer may be selling the project, but that does not necessarily mean the developer owns the underlying land outright.
Ask for documents establishing the promoter’s rights over the land.
Depending on the project, this may involve examining title documents, development rights, joint development arrangements, leases or other instruments.
A property transaction should begin with clarity about the land and the legal rights over it.
3. Check for encumbrances
An encumbrance can indicate an existing charge, claim or interest affecting the property.
Ask what encumbrances exist over the land and whether the relevant disclosures have been made.
RERA’s registration framework requires information relating to the land, including details of encumbrances, to be disclosed as part of the registration process.
4. Check the sanctioned plans
The apartment shown in the brochure and the apartment legally approved by the competent authority should not be treated as two different things.
Check the sanctioned plans, layout plans and specifications.
RERA requires promoters to make sanctioned plans and other specified information available to allottees at the time of booking and allotment.
5. Check the promised possession date
Do not settle for:
“Possession should be soon.”
Look for the actual date or timeline contained in the relevant contractual documents.
The possession timeline matters because it can affect your rights if the promoter fails to deliver possession in accordance with the agreement.
Under Section 18 of RERA, failure to complete or give possession in accordance with the agreement for sale can have financial consequences for the promoter.
6. Read the agreement for sale before paying a substantial amount
Do not assume the booking form tells the whole story.
The agreement for sale can contain important terms relating to:
- Possession
- Payment schedule
- Cancellation
- Interest
- Default
- Maintenance
- Parking
- Specifications
- Changes to the project
- Dispute resolution
RERA itself restricts a promoter from accepting more than 10% of the cost of an apartment, plot or building as advance or application fee without first entering into a written agreement for sale and registering it.
7. Check the cancellation and refund terms
Ask a simple question:
If I decide not to proceed, what exactly happens to my money?
Do not look only at the word “refund.”
Read the actual cancellation clause, including deductions, timelines and circumstances in which cancellation may occur.
8. Check the payment schedule
Understand exactly when payments become due.
Compare the payment schedule with the construction or project milestones where applicable.
A buyer should know what they are committing to before signing rather than discovering the payment structure after booking.
9. Check what is included in the quoted price
A headline property price may not represent the total financial commitment.
Clarify the treatment of:
- Parking
- Club charges
- Maintenance deposits
- Development charges
- Registration
- Stamp duty
- Taxes
- Other project-specific charges
Get the complete financial structure in writing.
10. Verify the carpet area
Ask what area you are actually paying for.
RERA defines “carpet area” and provides a statutory definition that distinguishes it from other measurements used in real estate transactions.
Make sure you understand the area mentioned in the agreement and not merely the number used in a sales presentation.
11. Check the specifications and amenities
A brochure may show a beautiful clubhouse, landscaping, facilities and specifications.
The important question is:
What has actually been promised in the contractual documents?
RERA also places obligations on promoters concerning the veracity of information contained in advertisements and prospectuses.
12. Check the occupancy and completion position
Possession is not simply about receiving the keys.
Understand the status of the applicable completion and occupancy approvals.
RERA places responsibility on the promoter to obtain the completion certificate or occupancy certificate, as applicable under local laws, and make it available to allottees.
13. Check the title and property documents
For a significant property purchase, legal due diligence should not stop at the RERA registration page.
Depending on the transaction, a lawyer may examine:
- Title documents
- Previous conveyances
- Encumbrances
- Development rights
- Approvals
- Land use
- Sanctioned plans
- Litigation or claims
- Project-specific documents
The precise documents required depend on the property and transaction structure.
14. Keep every representation in writing
Someone tells you:
“The possession will definitely be given next year.”
Ask for the contractual basis.
Someone says:
“This charge will not apply to you.”
Ask for it in writing.
Someone promises:
“This specification will remain unchanged.”
Check the agreement.
Important promises should not exist only in a conversation with a salesperson.
15. Do not let urgency replace due diligence
“Price increases tomorrow” is not a legal reason to skip legal checks.
If the documents are incomplete, ask for time to review them.
A property decision should be based on the documents and contractual terms, not only on the presentation.
What should you check first?
If you have limited time, start with these five:
RERA registration
Title and land rights
Encumbrances
Agreement for sale
Possession timeline
Then move to the remaining project and financial documents.
Final takeaway
Buying a flat is one of the biggest financial commitments many people make.
You do not need to become a property lawyer before buying one.
But you should know what you are signing, what has actually been promised, when possession is due, what documents support the transaction and what happens if something goes wrong.
A few careful checks before paying can be far easier than trying to resolve a property dispute later.
