With a sprawling metropolis covering 20316 hectares of land and supporting significant commercial, manufacturing, and residential sectors, Noida is one of North India’s largest and most prosperous real estate markets. With a population of about 6.5 lakh, Noida is constantly growing. It boasts first-rate amenities and is conveniently located near Delhi. With one of the highest per capita incomes in the country and numerous growth opportunities, Noida is a desirable location. Many people relocate to Noida in pursuit of employment. Only Noida makes up 25% of Uttar Pradesh, India’s largest state, in terms of revenue. Here are 5 considerations if you’re considering buying a house in Noida.
A variety of paperwork must be obtained when buying a resale home in Noida, and legal inspections are crucial to prevent future issues. Let’s examine them thoroughly to aid you in your home buying.
A resale property is what?
A home that has been purchased and is currently “For Sale” is referred to as a resale home. A resale denotes the transfer of ownership of the property from the previous owner to a new buyer. Essentially, the beneficiary who previously purchased the same property from someone else may sell it, in addition to the original allottee.
Homeowners’ insurance and the deposit:
When purchasing a previously owned property, you should be aware that the insurance payout will be less than it would be if you were purchasing a brand-new residence. For resale homes, you’ll need to put down a minimum of 20%, which is more than you’d need to if you were buying a brand-new home.
Before purchasing a secondhand property in Noida, do the necessary infrastructure assessments.
Examine the physical condition of the property before making a purchasing decision. The optimal age for a resale home, according to experts, is between one and ten years. The older the property, the more upkeep is required. On older properties, it might be challenging to get a mortgage. Find out the real cause for selling the property as a result. Be cautious because there may be issues.
A resale property may be the ideal option if you want to purchase a home in Noida but do not want to wait a long time to take ownership of it.
Reselling is the act of putting the property back up for sale after the first purchase. The first assignee or the beneficiary who acquired the asset from another party may sell the property again. In general, purchasing a used property is a more cost-effective option than choosing a new, ready-to-move home because depreciation and the property’s age result in a lower cost of acquisition. Furthermore, the Goods and Services Tax does not apply to resale properties (GST). However, several paperwork and legal procedures are required when purchasing a secondhand home in Noida. To prevent problems later, several documentation and legal inspections are necessary when purchasing a secondhand property in Noida. To make the process of buying a home easier, let’s go into these in more detail.
How old is the property?
Having said that, how old is too old? It is advised to stay away from any property that is 40–50 years or older. You may have seen significant structural damage to the home and structure by this point. You would need to spend a lot more money than you had planned because of the refurbishment that was required and the additional repairs.
Association Policies and Procedures:
There is usually an association that controls what happens in society if you are purchasing a home there. The type of improvements that can be made to the house you are buying must be confirmed with them. Some societies will have regulations governing the kinds of renovations that are allowed, the times that work may be done, etc. The best course of action is to first obtain the building association’s clearance if you plan to purchase a house that needs extensive renovations.
Documents needed to purchase a resale apartment in Noida
- Title Report Bank’s No Objection Certificate (NOC)
- Certificate of Building Approval, Completion or Occupancy, and Certificate of Encumbrance (EC)
- Utility invoices
- Tax invoices
- No Fee certificate from the bank and the society
- Title Deed, Sale Deed, Possession Certificate, and Society Share Certificate
Purchase and registration procedures for a resale apartment in Noida:
You must take the actions listed below to purchase and register a resale property in Noida.
- Obtain from the seller the aforementioned documentation. Keep in mind that each document is crucial; otherwise, you risk future legal problems. The No Dues Certificate from the bank, for instance, is essential to know that the seller has no outstanding debts on the subject property, and banks won’t delay possession.
- Consult a professional and thoroughly review the paperwork. Make sure that all of the documents are genuine and endorsed by the appropriate authorities.
- Make a note of the seller’s complete payment terms, including the gross amount, the total number of installments, and the period of the payment.
- You must sign a sale agreement, along with the seller and two witnesses. Make that the token sum provided to the seller to seal the deal is specified in the agreement.
- To complete the registration process, go to the Sub-Registrar Office in Noida with the witnesses and identity documents such as the Pan Card, Voter ID, or Aadhar Card.
What costs are associated with Noida property registration for resale?
in addition to registration fees, stamp duty
Both male and female owners must pay a 7% stamp fee to the Noida Authority. However, women and joint owners (female and male) may qualify for a Rs 10,000 discount. Everyone will pay one percent for registration. Before December 2021, the government mandated that the costs be calculated based on the carpet area, relieving the financial burden on buyers. In Noida, the stamp duty and registration fee were previously estimated based on the total built-up area.
Transfer charges:
In Noida, there is a Transfer of Memorandum (ToM) cost that applies to resale property as well. Transferring property ownership to the new buyer carries a fee. Additionally, transfer fees in Noida vary based on circular pricing in the neighborhood.
In September 2021, the Noida Authority will cut the transfer fee for residential properties sold as resales from 5% to 2.5%. Customers who previously paid Rs 5 lakh for a home or residential property valued at Rs 1 crore would now pay Rs 2.5 lakh.
