Real Estate is anything regarding the structure and development of buildings and land either residential or commercial. This appears to be an extremely simple idea, but there are lots of legal disciplines included. Real Estate Law governs who can use an own the property or buildings.
Some terms to notice from the Real Estate Law:
- The name is the official legal term that describes the owner of the house
- The mortgage is lending money at interest in the exchange for the name on the debtor’s property. Following the successful completion of this debt payment, the conveyance of the title becomes void.
- Foreclosure is the Term used in the event the creditor takes control of the home or any property used for a mortgage when the debtor fails to repay the amount
- The official assembly for transferring the ownership of the property or property is termed as final
- Escrow is the term used for property or money withheld together with the third party for safekeeping
- Real Estate Agent is the person licensed for negotiating and conducting real estate transactions
The Much expected regulation in the realty industry was declared by the Government of India this past year, that’s the coming of the RERA Act (Real Estate Regulatory Act). Under the act that the home builders need to deposit about 70 percent of the amount from the Escrow account. This will guarantee that the buyers that the amount isn’t redirected to some other jobs.
Advantages of RERA Act
- As stated before, the builder will divert 70% of the amount taken from the buyers to an Escrow account, which will guarantee the buyers that their sum is being used for this project and secure as well without being moved to other projects.
- With the Introduction of the new act, the buyers do not have to cover the area over the carpet area. It’s one of the important things to remember.
- All the clearances both from the purchaser and the builder should have to be made prior to selling. The builder should disclose the information concerning the apartment.
The contractors are allowed to sell the house just after getting appropriate clearances.
RERA is the fundamental law, but as Real Estate is exposed to state, The state authorities have a significant role in implementing this action. However, the various another related practice area to the Real Estate law includes Tax Law, Landlord Tenant Law, Accidents and Injuries, Estate Planning, Insurance Law.