Insights

In case of cancellation of the unit after paying stamp duty and registration fees, buyers can claim a refund of the stamp duty within six months from its payment. The buyer of the property can get a refund of 98% of the stamp duty if an application is made for a refund of the stamp duty. With the refund application, you are required to attach the original agreement, as well as the original cancellation deed, with both the documents being registered. However, you will not get a refund for the registration charges. Stamp duty area wise Stamp Duty: Mumbai Types of Instruments Covered Jurisdiction Article Stamp Duty Rates for a Period of :01.04.2020 to 31.08.2020 01.09.2020 to 31.12.2020 01.01.2021 to 31.03.2021 “Conveyance” or “Agreement to Sell” Mumbai and Mumbai Suburban 25(b) 5% 2% (Stamp Duty Reduction of 3%) 3 (Stamp Duty Reduction of 2%) Registration For properties above Rs 30 lakh – Rs 30,000. For properties below Rs 30 lakh – 1% of the property value.

Stamp duty rates depend on different criteria across different states. In Mumbai, stamp duty is levied under the Maharashtra Stamp Duty Act. The stamp duty on the property varies within the state if the real estate property falls within the municipal corporation limits, municipal council, and gram panchayat.

A set of following documents have to be provided by the builder to the banker in the presence of the buyer: A registered agreement, index 2, registration slip, demand letter as per CLP, OCR receipts, NOC from builder to buyer, and ROC, if the developer has mortgaged the project to any financial institute

• Loan agreements
• Disbursement requests
• Post-dated cheques
• Personal guarantor’s document

Loan Agreements: Agreement between the buyer and the bank.
Disbursement Requests: The customer has to personally visit the financial institutions to initiate the first disbursement after getting into a loan agreement.
Post-dated Cheques: Bank requires PDC cheques at the time of disbursement. However, it differs from bank to bank.
Personal Guarantor’s Form: A personal guarantee form for a loan is a document that enables a person, known as a guarantor, to take responsibility for a personal loan if it’s not paid back by a borrower.

Pre-EMI means you have to pay the interest amount only on the disbursed home loan amount. Once you receive the keys of your dream home, you will have to start paying the full EMI amount. In the case of under-construction property, the banks and financial institutions disburse home loans in tranches. However, until the housing loan is fully disbursed, you have to pay simple interest at the rate you have agreed upon with the lender, this is known as the Pre EMI.

Applicant’s statement of accounts for the past 6 months. A photocopy of the applicant’s Aadhar Card and PAN Card. A profile of the applicant’s business, mentioning at least the nature of the business, client list, suppliers, employee strength, geographical spread, etc. In the case of a business partnership, a copy of the partnership deed, 3 years P&L a/c, B/S, computation of income certified by a CA, and individual computation of income and tax returns for the last 3 years is required. In the case of a proprietor or professional, 3 years P&L a/c, B/S, computation of income certified by a CA, and an income tax return file statement for 3 years is required. If the company applying for a loan is a Pvt. Ltd., a remuneration certificate, board resolution for fixing remuneration, company’s annual report, and individual IT returns for the last 3 years is required.

Latest salary certificate or the original slip. Form no.16 A. Copy of 6 months bank statement of the applicant’s accounts. A photocopy of the applicant’s Aadhar Card and PAN Card. A passport size photograph of the applicant & co-applicant. Repayment track record of existing loans/loan closure letter.

There are different ways to increase loan eligibility and amount. If a spouse or fiancé is earning, applying together as co-applicants can increase the chances of a larger loan amount. In such cases, proof of marriage must be submitted. On the contrary, if there are any co-owners they must necessarily be co-applicants.

The loan amount depends on several factors such as age, income, number of dependents, qualifications, assets and liabilities, income stability, business, profits, etc. The most important factor in sanctioning loans is repayment ability.