Thorough guidelines for purchasing a plot in India

by | Oct 22, 2020

Real estate is a precarious business to indulge. Choosing and picking the right property involves tremendous Sieving processes. The entire process becomes hassle-free only if the suitable and relevant information about the prospective properties are available at your command. While deciding on a property it is very difficult to decipher the required information and Suitable parameters to satisfy.


So this article will act as a guide for you to understand and be attentive to certain critical information before deciding on a plot for construction.


Thorough research is a must!

A well thought out research is of utmost necessity, While deciding on purchasing a piece of real estate. One needs to be aware of the various types of land, one can choose from ranging from Greenfield to brownfield pastures. Greenfield is Pristine new and untouched, while brownfield is where traces of construction is witnessed. The kind of project that one would like to embark on will help decide the kind of land to buy. The purpose that underlies the choice of land may vary from erecting a building to considering a piece of property as an investment destination.


Location is the key

Location plays an important role, insofar as reaping a better return on investment. It is advisable, that one shall not be lured by low-cost offerings while settling for a piece of land placed at a faraway place from the core of the city. A land far away from the city core comes with its own drawback of not able to witness development even after decades.


Customer Behavior and Location Dynamics

It is advisable to do thorough research over the purchasing pattern concerning the location of the land. Because it will help one to foresee the prospects of development in the near future.


A Thorough Analysis

Discuss with different developers well-known in the area to know more about the location and prospects of growth in the foreseeable future. They will also come in handy insofar as figuring out the antecedents of the concerned property.


Mired with litigation

The antecedents of the property will help figure out the true nature of the land. At times the concerned land might be a water body or it might be lingering with some litigation. The erstwhile usage of land will also aid in understanding the suitability for the purposes for which it is bought.



One shall ascertain the exact type, shape, and size of the land. Land might be of a different nature from being steep, plain, and irregular. Topography will have a direct bearing on the efforts required for construction, intern suggesting the strength of the land.


Talk to people in the locality

It is good to seek out for the people in the vicinity, to know more about the locality, rate of development, nature of dwellers, connectivity facilities, and so on. It will help gain a holistic understanding of the location pertaining to the concerned property.


Cartographic reference

Procure the old maps pertaining to the concerned land and the surrounding location. It will help gain a comprehensive understanding of the locality insofar as erstwhile developments and the purposes for which the land was used is concerned.


Legal Ramifications

Once the decision is made over suitable land and the preferred location. Another very important task that stares at our face is the legal matters pertaining to the interested land. It is very critical to ensure that there are no litigation and disputes over the concerned property. It is advisable to do a complete background check of the landowner and the antecedents of the property that one is interested to buy.


Title Deed

Comprehensive scrutiny of the Title Deed will help ascertain the seller’s rights over the property. Get the help of a reputed lawyer, with expertise in this field to check for any issues or discrepancies that might stir up problems in the future.


Legal Dues

Check for any legal dues with respect to the concerned land. For that, one will have to Procure and go through an Encumbrance Certificate for the last 35 to 40 years. One can procure this Encumbrance Certificate at the nearest sub-registrar office.


Government Approvals

It is necessary that the plot has to be legally approved by the concerned local bodies, and corresponding certificates are available. If in past, the land is pledged or mortgaged for a loan, it is crucial to obtain and verify the release certificate. One shall also procure property tax payment receipts. If all the aforementioned documents are procured and verified thoroughly, one could avoid unnecessary issues that might arise in the future.


Also ensure the land is provided with a certificate from the concerned authority, specifying the purpose for which the land ought to be used. In our country, all lands are pre-construed to be agriculture land unless specifically attested as commercial, residential, and other purposes.


FSI and Usage Ratio

Go through the FSI for the plot, to figure out as to what percentage of the land can be used for construction or other purposes. As per the government’s mandate, the usability ratio may vary from 75% to 100%. The price of the land, to a large extent, is also dependent upon the usability ratio of the land. It precisely means that land with a 100% usability ratio will cost more as suppose to land with a lesser ratio.


Sale Deed

It is a two-pronged approach, one is to draft the sale deed taking into consideration all the concerns of both the seller and buyer. Another important step is to get the sale deed agreement registered at the local sub-registrar office. This will legally transfer the ownership title from the seller to the buyer. It is also advisable to look into the 7/12 documents which reflect the ownership history for the past 30 years.

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