Purchasers have bought flats in huge numbers nevertheless, they are not able to get possession particularly due to the overdue payments to the authorities. Yamuna expressway authorities have decided to provide NOC to the buyers who have purchased apartments in projects that are still not finished. It is a master stroke by the UP government that can prove beneficial for 50,000 buyers however they need to pay the proportionate dues and in addition 10% extra charges on the apartment.
Greater Noida flat purchasers are in the thick of things as about 20,000 of them would instantly get possession. Recession coupled with the lack of registration had dampened the real estate market in the NCR region. Once the law is passed by the Uttar Pradesh government, it can have a cascading effect on the total number of units sold and transferred to the buyers. According to experts, 50,000 homes will be off the market legally as they will have genuine buyers to boot.
Some customers are already living in the apartments but they have still not got the registration papers. Noida, greater Noida and Yamuna expressway authorities have created the proposal to speed up the process. It will now be referred to the current UP government for eventual approval. Deep Agarwal who is already the CEO of the Greater Noida Authority is of the view that 20,000 people who are residents of the flats will get the possession on an urgent basis.
Due to lack of ownership, people were hesitating to buy the apartment as they didn’t want to sink money in dead investments. The new rule can reinvigorate the demand and may help to bolster. According to the new proposal, builders will have to fork out a total amount equal to the total dues divided by the number of flat constructed in the project.
The existing rule stipulates that unless all the dues are paid in advance, the builder can hand over the flat to the customers. Archaic regulations had limited the market reach and were the primary reason causing discomfort to the customers. Instead of getting water and electricity connection by default, they had to rely on water tankers and generators.
The rule is welcome in the gloom and doom scenario wherein the real estate market in Delhi-NCR region has plunged by 60% while in Mumbai the worth has reduced to 50% of the pre-recessionary days. People are looking to buy resale flats instead of the newly constructed ones as the registration process is fuzzy. Prices have gone down by as much as 30% but still home buyers are staying away from the market. Hope the new step installs spring in the feet of the customers so that they can continue with the purchase of the flat.