Property buyers would be in big trouble, because these two sentences. Many have taken property loan from banks to finance their house and paid the manufacturers - probably only the first installment.

The loans are paid less than the construction of properties of three or four installments. This means that the loan-to-value in relation to 80:20, the buyer would pay the money in full.

The exposure of the bank, especially in the first round would be 5-15 percent. However, the first installment payment, many buyers are beginning to pay the equated monthly installments (electronic money) to the bank. According to finance housing officer, most buyers to pay pre-EMI, which pays simple interest. Only some of the buyers start paying the entire EMI.

The SC came to the rescue of buyers in the case of extension of Noida, by requiring manufacturers to pay the buyers interests.

However, when the Court of Justice, manufacturers can not continue to build long, that should not be owned by a constant in the coming years. On the other hand, the emissions have already started.

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If you do not come in such situations, it is entirely up to the buyer to repay the bank. Said a senior official of a housing finance company, "There is not much we can do in these situations because we have to protect our depositors as well."

A senior SBI official said the contract with the borrower and not the manufacturer, there is little they can do. While lenders also do due diligence, property and examine the record of 13 years to make sure you have a clear title, there is little they can do when such situations occur.

The buyer has a loan is another option. If the manufacturer pays the money, things could be settled out of court. However, if there could be a long journey. In such situations, if a manufacturer offers a "right" property in any of his other projects, we can use the option. However, "appropriate" is the keyword here.

"Developers will be able to create third party rights or interests are sold to customers only when they are at the beginning of the certificate. The buyers who bought without asking the certificate are to blame and can not protect the court," said pranayama President Vakil, Knight Frank, real estate consulting.

Maharashtra, Maharashtra apartments under the ownership law, a developer needs to communicate to the buyer making the transfer. This includes the stamp duty is paid an apartment, in addition to the contractual terms between the buyer and builder. The customer is liable for any delays on the developers.

But most developers can submit a letter instead of awarding the head of the shipyard. These letters are not considered legal proof and the purchaser can put in place if he tries to refund if cancellation.

Source: [Business Standard]