Since the amendment introduced by the 2010 Finance Act, the government has imposed a tax on services to home buyers in construction projects. The service tax will only amount to 25% of the total value of the dwelling, since a 75% reduction is allowed. With a 15% service fee from June 1 of this year, the buyer will pay a service fee of 3.75% on the total value of the home. Although the signing of the sale agreement does not mean that the sale has been completed, it is a decisive step in that direction. For this reason, buyers must be fully aware of the terms and conditions set out in the agreement. This absolute rule is subject to the exception of Section 53A of the Transfer of Ownership Act. Section 53A provides that the seller has no right to disturb the purchaser`s possession if the purchaser has entered into possession of the property that is the subject of the transfer, while fully acquiring its portion of the contractual obligation. It should be noted that Section 53A provides the proposed purchaser with a shield against the seller and prevents the seller from disrupting the purchaser`s property, but it does not cured the buyer`s property. The property`s ownership remains in the hands of the seller. “Any sales contract that is not a registered promotion (nature of sale) would fall short of the provisions of section 54 and 55 of the Transfer of Ownership Act and would not confer ownership and would not transfer any right to purchase property (except for the limited right granted under Section 53A of the Transfer of Ownership Act).” In this method, the agreement is printed on ordinary paper.

This document is submitted to an authorized bank that processes documents through a frankier machine. Authorized banks stamp the proof of purchase of real estate or set a unit value. This proves that stamp duty was paid for the transaction. If the seller does not sell or return the property to the buyer, the buyer is entitled to a special benefit in accordance with the provisions of the Specific Relief Act of 1963. A similar right is available to the seller as part of the agreement to require a certain benefit from the buyer. Stamp duty is classified according to judicial and extrajudicial functions. While judicial stamp duty, better known as a judicial commission, is a fee that is imposed on the parties to the trial, stamp duty on real estate transactions falls into the category of extrajudicial taxes, as it is a one-time payment on the value of the transaction. In most countries, most stamp tax revenue comes from transportation or sales taxes. 2. Stamp duty on the reference value of the property must be paid accordingly. Homebuyers must organize stamp duty and registration fees on their own resources, as banks do not take these expenses into account when assessing the cost of the property.

Thus, banks lend only 80% of the value of real estate. In addition, banks use their own methods to assess real estate. This means that if a property is sold for Rs 1 Kern, the bank cannot lend 80 Lakhs or 80% of the money if it finds in its valuation that the property is valued at only 90 Lakhs. In this case, it will issue 80% of the 90-Rus, i.e. 72-Rs.- as real estate credit. In this case, it is the buyer`s responsibility to arrange the balance at the same time as stamp duty and registration fees. This means that even if the buyer in Delhi has to spend almost Rs 1.06 Crores as a total price to buy and save a house worth Rs 1 crore, the bank will only grant him Rs 72 Lakhs as a loan. A purchase agreement is an agreement to sell a property in the future.

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