When you are purchasing a property from a builder, it is important to have a written agreement that outlines the terms and conditions of the transaction. This agreement is known as the builder buyer agreement, and it is a legally binding document that protects the interests of both the buyer and the builder. In this article, we will discuss how to register a builder buyer agreement and the steps involved in the process.
Step 1: Prepare the Builder Buyer Agreement
The first step in registering a builder buyer agreement is to prepare the agreement itself. This agreement should be drafted by a lawyer to ensure that it complies with the legal requirements in your state or country. The agreement should include details such as the property description, price, payment terms, possession date, and any other terms and conditions that need to be agreed upon.
Step 2: Stamp Duty and Registration Fees
Once the agreement has been prepared, you need to pay the stamp duty and registration fees to the state government. The stamp duty is a tax that is levied on the transaction, and it varies from state to state. The registration fee is the fee charged by the government for registering the agreement. These fees are calculated based on the value of the property and are usually a percentage of the total value.
Step 3: Execution of Agreement
After paying the stamp duty and registration fees, the agreement needs to be signed by both the buyer and the builder in the presence of two witnesses. The witnesses can be anyone who is not a party to the agreement. Once the agreement has been signed, it becomes a legally binding document.
Step 4: Registration of Agreement
The final step in the process is the registration of the agreement. This is done by submitting the agreement along with the stamp duty and registration fees to the concerned authority. The authority will verify the document and if everything is in order, they will register the agreement. Once registered, the buyer can get a copy of the registered agreement.
In conclusion, registering a builder buyer agreement is a crucial step in the property buying process. It helps protect the interests of both the buyer and the builder and ensures that the transaction is carried out smoothly. By following the steps outlined in this article, you can easily register your builder buyer agreement and have peace of mind knowing that your investment is protected by law.