The Essential Buyer’s Checklist: Buyer Questions About Regularisation Before Purchase

You’ve found the perfect flat. The location is ideal, the view is stunning, and the price seems just right. You are ready to make a significant financial decision, but have you performed a thorough due diligence? In a country with a complex real estate history, a seemingly perfect property can hide a major liability: the lack of a valid Occupancy Certificate (OC) or compliance issues that require regularisation. Buying a flat without a valid OC or clear regularisation status can lead to legal complications, bank loan rejections, and a massive loss of value.

This article is your essential guide to what buyer questions about regularisation before purchase you must ask. We will empower you with the right questions to ask, explain why they are critical, and provide a clear framework for due diligence. This is about making a smart investment, not just an emotional one.

The Problem: Hidden Risks in Buyer Questions About Regularisation Before Purchase

A property without a valid OC or with a history of non-compliance is a ticking time bomb.

• Legal and Financial Risk: Without a valid OC, a property is considered an illegal construction. You cannot get a home loan from most major banks, and a local authority can issue a demolition notice or impose heavy penalties.
• Resale Value: An unregularised property is difficult to sell. Future buyers will face the same problems you do, which severely impacts your resale value and can lead to a significant loss.
• Infrastructure Issues: Properties without an OC may have issues with essential services like water and electricity. They may not be eligible for certain municipal services, and you may face a disconnect notice at any time.

Have you ever wondered if there’s a checklist of specific questions that help you determine the legal status of a property? Understanding these risks is the first step to informed buyer due diligence regularisation queries.

Your Solution: A Step-by-Step Guide for a Due Diligence Checklist

Here are the essential buyer questions about regularisation before purchase that you must ask.

• Does the Property Have a Valid Occupancy Certificate (OC)?

This is the most important question.

1. Why it’s Crucial: The OC is the ultimate proof that the property was built as per the sanctioned plan and is legally fit for occupation. A valid OC ensures your property is legally compliant.
2. What to Check: Do not just accept a “yes.” Ask for a copy of the OC and verify it with the local municipal authority’s website. If the society has a “Partial OC,” ask what still needs to be regularised. This is the first and most critical check on what buyers check OC documents for.

• Is the Property a “Regularised” Structure?

If the property does not have a valid OC, it may have gone through a regularisation process.

1. Why it’s Crucial: Regularisation schemes are a one-time opportunity to make an unauthorised property compliant. If it has been regularised, it should have a certificate of regularisation from the municipal authority.
2. What to Check: Ask for the regularisation certificate. Verify that it covers all the deviations on the property. This is a key part of your buyer questions about regularisation before purchase.

• Are There Any Deviations from the Approved Building Plan?

Even if the property has a valid OC, a previous owner might have made unapproved modifications.

1. Why it’s Crucial: Any deviation from the original, approved plan such as an enclosed balcony, an extra room, or a change in the floor plan makes the property non-compliant. You will be responsible for regularising these changes.
2. What to Check: Ask to see the original approved plan and compare it with the current physical layout of the flat. A professional surveyor can help you with this. This is a critical part of ensuring your investment is secure.

Forward-Looking Insights: The Value of a Professional Partner

In the past, buyers might have relied on a verbal assurance from the seller or broker. Today, with digital access and stricter regulations, this is no longer a viable option.

• Myth: “My bank approved the loan, so the property must be legal.”
• Reality: While banks conduct their own due diligence, it is often limited. They may approve a loan for a property without an OC. However, they can withdraw it at any point, leaving you in a very difficult position. You must conduct your own buyer due diligence regularisation queries.

Scenario: An NRI couple in Canada was purchasing a flat in Bengaluru. The seller assured them that the OC was in progress. The couple’s lawyer, an expert in what buyers check OC documents for, advised them to request a formal letter from the municipal body. The letter revealed the building had multiple, unregularised deviations and was not eligible for an OC. By asking the right buyer questions about regularisation before purchase, the couple avoided a financial disaster and found a compliant property.

This story highlights the importance of going beyond verbal assurances and conducting a professional due diligence. Your investment is your future. Safeguard it with the right questions and the right partners.

ABOUT LAWCRUST REALTY

LawCrust Realty stands as a premium consulting partner for property and real estate needs. Our specialised services include Property Management, Property Regularisation, Construction & Redevelopment, and Project Management Consulting, designed to deliver end-to-end solutions with precision and compliance. With deep expertise in both legal and management consulting, we serve as a trusted advisor for NRIs and resident Indian investors alike, ensuring their assets are protected, optimised, and future-ready. At LawCrust Realty, every project reflects our commitment to innovation, transparency, and premium execution, positioning us as the top choice for discerning clients worldwide

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