The process of buying a home is not as simple as it looks. From searching the right property, to home loan approval to get property ownership, every step is as important and plays a crucial role. However, to prove your ownership on the property, it is mandatory to check all the legal documents beforehand. It not only avoids any risk for the later stages but also safeguards your home from any unauthorized ownership.
As per experts, three documents are very important to prove property ownership. These include Commencement Certificate (CC), Completion Certificate (CC) and Occupancy Certificate (OC). With this blog let’s understand the importance of these documents in detail:
Commencement Certificate or CC is a certificate of permission provided by the local municipal authority to the developer to start the construction of the residential project. The certificate is given only after the project passes all the mandatory clearances like building plan, construction NOCs, FAR, etc. by the authority. Apart from this, a developer also has to provide mandatory approvals like water department, fire department, sewage department, electricity department, etc.
According to RERA rules, a buyer cannot book a flat until and unless the builder has received a commencement certificate from the authority. Section 2 (m) of RERA stresses that a buyer must check beforehand whether a project has a commencement certificate or not. If they don’t have, it’s better to not book such units as there is no certainty about the completion of the project. At the same time, your property ownership will also remain illegal.
Occupancy Certificate or OC is a document which certifies that the housing project has been constructed as per the building plan and code, regulations and laws. It is another important document that is mandatory for the developer as well as homebuyers. Once a developer receives OC, they are free to apply for electricity and water connections.
For homebuyers, an OC is mandatory to prove the legality of property ownership. In the absence of a valid OC, a local body can take legal action on the whole building structure. It is also important for a home loan application, property selling and resale property buying.
Also, if a developer doesn’t provide OC, a homebuyer can take legal action on the developer.
Completion Certificate or CC is another important legal document which certifies that the building is ready for possession. According to Section 2 (q) of RERA, the completion certificate proves that the project is constructed as per the sanctioned plan, layout plan and specifications, as approved by the competent authority under the local laws.
Not only the developer but even an independent property owner also needed the completion certificate to prove the ownership of the house.
It is always advised not to invest or purchase any project that has not received a completion certificate. Doing this may invite hefty penalties on the home buyers as well as owners.