Re: [YEIDA:838] : Question and Answers Thread !

[Safal Suri]

 

 

 

Hi Arnab and All...

 

Let me breakdown the figures and explain them:

 

1. Allotment Cost = Rs. 4,750.00 per Sq. Mt. = 300 Sq. Mt. x Rs. 4,750.00 = Rs. 14,25,000.00

    (A) Cash Down = Amount Allotment Cost x 30% = Rs. 1,425.00 = 300 Sq. Mt. x Rs. 1,425.00 = Rs. 4,27,500.00

    (Interest NOT to be calculated on this Item)

    (B) Instalment Amount = Allotment Cost x 70% = Rs. 3,325.00 = 300 Sq. Mt. x Rs. 3,325.00 = Rs. 9,97,500.00

    (This the only item which will have the interest component)

2. Lease-Deed = 10% of Allotment Cost = Rs. 475.00 = 300 Sq. Mt. x Rs. 475.00 = Rs. 1,42,500.00

    (Interest NOT to be calculated on this Item)

3. Registration = 5% of Allotment Cost = Rs. 237.50 = 300 Sq. Mt. x Rs. 237.50 = Rs. 71,250.00

    (Interest NOT to be calculated on this Item)

4. Interest (Calculated Half-Yearly) Rs. 116.42 per. Sq. Mt. x Total No. of Instalments 16 = Rs. 1,862.72 per Sq. Mt. = 300 Sq. Mt. x Rs. 1,862.72 = Rs. 5,58,816.00

5. Premium (Assuming) @ Rs. 1,000 per sq. mt. = Rs. 3,00,000

    (Interest NOT to be calculated on this Item)

6. Commission (Flat rate) @ Rs. 100 per sq. mt. = Rs. 30,000

    (Interest NOT to be calculated on this Item)

TOTAL COST = (1 + 2 + 3 + 4 + 5 + 6) = Rs. 14,25,000.00 + Rs. 1,42,500.00 + Rs. 71,250.00 + Rs. 5,58,816.00 + Rs. 3,00,000 + Rs. 30,000 = Rs. 25,27,566.00

 

EXPLANATION:

1. PLEASE NOTE: Rs. 25,27,566.00 has to be paid over 8 years.

BREAK DOWN

2. Cash Down amount (Rs. 4,27,500.00) + Premium (Rs. 3,00,000.00) + Commission (Rs. 30,000.00) = Rs. 7,57,500 is to be paid now. (WITHOUT INTEREST)

3. Lease Deed (Rs. 1,42,500.00) + Registration (Rs. 71,250.00) = Rs. 2,13,750.00 is to be paid at time of registration, approximately 4 years (WITHOUT INTEREST)

4. Instalment Amount (Rs. 9,97,500.00) + Interest (Rs. 5,58,816.00) = Rs. 15,56,316.00 to be paid in 16 instalments, over 8 years (WITH INTEREST)

 

Hope this helps.

Cheers...

Safal Suri

 

 

 

 

---

 

 

----- Original Message -----

From: "ArnabMukherjee" <arn...@gmail.com>

To: "YEIDA" <ye...@googlegroups.com>

Sent: Friday, October 09, 2009 2:16 AM

Subject: [YEIDA:838] : Question and Answers Thread !

Question and Answers
--------------------

Hi Safal and other forum members,

So far we haven't got much clarity about the charges involved in buying a 300 SQM plot from secondary market.

Let me describe you my understanding so far:

a) The original allottee pays Rs 4750 /SQM  X 300 (For 300SQM Plot) = Rs 14,25000

b) The original allottee pays the lease and registration(15% total) = Rs  2,13750

------------------------------------------------------------------------------------

Not complicating it with 12% interest charges to keep the example simple.

------------------------------------------------------------------------------------

Total the original allottee pays = Rs 1638750

FYI - This 16L+ cost becomes about 26L after adding the 12% interest under payment option 2.

-------------------------------------------------------------------------------------

Now, someone buys this plot from the original allottee.

c) I understand that the buyer pays 16.3 L in our example + Premiums / SQM.

d) Does the buyer pays for Lease and registration again?

e) How much is the transfer charges?

f) How much is the agent fees + Stamp paper duty + lawyer charges + Misc Charges.

Please share your experiences with the authority about any underhand money to be paid as well.

Thanks

Arnab M

[ArnabMukherjee]

Hi Safal,
I understand this part. Now could you please explain, what other
charges involved at the end of 8 years.

I know for sure, you have to pay transfer charges. Not sure, if the
registration and lease has to be paid again by the new buyer. Please
include all other incidental charges.

Thanks
Arnab M

> --------------------------------------------------------------------------------

[Safal Suri]

Hi Arnab...

There are two options for paying Lease money:

1. You can pay lease rent per year, that is, 1% of current circle rate.
E.g.. 1% of Rs. 4,750 x plot size.

2. You can pay combined lease rent for a period of time the authority
specify (generally 10 years, etc) and that is considered lease rent paid for
90 years. Such Lease Rent is calculated at current prevailing rate. For
e.g.. If you were allotted a plot in 2009, say when the circle rate is Rs.
4,750 per sq. mt. and you continue paying 1% for 8 years and then you decide
to pay 10% for 90 years. At that time, you will have to pay at current
circle rate. Assuming the circle rate then is Rs. 15,000, you will then have
to pay 10% of Rs. 15,000 x plot size to avail 90 years scheme. Also, if the
authority changes the rule by then and demand equivalent to 15 years lease
(hypothetically), then you will have to pay 15% of Rs. 15,000 x plot size.

As for expenses involved to transfer/register the property in the name of
new buyer:

There maybe two options of doing so:

Option 1. Allotment Transfer: Both Noida and Greater Noida authorities
offered this scheme in initial 8-10 years of their formation. It is widely
expected that Yamuna Expressway Authority too will offer similar scheme.
Under this scheme, the authority charges a certain amount of money and
transfers the allotment in the name of the buyer. By doing so, the buyer is
regarded as original allotted and enjoys all privileges that comes with
being an original allotted, e.g.. option to avail offered instalment scheme,
etc. In such case, no additional Transfer Deed and Registration is
required. However, Yamuna Expressway Authority is yet to confirm or deny
this provision. My personal estimate (assumption), if this scheme is
permitted, transfer rate should be anywhere between Rs. 50 to Rs. 100, per
sq. mt.

Option 2. Transfer & Registration: This is how things are currently done at
Noida and Greater Noida. In this option, the allottee first pays to sign a
Lease Deed between him/herself and the authority, and then pays to Register
that Lease Deed with the Registrar. Later, the buyer pays to transfer the
Lease Deed in his name (henceforth, Lease Deed is called Transfer Deed) and
then pays to Register the Transfer Deed at Registrar's office. Only after
that, mutation is possible.

Now, if Yamuna Expressway Authority doesn't comeup with Option 1 (Allotment
Transfer) scheme, then Option 2 (Transfer & Registration) will have to be
exercised.

Hope this answers your question.

Everyone is free to ask anything they want to know. I write in good faith
and always make my best and honest effort to reply as clear and precisely as
possible. However, I am not the ultimate authority and very much human, thus
prone to making mistakes. So, please, do re-confirm these things with other
experts in this trade.

Cheers...

Safal Suri

[ArnabMukherjee]

Safal,
Thanks again for your detailed reply. According to our brochure, this
is what it states:
15. TRANSFER OF PLOT:
(i) In favour of Legal Heirs:
Upon the death of the allottee / lessee transfer of plot to the
allottee's / lessee
legal heirs will be allowed with prior written permission of the Chief
Executive
Officer or any officer authorized by the CEO in this regard, subject
to the
fulfillment of prescribed conditions which are prevalent as on the
date of grant of
permission. No transfer charges are payable in case of transfer by
succession.
ii) In favour of all others , except legal heirs:
No transfer of the allotted / leased plot to any person, other than
legal heir of the
allottee / lessee, shall be permissible except on a written request
made by the
allottee / lessee followed by prior written permission of the Chief
Executive
Officer or any officer authorized by the Chief Executive Officer. Such
permission
may be granted subject to payment of transfer charges AND compliance
of such
other terms and conditions which may be imposed Chief Executive
Officer or any
officer authorized by the CEO in accordance with the policy of the
Authority
existing on the date of grant of permission to transfer. The
permission to transfer
shall be effective only after deposit of the transfer charges as may
be in force at
that time and fulfillment of all other requirement as may be set out
in the
permission for transfer. The power to reject or accept such request
for transfer by
an allottee / lessee shall vest in the Chief Executive Officer or any
officer
authorized by him in this behalf.
----------------------------------------------------
So my question is, does this mean, Option 1 you stated (Allotment
Transfer) ?

--------------------------------------------------

The following are the rules of Noida Authority which seems to be
allowing transfers of plots:

---------------------------------------------------------------------------------------------------

3. Transfer of residential plot.
An individual is allowed to acquire more than one residential plot/
flat/house from open market and get it transferred in his/her name or
in the name of his/her spouse or dependent children, even if he/she
has been allotted a plot/flat/house by NOIDA through a scheme. The
following condition shall be applicable for permitting transfer of a
residential plot:-


1. The case where cancellation has been affected are not eligible
for transfer
2. Pre-possession case are not transferable
3. Only bonafide lessees are eligible to transfer the plot.
4. Application form for transfer can be had from the Vijaya Bank,
Sector 6/19, Noida on payment of Rs 100/- this transfer application
form is valid for 6 Months.
5. The transfer application form should be duly filled-in alongwith
the NOC’s of Residential Area Accounts & PE (JAL), NOIDA. In case the
house is constructed on plot, the allottee is required to submit a
photocopy of occupancy certificate otherwise he is required to pay the
extension charges according to lease deed. In case of plot being
transferred, has been allotted through the cooperative housing
society, NOC of the respective cooperative housing society shall also
be required.
6. The allottee is required to submit Lease Deed/Transfer Deed,
Allotment Letter and possession certificate in original. The
transferor and transfree shall have to present before Officer on
Special Duty(Residential Plot, Sector 6, Noida) at the time of
submission of transfer application
7. Transfer application should be accompanied with a bank draft of
Rs. 1,000/- towards processing fee in favour of NOIDA payable at Delhi/
NOIDA/New Delhi.
8. Signatures of Transferor(s)/Transferee(s) must be attested by
the Banker(s) on the application form itself. In case of companies,
resolution of Board of Directors authorising the signatory for moving
the transfer application should also be submitted with application
form alongwith passport size latest photograph duly attested by Banker/
Gazetted Officer for both Transferor(s) and Transferee(s).
9. Both transferor and transferee must be competent to contract on
the date of transfer application
10. The prevailing sector-wise allotment/transfer charges rates of
residential plots are as under, which may be revised at anytime
without prior notice.
11. Transferor and Transferee should jointly satisfy themselves
about the overdues/dues position from the Accounts Department of
NOIDA.
12. Once transfer is approved, all the liabilities of the transferor
till the date of transfer memorandum would pass on to transferee. The
transfer charges can be deposited either by the transferor or
transferee.
13. Transferee would be required to clear up to date outstanding
dues of NOIDA before the transfer request.
14. Lease rent at the time of issue of transfer memorandum would be
revised @ 1% of the premium calculated at the rate of allotment
applicable at the time of transfer memorandum, subject to revision
after every 10 years. In case one time lease rent is already paid
then lease rent is not payable.
15. In case of transfer of rights of the minor(s), orders of the
District Judge are required regarding protection of interest of
minors.
16. Occupancy certificate of plot should have been issued or valid
extension of time for construction should have been approved at the
time of transfer. After transfer of plot, further extension of time
for construction will be granted at 4% of prevailing sector rate.
17. Transfer charges once deposited will not be refunded, however,
in case, transfer does not materialize due to dispute between the
parties, or withdrawal of transfer application by the transferor with
the consent of transferee(s) then 10% transfer charges shall be
deducted and the balance amount would be refunded.
18. The transfer deed shall also be required to be executed within
60 days from the date of issue of transfer memorandum between the
Transferor & the Transferee. On receipt of certified copy of transfer
deed registered with Sub-Registrar, NOIDA, a certificate confirming
acceptance of the transfer deed shall be issued as a proof of the plot
have been mutated in favour of the transferee.


In addition to sector rate, following location charges are also
applicable;


1. For corner plot : 5% of the premium.
2. For plot facing park/green belt: 5% of the premium
3. (I) For plots facing 18 mtr. Or more wide road: 5% of the
premium.
(II) For Plot facing 30 mtr or more wide road: 20% of the
premium.

Transfer cases through General/Special Power of Attorney:
Transfer of plot is allowed on the basis of General Power of
Attorney/ Special Power of Attorney. Application for transfer should
come on the prescribed application form available from State Bank of
Patiala, Sector-6, NOIDA & Vijay Bank, Sector-19, NOIDA (Cost of form
is Rs. 100/-). This transfer application form is valid for six month.
In such cases, the applicant will have to submit following documents
alongwith duly filled in prescribed transfer application form:-

1. Registered copy of G.P.A./S.P.A with a certified copy duly
notarised for office record
2. Registered copy of Sale Agreement with a certified copy duly
notarised for office record.
3. The allottee is required to submit Lease Deed/Transfer Deed,
Allotment Letter and possession certificate in original.
4. ndemnity Bond on non-judicial stamp paper of Rs. 100/-(Performa
enclosed with application form)
5. Affidavit on the prescribed Performa on non-judicial stamp paper
of Rs. 10/-(Performa enclosed with application)

In case of first sale, the transfer charges shall be applicable at
the rate of 1.5 times of the normal transfer charges ( 50% more than
the normal transfer charges). The amount of transfer charges shall be
increased @ 50% of the normal transfer charges for each successive
sale involved in the transfer. If the transfer involves single
transaction, then the transfer charges will be leviable for single
transaction. For evaluating the single transaction the general power
of attorney/special power of attorney and agreement to sell should be
executed simultaneously and on the same date. The facility of single
transaction will also be available in case transfer application is
moved by the original allottee and further the transfer deed has been
executed by the blood relation of transferor/transferee.

The power of attorney holder of a prepossession plot can also apply
for transfer of plot but he shall be required to execute lease deed of
the plot under transfer on behalf of the allottee before his
application for transfer of plot is processed.
TRANSFER UNDER BLOOD RELATION
Transfer under blood relation is allowed from allottee / transferee
to wife/husband, son/daughter (Married/Un-Married), father/mother and
vice-versa is permitted without charges.
The following documents are required to be submitted:-


1. Draft of Rs.1000/- as processing fee is to be submitted
alongwith the request for transfer.
2. Affidavit by transferor & transferee duly attested by Notary
Public is required to be submitted.
3. Photograph/signatures duly attested by Banker/Gazetted Officer
of proposed transferee to be submitted.
4. Copy of Ration card or school leaving certificate or pass port
etc. so as to show relationship with allottee.


In case post-possession plot is being transferred in blood relation
then Transfer Deed shall have to be executed within 60 days from the
date of such transfer approval.
---------------------------------------------------------------------------------------

Thanks
Arnab M

[Safal Suri]

Dear Arnab,

Yes. This is what I mean. Else, there was no reason for the Authority to
include this provision, even though it is conditional as of now. What
authority is basically done is kept the option open and in their control.