Many have heard about building completion certificates. But they need to gain knowledge of how important a building completion certificate is, and let's get to know more about it.
A building completion certificate is a required legal document stating that a new building has been finished and erected under all safety norms and regulations under the Buildings Act 2004. The builder must get a No Objection Certificate (NOC) from civic and municipal authorities while the project is being built.
After a comprehensive inspection of the building, the local authority (the development authority, municipal corporation, or panchayat) grants a completion certificate. It, therefore, assures the consumer that the construction work was completed in compliance with the established norms and approved plans.
This certificate proves that the builder followed the National Building Code of India, 2005. The Floor Space Index (FSI), the fundamental structural height of the structure, and many more factors are evaluated before this certificate is granted.
Additionally, this certificate is required to provide the building with necessities like electricity and water. Moreover, the water tariff in residential construction is only changed from non-domestic to domestic after acquiring a building completion certificate.
The builder must obtain a completion certificate to begin processing paperwork, including home loans and property taxes. Buyers can contact municipal officials without a completion certificate, or locals can establish a Resident's Welfare Association (RAW). These steps will only aid purchasers or residents in hastening the receipt of the completion certificate.
In avoidance of any legal issues, it is advised for locals to purchase property from builders that have a completion certificate. The builder must submit a specific sum as a security deposit to apply for a completion certificate. The money is reimbursed if no rule violates.
A building completion certificate is frequently considered exclusive to developers or builders. Whether the builder has a building completion certificate or not is another factor that home buyers frequently need to pay more attention to. However, the buyers must also have a building completion certificate.
Authorities may permit a person to live in a building without a building completion certificate if the majority of construction work has already been done and will finish the property soon. It may occur with initiatives stalled for a while for many reasons.
At the same time, the buyer can go to local authorities for a completion certificate if the developer does not give them a building completion certificate.
The details in a building completion certificate include all the information related to the construction, for instance.
When most of the project's work is finished, a provisional completion certificate will give to the developer, and giving possession to buyers becomes crucial. The developer must apply for the final certificate after the construction is finished because this one is only valid for six months.
After completing the building project, a builder can apply for a project completion certificate. The local municipal authorities, such as a municipal corporation or local development authority, must receive applications from the builders. Only after assessing the construction and the authorities provide the completion certificate.
Certain documents are required for a completion certificate. However, the documents may vary from state to state, and every state has a different set of documents, generally requesting certain documents.
You should always request the completion certificate for residential construction when purchasing a home from a developer. The property is considered legitimate in the eyes of the government when it has a completion certificate for construction. It also guarantees the delivery of water and electricity.
Builders cannot apply for or give you an occupation certificate without a building completion certificate, and without occupation, it is forbidden to occupy the property. The authorities may issue you a fine or eviction notice.
Additionally, you will require a building completion certificate to claim tax advantages related to the mortgages. It will also be necessary when you sell your property or apartment again. Therefore, purchasing that property can be risky if the builder cannot give you a completion certificate.
An occupancy certificate issued by the local civic authority attests to the fact that a building has been constructed under building construction certificate standards and is equipped with all necessary amenities, including the NOC from the fire department. This certificate grants the property's suitability for human habitation. Before moving into a new house, the owner must have a certificate of occupation.
On the other hand, a building completion certificate attests that the building was built under the approved building layout and the standards established by the local authorities, including the building's height and distance from the road, and other things. You must have a building completion certificate to apply for basic power and water delivery services.
Obtaining a building completion certificate is the first certificate after completing the construction of a real estate project. It precisely acknowledges that the structure complied with the following steps and confirms that the building meets the requirements for habitation. Only after obtaining the completion certificate can a developer obtain an occupation certificate.
When buying a home from a developer, is it important to ask for the building completion certificate? A building completion certificate makes a real estate project legal in the eyes of the authorities and ensures a simple and smooth water supply and electricity. Without a building completion certificate, the builder cannot apply for and offer you an occupation certificate.
Additionally, moving into a property without an occupancy certificate is illegal. In such a case, you have a penalty or eviction notice from the local authorities.
Furthermore, you will need a building completion certificate to claim the income tax benefits of your home loan, which will also be required when reselling your house. Therefore, it can be risky if the builder or property owner cannot provide you with a building completion certificate for such a property.