The document checklist before you buy

Most commercial property disputes are not caused by bad markets. They are caused by documents that were never read, or never asked for.

This is the list to work through with a property lawyer before any significant payment. Every item here exists because its absence has caused a real problem for a real buyer somewhere.

Title and ownership

• Title deed and the complete chain of ownership
• Encumbrance certificate showing no undisclosed charges or mortgages
• Whether the land is free-hold or lease-hold — and if lease-hold, the remaining term and the transfer conditions set by the allotting authority
• Any pending litigation affecting the property
• Authority allotment and transfer permissions where applicable

Approvals and compliance

• Sanctioned building plans approved by the competent authority
• Occupancy certificate — this proves the building is legally fit for use
• Completion certificate
• Fire safety clearance
• Lift and electrical safety certificates
• UP RERA registration number where the project falls under it — verify it on the regulator's portal yourself

The unit itself

• Unit area statement stating carpet, built-up and super area separately, signed
• Floor plan showing your specific unit, with frontage dimensions
• Confirmation of the loading factor used
• Specification of what is delivered — bare shell, warm shell or fitted
• Parking allocation, if any, in writing

The gap between carpet and super area is where price comparisons quietly break down. Insist on both figures for every unit you compare.

Money

• Payment schedule with every charge itemised and dated
• Stamp duty and registration cost, calculated for your state
• GST applicability confirmed in writing
• One-time charges — infrastructure, maintenance corpus, club, power backup
• CAM rate per sq.ft. per month, and what it covers
• Penalty and interest clauses for delayed payment — and for delayed delivery by the seller

If the unit is pre-leased

• The complete executed lease with all annexures
• Rent, lock-in, escalation clause and frequency
• Security deposit and refund terms
• Who bears CAM, property tax and insurance
• Fit-out and rent-free period
• Exit, notice and assignment clauses
• Confirmation the tenant is actually trading, and the operating entity's details

See pre-leased property for how these terms affect value.

People to involve

• A property lawyer for title and approvals — not the seller's lawyer
• A chartered accountant for tax treatment and structuring
• A registered financial adviser if this is a significant share of your portfolio
• An independent valuer if you are unsure the price is market

The cost of this advice is small relative to the transaction, and it is the only part of the process that is genuinely on your side.

Sources & useful links

External references used on this page. These open in a new tab.

• UP RERA
• Greater Noida Industrial Development Authority
• Income Tax Department, India