In order to understand the industry well, you need to read to know the various property terminologies regarding the real estate industry. The glossary spells out words ranging from real estate buying, renting, financing, mortgages, disposal, development, management and including RERA definitions of properties for commercial benefits.
A
Q) Abatement NoticeA) Abatement Notice is a legal notice that is served by owners or tenants when they violate local laws with reference to maintenance of property and the consequences in case they fail to correct it.
Q) Acre
A) One acre of land is 4,840 square yards (or) 4,046.86 square meters.
A) Refers to the Real Estate (Regulation and Development) Act of 2016. Also known as the Central Act of 2016/RERA Act, 2016.
Q) Addendum
A) Addendum is a legal document or information attached or added to clarify, modify, or
support the information in the original document.
A) An officer appointed by the Government under sub-section (1) of section 71 who is mandated to adjudicate the disputes arising under section 12, 14, 18 and section 19. An Adjudicating Officer must be someone who has been a District Judge.
Q) Advertisement
A) Information released in the media, such as notice, publicity, promotion or details
regarding real estate projects, sales and investments.
A) An agent is any person registered to conduct real estate transactions.
Q) Agreement for Sale
A) A legal contract between the buyer and the seller, that comprises of the terms and
conditions (such as selling price, date of full payment etc.) of sale of a property.
A) Alienation Clause is a financial clause that enables the lender to collect the remaining loan amount in lump sum after the sale of property.
Q) Alley
A) Alley is a narrow lane or passage between or behind buildings.
A) Allottee is a person to whom something is allotted by the builder, development authority or government. And, Allottee is a person, to whom a plot, building or apartment is allotted, transferred or sold. This does not include a person to whom it is given on rent.
Q) Apartment
A) A distinctive enclosed space of a non-movable property consisting of one or more rooms
and located on one or more floors of a building, primarily used as residential space.
Q) Appellate Tribunal
A) Also known as Interim Appellate Tribunal, established under section 43 (4) of the Real Estate (Regulation and Development) Act, 2016. It is a legal body that deals with immediate dispute reprisal. Appellate Tribunal is proceeds hearings based on the decisions, directions or orders from RERA.
Q) Appraisal
A) An act of assessing something and evaluating its value by a qualified person.
A) Appreciation is an increase in the value of an asset over time.
Q)Appropriate Government
A) According to Section 2 (g) of RERA Act 2016, the term ‘appropriate’ government means the
following:
- For the Union territory without Legislature, it is the Central Government;
- For the Union Territory of Puducherry, it is the Union territory Government;
- For the Union Territory of Delhi, it is the Central Ministry of Urban Development;
- For the State, it is the State Government;
A) A person registered as an architect under the provisions of Architects Act, 1972.
Q) Assessed Valuation
A) Assessed Value is the price of asset taken by the government for tax purpose.
A) A collective of allottees of a Real Estate Project that act as a group to serve the cause of its members. It includes authorized representatives of the allottees.
Q) Authority
A) Also known as Real Estate Regulatory Authority or Interim Authority, it is established
under section 20 (1) of the Real Estate (Regulation and Development) Act, 2016. It enables
the Government of Karnataka to appoint Principal Secretary to Department of Housing as
the Interim Authority.
B
Q) Basic Selling Price (BSP)A) Key Selling Price in land is the base rate per sq ft at which a property is recorded by the owner. It is generally exclusive of any additional charges, for instance, charges, unique region charges, and other upkeep commitment.
Q)Building
A) A non-movable property such as a structure or erection intended for residential or
commercial purposes.
A) Building plan/structure plan is a pictorial portrayal of how the building will appear post construction.
Q) Builder's Association of India (BAI)
A) Established in 1941, Builder's Association of India (BAI) is a vertex that represents the
civil construction or development organizations. A large portion of the framework
advancement firms and land developers of India fall under the umbrella of BAI.
c
Q) Capital Gain TaxA) Capital gains tax (CGT) is collected on the additional gains acquired out of the sale of a non-stock resource. The profit earned from the sale is eligible of being taxed as per the salary slab or at 20% depending on how long it has been with the proprietor. There are two sorts of capital gains in land – Short Term Capital Gains (STCG) and Long Term Capital Gains (LTCG).
Q) Carpet Area
A) One acre of lanThe net area of an apartment that excludes external wall thickness, service shafts
spaces, balcony, veranda and open terrace areas. In other words, it is the net usable floor
area inside an apartment that includes internal wall thickness.
A) Declaration of consolidation is a legal document expressing the establishment of a new venture or company. It is issued by the state government and fuses nuances, for instance, date of solidification, legal proprietors and name of the association.
Q) CIBIL
A) India's first Credit Information Company, Credit Information Bureau Limited (CIBIL),
gathers and keeps up records of a person's advances, charge cards and the related
installments.
A) CIBIL credit score A CIBIL Credit Score, otherwise called CIBIL TransUnion score, is a 3 digit number which outlines a person's credit and money related wellbeing. It sets up the credit-value of a person.
Q) Civic Infrastructure
A) The subset of framework division which incorporates essential comforts given by the
civic bodies are called city framework. It can incorporate offices, for example, sewerage,
seepage and water and power supply.
A) A city overview plan is the draft proposition to study a city/town/village to plan the development of different physical highlights, for example, private stashes, streets, sewerage and seepage lines and other framework ventures.
Q)Clearance Certificate
A) A clearance certificate is required to bear witness to that a substance/individual has paid
all dues and is clear of any liabilities that they held towards another entity/individual.
Non-issuance of a clearance certificate holds a person liable to pay the individual the
amount they owe to them.
A) Commencement certificate is a legitimate report issued by the close-by specialists to a land designer giving them the last permit to start advancement. It is issued essentially after the maker demonstrates each required opportunity and approves as per the stipulated fundamentals and controls communicated by the masters and the National Building Code. It is necessary for a producer to gain this record before starting the improvement of a building.
Q)Common Area
A) Also known as Building Permit or Construction Permit, it is a document issued by the local
authority, which permits the promoter to initiate development activities as specified in the
sanctioned plan.
- In an apartment, it is the staircases, lift, lobby, fire escapes, common basement, entrance and exit to the building.
- In a building complex, it is the parks, play areas, open parking areas, common basements, terraces and storage spaces etc which can be used by all the occupants in the complex.
- Portion of the project dedicated for its safety and maintenance that incorporates space for installations of electricity channels, gas, water, sanitation, AC, solar heaters, water tanks, sumps, security surveillances etc.
A) A legal body established by the Government for time being that possess power over land under its jurisdiction and is authorized to permit developmental activities in it.
Q) Completion Certificate
A) Completion Certificate is an authoritative record issued by the municipal authority or an
approved planner/design affirming the completion of the project. The certificate is granted
only if the building satisfies all development and security standards as mentioned by the
National Building Code.
A) Conveyance deed is an authoritative archive that demonstrates the exchange of property title starting with one individual then onto the next. It is like a Sale Deed, be that as it may, the prime distinction between the two is that a Sale Deed exchanges the title of a property if there should arise an occurrence of a deal. While, a transport deed does likewise in the event of a blessing, trade, rent, contract or some other conditions.
Q) Cooperative Society
A) An association registered/deemed-to-be-registered under Karnataka Co-operative
Societies Act, 1959 (Karnataka Act 11 of 1959).
A) A Co-borrower is an extra borrower of a credit. A joint credit should be possible with either life partner or blood relatives. Taking a joint advance permits profiting higher advance sum as well as offers some tax breaks.
Q) CREDAI
A) Established in 1999, the Confederation of Real Estate Developers' Associations of India
(CREDAI) is an apex body for private property developers working towards an organized
industry. There are as of now 11,500 land engineers from 156 urban areas who are a piece
of CREDAI.
A) The Credit Information Report (CIR) is a record of the credit installment history. The data is according to the bank records and data from financial institutions. It enables loan givers to know the person's record as a consumer before giving an advance.
D
Q) DayA) A working day in the State territory, notified by the State Government from time to time.
Q) Development
A) A physical change brought about on a land or any immovable property, in terms of
construction, reconstruction, engineering, design or architecture.
A) Any developmental activity conducted on immovable property.
Q) Down Payment
A) Down Payment is the underlying installment done while buying something using a loan.
In land, initial installment is generally 10-20 percent of the absolute estimation of the
property, contingent upon the installment plan offered by the vendor.
E
Q) EMIA) EMI represents Equated Monthly Installment. It is the egularly scheduled installment that a borrower is subject to make to the loan specialist. It satisfies both the principal sum and the interest over a chose timeframe, for the most part running into years.
Q) Encumbrance
A) Encumbrance is any weight/advance/guarantee on a benefit. It impacts the transferability
of the property being referred to. An Encumbrance Certificate is the legitimate verification of
a property being free from any such risk.
A) A person who holds a Bachelor’s Degree or any equivalent degree by an Institution recognized by All India Council of Technical Education (AICTE) or any University recognized by University Grants Commission (UGC).
Q) Estimated Cost of Real Estate Project
A) The total cost incurred for the complete development of real estate project including land
cost, taxes, labour charges, raw material cost etc.
A) Outdoor developmental activity conducted such as roads, footpaths, drainage systems, waste disposal management, electric supply transformer etc. that are either on the periphery or outside the project area for the benefit of improving the locale.
F
Q) FamilyA) In the Indian patriarchal context, it is a group of individuals consisting of a husband, wife, minor son and unmarried daughter who are dependent of the family head.
Q) Freehold Property
A) A freehold property is 'free from any hold' and offers a boundless and full belonging to
the buyer. The purchaser is permitted to move and further trade the duty regarding property
similarly as the touch base on which it stands.
A) A home acknowledge plan for settled rate of premium is the one in which the superior rate does not differ in the entire development time span subject to showcase components.
Q) Floating Rate of Interest
A) A home loan plan with floating rate of interest is the one in the interest percentage can
fluctuate during the loan period based on several market dynamics. It is also known as
variable or adjustable interest rate.
A) A Floor plan is a scale outline of the situation of rooms, open spaces and different parts of a constructed space.
G
Q) GarageA) An enclosed space within a project for parking any vehicle. Unlike a parking lot, garage is a structure with walls on three sides and a door and is usually present in independent houses and villas. Section 2(y) of RERA Act, 2016 suggests that garage can be sold to the allottee independent of the apartment.
Q) Grant of Registration
A) Upon the registration of a project as per section 5, the Regulatory Authority shall issue a
registration certificate with a registration number in Form-C to the promoter.
A) An indirect tax. GST is levied at every step in the production process, but is meant to be refunded to all parties in the various stages of production other than the final consumer.
Q) Guarantor
A) For the advancement of home loans, a guarantor is a person who acts as a collateral
security.
H
Q) Housing Finance Companies (HFC’s)A) Housing finance companies provide financing for housing either directly or indirectly, primarily or as one of their main objectives. These companies are registered under the 1956 Company Act (1 of 1956).
I
Q) Immovable PropertyA) An immobile property such as land, buildings and any other physical property that is eternally attached to the earth.
Q) Indenture
A) One acre of land is 4,840 square yards (or) 4,046.86 square meters.
A) The act that governs the payment of stamp duty to the government for real estate transaction.
Q) Institutional Investor
A) An organization that invests money in real estate assets and various other types of
investment properties.
A) Inventory in real estate refers to total sq ft of rentable area available on offer for a buyer.
Q) Interest
A) It is the Rate of Interest on a specific price payable by the promoter or allottee, based on
the context.
A) Developmental activities conducted within the project site such as parks, garden, tree plantations, rain water harvesting, energy conservation plants, water supply, sewage systems, fire safety requirements, etc. for the benefit of the occupants.
J
Q)Joint AgentA) When the principal employs two or more agents to act on his behalf. In case of agents, if one agent makes the sale the remuneration has to be shared by both parties in agreed upon proportions.
Q) Joint Ownership Agreement
A) An agreement between the proprietors who hold the same assets or properties. Rights to
ownership, responsibilities and monetary contributions are defined as a part of this
agreement.
K
Q) KhataA) Khata document is a document which records information on the property taxes that have been paid for a specific property to the local authorities.
Q) Kick-Out Clause
A) A Kick-out clause allows sellers to continue showing the property to potential buyers and
'Kick out' an existing offer should a better one come along. The clause allows the seller to
sell to a second buyer without having to pay a fine to the first one.
L
Q) Land Survey NumberA) Every piece of land is assigned a particular ‘survey number’ so as to stay a legal record of its location, shape, size and possession. A surveyor assigns a singular variety to each land parcel, which might be used at the time of legal disputes. A land survey numerical is additionally vital for registration and sale of the plot; and land acquisition method.
Q) Layout Plot Plan/ Site Plan
A) A site plan is Associate in Nursing drawing or a group of construction drawings of a given
site/plot. It's a graphic illustration of the assorted components to be made on a bit of land.
This footprint might embrace options like arrangement of buildings, parking tons, landscape
and different civic amenities like emptying facilities, hygienic sewer lines, water lines etc. it's
sometimes conducted by professionals like accredited engineers or architects.
A) An estate property is partly in hand by the client for a pre-decided fundamental time span. The client owns the property, principally a flat, however not the land on that it stands. The renter is entitled to pay a ground premium and annual lease rent. When the lease comes to a closure, the possession of the property transfers to the freehold owner. In India, estate amount usually goes up to 90-99 years.
Q) Local Authority
A) It is the Municipal Corporation/Municipality/Panchayat or any other Local Body
established under the law for providing municipal services such as water, electricity, street
lights, roads etc for the areas under its jurisdiction.
Q) Location Plan
A) A location arranges could be a master development arrange of a location, indicating the
proposed/planned usage of a district or piece of land. it's ordinarily used for a large
geographic region like a city, village etc.
M
Q) MemberA) An individual appointed to Real Estate Regulatory Authority under section 21.
Q)Mutation
A) Mutation is that the method of adjusting title possession from one person to a different.
It's to be worn out in all cases of property transfer like sale-purchase, gift, death of
possessor or perhaps purchase created through Power of professional person (PoA). By
doing this, the new owner gets the property title beneath their name, and therefore the
government is in a position to stay their records updated and collect taxes from the correct
owner.
N
Q) National Building Code (NBC)A) National code (NBC) refers to a set of rules and laws for the development of buildings in an Asian nation (India). It's a document set to standardize the development quality of properties in terms of building necessities, construction material, structural necessities, hearth safety and plumbing necessities. It's developed by the Bureau of Indian Standards (BSI) and is a national instrument for guiding construction activities.
Q) No Objection Certificate (NOC)
A) NOC may be an instrument issued by any agency, organization or institute indicating the
intent of not objecting with the agreements mentioned within the document.
A) An announcement published in the Official Gazette. The expression ‘notify’ will be interpreted accordingly.
O
Q) Occupancy Certificate (OC)A) Certificate issued by the local development authority stating that a property is fit for occupation. OC is issued only after the receiving approval from water, electricity, drainage, fire and safety officials.
P
Q)Person
- An Individual;
- A Company;
- A Competent Authority;
- A body of individuals;
- A Hindu Undivided Family;
- A cooperative society registered under law;
- A firm under the Indian Partnership Act, 1932 or the Limited Liability Partnership Act, 2008;
Q) Physical Infrastructure
A) Physical infrastructure could be a set of infrastructure sector associate degreed
sometimes includes basic physical structures that are very important for the functioning and
survival of an economy, town and neighborhood. Transportation networks like roads, rail,
airports and mass transits; communicating and telecommunication services etc are a
component of the physical infrastructure.
Q) Preferential Location Charges (PLC)
A) Preferential Location Charges (PLC) are the extra charges levied for the sale of a
location that is that the most well-liked by patrons. These charges may be hooked in to the
situation of a property in respect to open areas like parks or roads or on the ground on that
it's set.
Q) Promoter
A) In simple terms, a person is someone who develops a land into project through
construction in order to sell them. A promoter may be a builder, colonizer, contractor or a
developer who holds the power of attorney from the owner of the land.
Q) Property Card
A) A property card could be a legal proof of the possession of a land in AN geographic
region. It contains the history of possession of a land parcel. The document is employed in
case of court litigations associated with land at intervals the town limits.
Q) Prospectus
A) A document describing the details of a project and sales offers by inviting any person to
invest or deposit money for such purposes.
Q) Punitive Provisions
A) A feature of RERA Act, 2016 that allows provision for de-registration of the project and
penalties, in case of contravention of the provisions of the Act, or the orders of the
Authority/Tribunal.
Q
Q) Qualified CovenantA) A restriction contained in a legal document that limits the rights of a person's interest in a piece of land.
R
Q) Real Estate AgentA) A person who acts on behalf of another entity to negotiate and sell a plot, apartment, project or a property, in exchange of remuneration for his services. Real Estate Agent is a medium though which the sellers and prospective buyers can meet and negotiate a deal.
Q) Real Estate Appellate Tribunal
A) A legal body established to hear appeals from the orders of the Authority and the
adjudicating officer. This tribunal is headed by a sitting/retired Judge of the High Court with
one judicial and one administrative/technical member.
A) A milestone legislation passed by the Government of India in 2016 with an objective to reorganize the real estate sector in India by encouraging greater transparency, citizen centricity, accountability and financial discipline. All sections of RERA Act came into force with effect from May 1st, 2017.
Q) Real Estate Project
A) Construction, development and maintenance of buildings, complex, apartments,
townships etc, for the purpose of selling them.
A) Return on Investments (ROI) may be a gain ratio. it is used to verify the profit one will earn over their investments in proportion.
Q) Registration Charges
A) Registration of a property makes the customer the legal owner. Without it, the legal rights
of the property still be unconditional with the developer. to induce a property registered, the
customer is needed to pay the required stamping and registration prices. These prices vary
from state to state. On a mean, in India, the registration charges vary between 3-8% of the
overall registered value of the property, reckoning on precise location and registrar
jurisdiction.
Q) Rule
A) Rules related to Real Estate formulated by the Government.
S
Q) Sale Deed/ Final DeedA) Sale Deed or Final Deed is that the most significant document created between the client and also the merchant of a property. This document contains all the clauses of the acquisition like the ultimate deal worth, the accepted model and amount of payment, the parts sold-out and enclosed services/facilities. The sale of a property isn't thought-about valid till the sale agreement has been signed by each the parties. it's ruled by the Registration Act of Republic of India.
Q)Sanctioned Plan
A) The comprehensive project plan consisting of the details of site, landscape, zoning,
building, services, parking, structural designs etc. that has been approved by the competent
authority prior to its execution.
A) The set of infrastructure sector which has social services like academic establishments, health care facilitates, retail and amusement avenues etc is termed social infrastructure.
Q)Stamp Duty
A) Stamp Duty could be a tax levied by the govt on purchase of property. just in case of a
builder floor, taxation is calculated by dividing the full price of the plot and also the price of
construction by the quantity of floors. The taxation rates in Bharat vary from state to state
and vary between three.50-12.50 percent of the registered price of the property. Some
states give rebates within the taxation charges for females and rural areas.
A) Sub-registrar of Assurances is that the authority through which the Sale Deed has to be registered by four months of the execution of the document.
T
Q) TahsildarA) States are divided into districts; and a few districts are divided into Tahsils. Tahsildars are revenue officers chargeable for collection taxes from Tahsils. They are Category-I gazetted officers in the most of the states of India.
U
Q) Undivided Share (UDS)A) UDS or Undivided Share is that the share of land every living accommodation is allotted during a housing society. This share is registered on the living accommodations owner's name. The overall value of a property involves 2 major prices of construction and raw materials, and also the cost of land (UDS). Whereas the previous depreciates with time, the latter appreciates.
V
Q) Virtual TourA) A virtual Tour is a scaled 3D replication or a sweeping viewpoint of a location. It is made using various comprehensive pictures or videos. The 360 tour can be enhanced using audio and video additions to make it more immersive.
W
Q) Working DrawingsA) A set of plans that show how the construction of a building should proceed. It includes a set of specifications for the projects.
Q)Written Down Value
A) The value of an asset after making deductions for depreciation.
Y
Q) YieldA) The return gained by an investor. It is expressed as a percentage of the amount invested.
Z
Q) ZoningA) Division of city or town into smaller parts. This enables authorities to set structural, architectural and usage standards for each building in the zone.
Q) Zoning Ordinance
A) A zoning ordinance are rules regarding how people can use land and buildings within a
certain area which controls and directs the use of a particular land and construction
improvements in a specified location.
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Q) 3D Floor PlanA) A 3D Floor Plan is a three dimensional perspective of a building/unit floor plan. It portrays a bird eye view to see and passes on the compositional plans with more subtleties.
