Recently Supreme Court direction from the Central Governmentor for drafting the model buyer-builder agreement which may also be adopted by Indian States. Several issues are arising at times with the agreements that developers get their buyers to sign. Buyers should always be careful to avoid signing agreements of a lopsided nature. Developers are required to put up such agreements on the website of RERA. Buyers should  know more about the best practices behind these agreements. You should go through these developer agreements on the RERA website. Some Indian States like Maharashtra also have their own model agreements in their website.

You have to know  more clarity on the penalty payable if you delay in paying a certain sum of money to the developer. The developers sometimes indicate higher charges than what they are liable to pay  for delayi in possession. There should be some parity between these two charges. RERA recommends a rate of interest which is equal to the prime lending rate of the SBI and two percentage points added to the same.

There should be no ambiguity  present on the delivery of the project. The construction period should not be too long. Even if the project will be completed in a period of four years, the developer may state this as five years in the firm’s filing on the website of RERA .Buyers should always watch out for clauses limiting their freedom to sell their properties anytime after purchase. If someone has purchased an asset, then he or she should have complete freedom to sell the same as well. Clauses mandating payments or charges to developers are properly looked into while selling a property as it is still in the construction stage or within a particular timeline. We have to watch out for force majeure clauses in the agreement if any