Hi – need an advice from all senior folks on the below mentioned points...

· I have already paid the booking amount i.e. 10% of the total cost. However, the builder is asking me to pay the second instalment before time to sign a BBA. Is there a mandate that the buyer needs to pay x% amount before signing a BBA?
· Builder hasn’t even released the flat layout. Is it ok to Sign a BBA without looking at the layout.
· What are the key things I should keep in mind before signing a BBA?

Your comments on the above mentioned points would be much appreciated.

Regards,
Varun
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  • The BBA is suppose to have the final layouts . I am yet to see a BBA, without the layouts ( maybe, i did not face such a situation ) . Paying 20 % of the cost & then signing the BBA is not much of an issue . Worrisome is BBA without layouts .

    If u can name the Builder & the project, things should be much clearer for everybody to comment .
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  • Hi Manoj – Thanks for the reply.

    The builder is earth Infra. (Copia).
    Their layout are not yet out and they want me to pay the 2nd instalment before time; Though they are not pushing me for it but they say that I can get a BBA only after I pay the 2nd instalment, Due date for which is 35 days away.

    · In first place; I thought it was mandatory to have a layout plan in BBA. Though i am not sure; so thought about checking.
    · Would it be ok to wait for 35 days and get the BBA later?

    Pardon my ignorance if some questions sound very basic. I am a new investor; i have invested in this property so that i can live here myself or if it throws quick gains then i can move to pick another one.

    Regards,
    Varun
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  • No harm in paying 20 %, before BBA, most Builders ask for it . But BBA without layouts is something new for me .

    Since, the Builder is Earth Infrastructure, just be careful . Take a look here ( & also at Earth's various threads in Noida/G. Noida part of the forum . Specifically, look at the complaints of many forum members, who r invested there ) , if u haven't already -


    http://www.indianrealestateforum.com/other-developers/t-earth-infrastructure-complaints-15749.html
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  • Thanks Manoj… I went through these URLs after I had paid the initial amount. L
    Looks like you are pretty hands on…J

    I don’t think I’d sign anything without looking at the layout and a committed completion date (I am sure they all defer from it; but at least I need a tentative date in writing.) If this doesn’t happen, I’ll explore the option about withdrawing my initial payments.

    Ø Any idea if there are any deductions on withdrawing the initial amount? My cheques have been cleared but I haven’t signed a form yet.
    Ø Is there anything else, I should keep in mind before signing the BBA?

    Regards,
    Varun
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  • Originally Posted by MANOJa
    No harm in paying 20 %, before BBA, most Builders ask for it . But BBA without layouts is something new for me .

    Since, the Builder is Earth Infrastructure, just be careful . Take a look here ( & also at Earth's various threads in Noida/G. Noida part of the forum . Specifically, look at the complaints of many forum members, who r invested there ) , if u haven't already -


    http://www.indianrealestateforum.com/other-developers/t-earth-infrastructure-complaints-15749.html


    ab to aap dara doge agar kisi ne wo pad liya to , who has already invested here................lol

    Raaton ke neend chali jaayegi , hence I suggest not to read it who have invested in this project.....

    NOTE: A person always does the things for which he is told not to.......
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  • I somewhat agree but i guess Manoj is being nice by sharing facts that he found on the internet...

    ab to paise lag gaye bro... jo hoga dekha jayega... one thing is for sure ki property kabhi loss main nahi jati...

    but some info on the above mentioned points would really help.

    -Varun
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  • Aap agar nahi dartey facts se, good for u .

    Aisey Builders mein invest karo ge to subah ki bhi need chali jayegi .

    NOTE : If a person wants to commit suicide & is hell bent on it, no body can stop him .


    Originally Posted by amit.bhalla
    ab to aap dara doge agar kisi ne wo pad liya to , who has already invested here................lol

    Raaton ke neend chali jaayegi , hence I suggest not to read it who have invested in this project.....

    NOTE: A person always does the things for which he is told not to.......
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  • Originally Posted by VarunSachdev
    Thanks Manoj… I went through these URLs after I had paid the initial amount. L
    Looks like you are pretty hands on…J

    I don’t think I’d sign anything without looking at the layout and a committed completion date (I am sure they all defer from it; but at least I need a tentative date in writing.) If this doesn’t happen, I’ll explore the option about withdrawing my initial payments.

    Ø Any idea if there are any deductions on withdrawing the initial amount? My cheques have been cleared but I haven’t signed a form yet.
    Ø Is there anything else, I should keep in mind before signing the BBA?

    Regards,
    Varun



    Thanks bro… I am sure you both are trying to help.
    But the fact is that I have already paid the booking amt.
    Can any of you help me with the other two points mentioned in my post… That would really be helpful.

    "Any idea if there are any deductions on withdrawing the initial amount? My cheques have been cleared but I haven’t signed a form yet.

    Is there anything else, I should keep in mind before signing the BBA?"

    Thanks!
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  • Deduction on canceling the booking would depend on what u have signed ( initial agreement & maybe, anything more u have signed ). Expect something close to 10 % of what u have paid ( but deduction, rather non deduction could depend on yr. persuasion power & yr. contacts/influence ).

    Search the forum . Some guys have posted the BBA's . Study them . If u find something abnormal in yr. BBA, that can be specifically discussed .
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  • Now..a days most of the builders are taking 20-30%...and signing BBA at the time of demanding 30%th instalment...

    BBA has all terms which always speak in favour of builder only..

    Just check the clause for surrender or cancellation.
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  • Varun,What was the price you bought at. The project is on premium now.Dont press panic button else you may repent later on.

    Forget what Manoj has mentioned .He has been highly critical for this builder (or for that matter all builders on Dway) without any substantials.

    As far as next EMI is concerned even I have received the same.But I will pay only after seeing layout .

    In nutshell nothing to worry about as some people are making you to .

    Happy Investing .
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  • Advice for Varun

    Varun,

    Manoj has given you correct and unbiased feedback. Well, I am not an expert in RE but have gained some experience ever since I booked flat in Earth Infra's Earth Towne in July'10. Eventually, I had to seek refund of my money after around one year.

    As far as my experience is concerned, it is a common practice amng many builders to accept 10% as booking amount and then sign BBA and then raise demand for further installments. Though payment plan may mention a specific period but builders do not go strictly by it before signing BBA. Almost all builders in CLP mention next payment of 10% within 30 or 45 days. But they do not demand next installment untill BBA is executed.

    No bank will disburse the loan untill unless BBA is executed. Booking application form is mere formality where everything is provisional. BBA includes the approved site map, specifications of the flat, and other important clauses such as project completion date, penalty, Earnest Money, Unit plan, whether project is escalation free or not.

    Reputation of builder is something that we must consider before booking a flat.

    When I was about to book my first ever flat last year 2010. I considered everything like loading, facilities, price but I failed to consider one important fact i.e. reputation of builder. I made mistake by booking flat in Earth Towne coz they later on changed size of the unit by 100 sf, loading increased, site map was changed, so I lost the good location of my flat.

    I had paid 10% for Earth Towne and then they started demanding next installment even before entering into BBA and even before their map was approved. I got home loan sanctioned twice and on both occasions loan period(6 months after revalidation) lapsed because Earth did not provide necessary document. Later on, their entire site map was changed and they increased 100 sf area by providing only one additional balcony. Finally I took my money back. I really had harrowing time with Earth.

    I would advice you not to pay next installment without entering into BBA.


    Check following things.

    (1) Whether project is escalation free or not.
    (2) Earnest money (in Earth Towne, they have referred 20% as earnest money that will be forfeited in case of serious default on the part of allottee)
    (3) Make things clear by taking their commitments in writing.

    I hope I have been able to provide you some help.
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  • Not interested in answering your same old stories . stpdcomonman, an investor with Earth has already answered & presented the facts ( see his post, before this post of mine ) . Who & why, some people r giving biased views is quite clear .

    I would again repeat, stop spreading misinformation & misguiding people . I have nothing against this builder & the D e way . Open yr. eyes to many posts of mine on this .


    Originally Posted by PremPP
    Varun,What was the price you bought at. The project is on premium now.Dont press panic button else you may repent later on.

    Forget what Manoj has mentioned .He has been highly critical for this builder (or for that matter all builders on Dway) without any substantials.

    As far as next EMI is concerned even I have received the same.But I will pay only after seeing layout .

    In nutshell nothing to worry about as some people are making you to .

    Happy Investing .
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  • Your hatred towards this Earth and chintel is well known to all who have been following up your posts for the last few months.

    Having nothing new you keep on posting same posts of complaints again and again(May be more than 50 times, till date).And then you say you have nothing against them.

    please donot mislead people and stop spreading rumours about earth and chintel.
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  • What i have said against Chintel is substantiated with facts ( if one chooses to ignore them, cannot help it ) . The proof is all there in that thread in black & white .

    What i have said against Earth has been substantiated by many forum members, who r invested there .

    Please counter the facts with facts in these threads, instead of spreading rumors .

    I would again repeat, stop spreading misinformation & misguiding people . I have nothing against this builder & the D e way . Open yr. eyes to many posts of mine on this .

    .....& of my repeating things, sometimes repeated lies needs to be countered with repeated facts . Please answer to facts, instead of repeating yr. rants ( maybe, u have done it more than 100 times by now )
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