The real estate industry will not exist without the builders as they are the most important part of this sector. They are the ones who are responsible for the construction of the project and for getting approval from the various departments.
The real estate market in India is on the increase and this is why the builders are investing in different parts of the country quite fast. To combat any fraudulent activities in this sector, the government has also come up with some stringent laws so that the buyers can feel safe and protected. But still, there are cases where it has been found that the buyers are lured by builders based on false promises.
The common fraudulent activities by builders are mentioned below:
- Making false promises: This is perhaps one of the most common types of scams in which a builder does not meet the promises made by him or her when the purchase is made. Some of these include the percentage of returns, date of handover of house ownership, free gifts etc.
- Deceitful Titles and Conveyance: The innocent buyers who invest all of their hard earned savings towards their dream home are the ones who face this type of scams. This type of scams is carried out by builders who duplicate title deeds of real estates that are in dispute and sell them to the buyers. By the time the customer understands this, it becomes difficult to trace the buyer.
Moreover, there are builders who after completion of the project often deny providing the conveyance certificate.
- Rental Returns Scam: This is an advertising tactic undertaken by builders in which they offer guaranteed returns if the property is given on rent. This type of scam targets those who are purchasing the property as a means of investment. Builders who are into such fraudulent activities create counterfeit rental listings of their property to lure buyers.
- Delays that are determined by the builders: Builders who say that there is a delay in the project because of pending approvals or because of the scarcity of raw materials are actually not true. As in reality; either they are not able to sell all the flats of the project or they are utilizing the money of this project for another one.
It is important that you know about all these scams; so that you do not end up falling into a trap while making a property purchase. With that being said; there are still several honest builders in the country who ensure that as a buyer you get your possession on time with all the legal matters in place.
So, always look for best builders in Delhi who are genuine and have been in this sector for years.