Hyderabad: Real estate firms who are luring the public with fancy flats and plots in gated communities near Hitech City or the Rajiv Gandhi International Airport (RGIA) are failing to complete projects in time. In the last seven months, about 30 complaints were lodged with state and district Consumer Forums in Telangana and Andhra Pradesh. In about 10 cases, the consumer courts directed the construction companies to refund the amount along with 12 per cent interest and charges for legal expenses.
Most of the real estate ventures target NRIs with attractive advertisements of flats and plots in Hyderabad but the projects are located about 10 to 20 kilometres from the city on its outskirts. Some firms lure buyers with EMI payment option; every month, there is a lucky draw in which customers would get exemption from the remaining EMIs, besides winning a car, two-wheeler, TV or other electrical appliances.
Many real estate firms are fake; they had developed layouts on unapproved lands. In most cases, the companies which offered EMIs cheated customers after they paid up 30 to 40 EMIs. Cases were registered against ventures like Alliance Developer, Veda Gayatri Agraharam (only for Brahmins) etc. Legal experts suggest that the customers should sellect a proper company before entering into an agreement.
President of Confederation of Real Estate Developers’ Association of India, Telangana, G. Ram Reddy, said customers can get legal advise by spending between '5,000 and '10,000 before purchasing a flat or plot. “Legal experts verify approvals, land details, link documents, previous registration details, land category, whether it was converted from agriculture land or not. Always think of consulting a legal professional before entering into transactions on land and apartments worth millions,” he said.
Beware of deals on development:
Builders are luring owners of independent houses or open plots with offers to develop the site. The builder offers to construct apartments with a share of 40:60 or 50:50 with the owner. The builder would bear the cost of construction and the owner would get a certain number of flats as his share and, depending on the deal, some money as well. In most cases, builders delay construction due to the lack of response from customers, increase in material cost or approval.
Mr G. Ranganayak from Kondapur said he had a 2BHK house on a 400 square yards plot in Rajarajeswari Colony and signed an agreement with a builder. “The builder started construction four years back. He has not completed it so far. I have been staying on rent paying Rs 12,000 per month. The builder is delaying the construction. I am helpless,” he said. Some victims have been waiting for 10 years. Experts say that they should approach legal experts before signing deals as most people do not understand the deal’s fine print, which builders then exploits.
