Return of property to builder
Bharadwaj
(Querist) 23 March 2014
This query is : Resolved
Dear Sir,
We had purchased a property at Pune in June 2012, with the proposed possession date of September 2013, however we are yet to get the possession. Currently we have decided to move back to our home town and have decided to sell the property, this did not materialise since the property is not ready for possession. We had a word with the builder on this and he has agreed to take the property back. On the back of this we have the below questions:
(a) General procedure / practice followed in returning the property to the builder
(b) How is the amount of refund calculated (there is a clause in sale deed to pay the amount received with 9% simple interest)
(c) What are the charges applicable for cancellation of a sale deed
(d) Can we get the refund of stamp duty paid during the time of registration
(e) Can we get the refund of Service tax / VAT paid to the builder, will this be considered similar to a sales return.
Awaiting your advice,
Bharadwaj
ajay sethi
(Expert) 24 March 2014
deed of cancellation to be executed by the parties . if builder is willing to refund with interest then you will get 9%interest .
if you are getting better rate than offered by builder sell it to third party .
you wont get refund of stamp duty paid
Vidhi Joshi
(Expert) 24 March 2014
agree with sethi ji.
Rajendra K Goyal
(Expert) 24 March 2014
(a) Agreed terms and conditions for the purpose.
(b) As per agreement and understanding reached.
(c) Builder may charge heavy, first agree upon all the terms and conditions before proceeding.
(d) No
(e) Service tax paid Can be adjusted with new buyer.
You should try to search another buyer at some better deal. If you want to proceed with the builder, agree on all terms and conditions in writing. Better take PDC or Payment in lump sum.
T. Kalaiselvan, Advocate 
(Expert) 25 March 2014
Instead of all the hassles and hurdles, wait for the completion and possession of the property, look for a prospective buyer and better get profitable deal by reselling it though it may take a little more time.
krishna mohan
(Expert) 26 March 2014
Well advised by experts. Having waited wait for little more time to reap the benefit of your hard earnings.
