What is the importance of Occupancy Certificate in Real Estate?
An occupancy certificate is a document provided by a local government agency or planning body once a new project has been completed.
The certificate verifies that the project was constructed following the appropriate building codes, regulations, and laws. Once the project is finished, the developer is responsible for obtaining an occupancy certificate. The certificate certifies that the structure is fit for human habitation. When applying for water, sanitation, or electrical connections, an OC is necessary. An OC is required for homeowners to ensure their property’s legal status. The local municipal authority has the power to take legal action in the lack of a valid OC for a property because a project without an OC is considered an unlawful building. When applying for a mortgage or buying a resale house, you’ll need an OC. When selling your property, you’ll also require a valid OC.
How can you own an occupancy certificate?
A developer should apply for an OC within 30 days of the project’s completion. You can also apply for an OC from the local corporation or municipality as a property owner. If the project meets all of the requirements for approval, you should get a copy of the OC within 30 days after applying. As part of your application, you will need to provide the following documents:
- Certificate of completion of the project.
- Certificate of completion for the project.
- NOCs have been issued for fire and pollution.
- The most recent tax bill.
- A copy of the approved building plan.
How are occupancy, completion, and possession certificates different from each other?
After checking that a housing project meets all of the standards to be livable, the authorities issue a completion certificate (CC). Only once a CC is awarded to a project does it become ready for house purchasers to take possession of. An OC, on the other hand, is a document that certifies that the project was completed in conformity with all applicable construction standards, building bye-laws, and other regulations. The builder may only apply for various utilities for a project after it has received an OC. The developer issues a possession certificate to the buyer as confirmation of ownership transfer. It specifies the date on which the new buyer takes ownership of the property.
What does a Temporary Occupancy Certificate mean?
A temporary occupation certificate can be revoked at any time. The word “temporary occupancy certificate” does not appear in any authority’s rule book. However, there is a word known as a ‘half completion certificate,’ which confirms that the builder can complete the towers promptly. Buyers should keep in mind that a penalty plan has a five-year term, which can be extended for two years with a fee at most. Once a buyer has taken possession of a temporary OC, he must immediately request a permanent OC from the builder upon completion.
Disclaimer: The views expressed above are for informational purposes only based on industry reports and related news stories. PropertyPistol does not guarantee the accuracy, completeness, or reliability of the information and shall not be held responsible for any action taken based on the published information.
