India Real Estate Dictionary — 1070+ Property & RERA Terms Explained

Pagdi System

Legal

Also called: Pagri, Pugree, Salami

A tenancy practice found in Mumbai and Gujarat in which a tenant pays a large upfront sum, along with low monthly rent, to get a long-lasting right in the premises. The tenant can often pass it on to heirs, and the owner shares in a sale or redevelopment.

Example & agent tip

Example: A tenant in an old Mumbai shop holds it on pagdi at a nominal rent. When the owner wants to redevelop, they negotiate a share of the new area.

Agent tip: Redevelopment or sale of a pagdi property needs the tenant's agreement. Check the tenant's rights first.

Pagri System

General & Places

Also called: Pugree

A Mumbai practice where a tenant pays a large lump sum to the landlord to get or continue a tenancy at a low monthly rent, and may later share the sale value of the building. Legal rights depend on the tenancy law and agreement.

Example & agent tip

Example: A shop tenant in old Mumbai paid pagri decades ago and now claims a share in the redevelopment.

Agent tip: Do not buy or sell a pagri tenancy without legal advice. Rights differ between old rent control cases.

Panchayat

Authorities

The village-level local self-government body. In rural areas it manages common land and may approve building plans where the state law gives it that role.

Example & agent tip

Example: A village plot sale needs checks on the panchayat's role in common land.

Agent tip: Check for shamlat land and the panchayat's no-objection.

Related: Shamlat Deh Abadi Deh

Panchkula

General & Places

A planned city in Haryana next to Chandigarh, with numbered sectors. Projects fall under HRERA and the Haryana town planning rules.

Example & agent tip

Example: A buyer chooses a builder floor in a Panchkula sector.

Agent tip: Quote the sector and check HRERA registration.

Related: Tricity HRERA HSVP

PAPRA

Authorities

The Punjab Apartment and Property Regulation Act, 1995, Punjab's state law on the sale of apartments, plots and colonies. It requires licences for colonisers and sets conditions for sales.

Legal basis: Punjab Apartment and Property Regulation Act, 1995. RERA now works alongside it.

Example & agent tip

Example: A Punjab colony needs a PAPRA licence and now a RERA registration as well.

Agent tip: For Punjab colonies, ask for both the PAPRA licence and the RERA registration.

Parapet

Construction

A low wall along the edge of a terrace or balcony for safety.

Example & agent tip

Example: A terrace parapet of 3 feet is required by building rules in many cities.

Agent tip: Check the parapet height for safety on terraces and balconies.

Related: Terrace Area Balcony Area

Parking

Construction

Space for vehicles in a building or colony. It may be open, covered, stilt, basement or mechanical, and may be free or sold separately.

Legal basis: Under the RERA Act, open parking is part of the common areas (Section 2(n)). A garage, meaning a covered space with walls on three sides, is defined in Section 2(y). Check your state's rules and the agreement.

Example & agent tip

Example: A buyer pays ₹3 lakh for a covered slot that the agreement shows as part of the common area.

Agent tip: Read the parking terms in the agreement before the booking amount is paid, and note whether the slot is numbered and in the sale deed.

Related: Stilt Basement Common Area

Part Occupancy Certificate

Approvals

A certificate that allows occupation of a completed part of a project, such as one tower, while the rest is still under construction.

Example & agent tip

Example: A township receives a part OC for Tower A, so those buyers can take possession.

Agent tip: Check that the part OC covers the tower and floor of your client's unit.

Part Performance

Legal

A rule that protects a buyer who has taken possession under a written contract and has performed or is willing to perform his part. Since 2001 the contract itself must be registered, or the protection is lost.

Legal basis: Transfer of Property Act, 1882, Section 53A.

Example & agent tip

Example: A buyer holds possession under a registered agreement to sell, having paid part of the price and being ready to pay the rest. He can defend that possession against the seller.

Agent tip: It protects possession, but does not give ownership. Check that the agreement is registered, and get the sale deed registered.

Partition Deed

Documents

Also called: Batwara, Batwara Deed

A document by which co-owners divide a jointly held property among themselves, so that each gets a separate share. It should be stamped and registered.

Example & agent tip

Example: Three brothers inherit a plot and sign a registered partition deed that gives each a separate 100 gaj portion.

Agent tip: Before buying a plot from one co-owner, ask for a partition deed or the consent of all co-owners.

Partition Suit

Legal

Also called: Suit for Partition, Batwara Case

A civil case in which a co-owner asks the court to divide a jointly held property and give a separate share. The court decides each party's share and may order division on the ground or a sale with the money shared.

Example & agent tip

Example: One of four heirs of a Bhopal house files a partition suit because the others refuse to divide it. The court appoints a commissioner to measure the shares.

Agent tip: Properties under a partition suit often cannot be sold cleanly. Check whether a preliminary decree or final decree exists.

Patta

Land Records

A land record of possession and tax liability, used in Tamil Nadu, Andhra Pradesh, Telangana and some other states, issued by the revenue department. It records the holder, survey number and extent of land. It is not by itself proof of title.

Example & agent tip

Example: A buyer in Chennai asks the seller for the patta along with the sale deed.

Agent tip: Check the patta in the current owner's name. The patta may lag behind the sale deed if it has not been transferred.

Patwari

Land Records

A village-level revenue official in northern states who maintains land records, field maps and crop entries.

Example & agent tip

Example: A patwari enters a mutation after the tehsildar's order.

Agent tip: In Punjab and Haryana, you may need the patwari for records such as a field map or girdawari.

Related: Kanoongo Tehsildar Girdawari

Paying Guest (PG) Accommodation

Property Types

Also called: PG, Hostel Accommodation

A room or bed in a house or building let to students or working people, usually with meals and basic services included. Owners often run it informally, but larger operators now follow organised models. Local police may require tenant verification.

Example & agent tip

Example: A homeowner in Kharar rents four rooms as PGs to students of a nearby college, charging per bed with meals.

Agent tip: Use a written agreement with house rules and ID proofs of each guest. Check local verification rules and society permission.

Payment Plan

Agent Practice

The schedule in which a buyer pays the price, for example down payment, construction-linked or possession-linked.

Example & agent tip

Example: A buyer takes a 10:80:10 plan: 10% at booking, 80% in stages and 10% at possession.

Agent tip: Match the payment plan with the buyer's loan disbursement schedule.

Payment Receipt

Documents

A written acknowledgement by the seller or builder that a sum has been received, stating the amount, date, mode of payment and purpose. It proves what has been paid towards a property and is needed in disputes and tax filings.

Example & agent tip

Example: Kavita pays Rs 5 lakh by cheque to a Mohali builder and asks for a receipt that names the unit and states that the money is part payment.

Agent tip: Take a receipt for each payment, including bank transfers. Avoid cash payments, which are hard to prove and can cause tax issues.

Peer Muchalla

General & Places

A locality in Zirakpur near the Chandigarh border, known for residential societies, shops and highway access. It is popular with buyers who want Chandigarh access at lower prices.

Example & agent tip

Example: A buyer from Chandigarh looks at a flat in Peer Muchalla for lower cost and quick access to the city.

Agent tip: Check traffic at peak hours and the project's approvals. Travel time matters more than distance.

Related: Zirakpur Baltana Tricity

Penalty for Agents (Section 62)

RERA

The penalty for an agent who breaks Section 9 or 10: ₹10,000 for each day of default, up to a total of 5% of the cost of the plot, apartment or building for which the agent facilitated the sale.

Legal basis: Section 62 of the RERA Act, 2016. Sections 65 and 66 cover agents who do not obey orders of the authority or tribunal.

Example & agent tip

Example: An agent sells a unit without a valid registration for 20 days. The penalty can run per day, up to the cap.

Agent tip: Keep your registration valid and renewed.

Penalty for Allottees (Sections 67 and 68)

RERA

Buyers are also covered. An allottee who fails to comply with the Authority's orders can face a penalty up to 5% of the unit cost. Disobeying the Tribunal's orders can bring up to one year in prison, a fine up to 10%, or both.

Legal basis: Sections 67 and 68 of the RERA Act, 2016.

Example & agent tip

Example: An allottee refuses to pay the dues the Authority ordered and is penalised under the Act.

Agent tip: Buyers should treat the Authority's directions as binding too. Pay as ordered, or appeal on time.

Penalty for Non-registration (Section 59)

RERA

The penalty for a promoter who does not register a project under Section 3: up to 10% of the estimated project cost, and if the default continues, imprisonment up to three years, a further fine of up to 10%, or both.

Legal basis: Section 59 of the RERA Act, 2016.

Example & agent tip

Example: A developer sells flats in a project with no registration. The authority can penalise him.

Agent tip: Do not market unregistered projects.

Penthouse

Property Types

A luxury apartment on the top floor of a building, usually with a large terrace and premium views.

Example & agent tip

Example: A penthouse on the 18th floor includes a 600 sq ft private terrace.

Agent tip: Verify that the terrace is allotted exclusively to the penthouse in the sale agreement.

Periphery Controlled Area

General & Places

Also called: Chandigarh Periphery

A belt of land around Chandigarh where construction and land use are controlled by law to protect the planned capital from unplanned growth. Colonies in it need specific approvals.

Example & agent tip

Example: A buyer asks whether the plot near the Chandigarh border lies in the periphery area and what approvals apply.

Agent tip: Ask the authority for confirmation of which controlled area rules apply to a plot.

Petrol Pump Site

Property Types

Also called: Fuel Station Site, Retail Outlet Site

A plot used for a fuel retail outlet, normally leased to an oil marketing company or its dealer. The site needs location approval, licences for storage and explosives, and road access rules. Landowners earn lease rent over a long term.

Example & agent tip

Example: A landowner on a highway near Ambala leases 1 kanal to an oil company for a retail outlet and earns monthly rent.

Agent tip: Check road-access approvals and distance rules before promising a plot as suitable for a fuel station.

Phase-wise Registration

RERA

When a large project is built in phases, each phase is treated as a standalone project and must be registered separately. Each phase gets its own number, timeline and separate bank account, so one phase's delay or default does not automatically extend to another.

Legal basis: Explanation to Section 3(1) of the RERA Act, 2016.

Example & agent tip

Example: A township near Lalru launches Phase 1 with 200 plots and Phase 2 six months later. Each phase carries a different RERA number and completion date.

Agent tip: Quote the number of the phase a buyer is booking in, not the township's headline brand. Check that the plot or flat belongs to the registered phase.

Physical Possession

General & Places

Also called: Actual Possession

Actual handing over of the property so that the buyer can enter and use it, as opposed to a paper transfer. Having the keys and being able to occupy the property is the usual sign that physical possession has passed.

Example & agent tip

Example: The builder hands the keys to the buyer after the final inspection and takes a signed receipt.

Agent tip: Take possession in writing, with the meter readings and defects list noted.

Pile Foundation

Construction

A deep foundation made of long columns driven or bored into the ground to reach firm soil or rock. It is used for tall buildings and weak soils.

Example & agent tip

Example: A tower near a river uses bored piles that reach a hard layer 25 metres below.

Agent tip: Piling for tall towers is a normal sign of careful design. It is not a defect.

Related: Foundation Raft Foundation

Plastering

Construction

Also called: Plaster, Lipai

A coat of cement or gypsum mortar applied over masonry or concrete to give a smooth, even surface for paint. It also protects brickwork from weather. Typical work involves a rough coat first and a finishing coat afterwards.

Example & agent tip

Example: A buyer in Mohali tapped a freshly plastered wall and heard a hollow sound, which showed the plaster had not bonded to the wall.

Agent tip: Tap along walls at the time of snagging. A hollow sound points to loose plaster that will crack later.

Plinth

Construction

The portion of a building between the ground and the floor level. Plinth height protects the building from flooding and dampness.

Example & agent tip

Example: A house is built with a plinth 2 feet above the road so water does not enter in monsoon.

Agent tip: Check the plinth level in flood-prone areas.

Plinth Area

Measurement

The built-up area measured at the floor level just above the foundation, covering the outer dimensions of the building. Municipal bodies and valuers use it to estimate construction cost.

Example & agent tip

Example: A single-storey house measuring 40 ft by 30 ft on the outside has a plinth area of 1,200 sq ft.

Agent tip: Valuers quote construction cost per sq ft of plinth area. Know the term when reading a bank valuation report.

Plinth Beam

Construction

Also called: Tie Beam

A horizontal reinforced concrete beam cast at plinth level, just above the foundation, that ties the columns or walls together. It spreads loads evenly and stops the wall base from cracking if the ground settles unevenly.

Example & agent tip

Example: At a Kharar villa site, the engineer had the plinth beam cast around the whole footprint before any brickwork began above ground.

Agent tip: When visiting a site under construction, ask to see photos of the plinth beam steel before it was concreted. It is hidden forever afterwards.

Related: Plinth Foundation Beam

Plinth Level Certificate

Approvals

Also called: Plinth Checking

A certificate or inspection report, given by the authority or the architect, confirming that construction up to plinth level matches the sanctioned plan and setbacks. In many places work above the plinth continues only after it.

Example & agent tip

Example: A builder in Lucknow obtained a plinth level clearance after officials checked the footprint against the sanctioned drawing.

Agent tip: Ask whether your city requires a plinth check. Skipping it can lead to stop-work notices later.

Plot

Property Types

A defined parcel of land, sold for residential, commercial or industrial use. In a RERA-registered plotted development the promoter must provide roads, drains and services as promised.

Legal basis: RERA covers plotted developments that exceed 500 sq m of land.

Example & agent tip

Example: A 300 gaj residential plot in an approved colony in Kharar with all services ready.

Agent tip: Check approvals, layout plan, demarcation and mutation. Plot frauds are the most common complaint in this segment.

Plot Amalgamation

Approvals

Also called: Plot Merger

Joining two or more neighbouring plots into one plot, with the authority's approval, so a single larger building can be built. The land records and sanctioned layout are updated to show one plot.

Example & agent tip

Example: Two neighbours in Sector 20 Panchkula merged their plots to build a larger home and applied to the authority.

Agent tip: Amalgamation without approval can cause problems with title and sanction. Get the order in writing.

Plot Area

Measurement

The total area of the land parcel as recorded in the sale deed or revenue record, usually in sq yards, marla, kanal or square metres. It is not the same as the built-up area allowed on it.

Example & agent tip

Example: A 200 sq yard plot in Mohali with a ground coverage limit of 60% allows only a 120 sq yard footprint.

Agent tip: Check plot area in the deed against the physical measurement from demarcation before quoting a rate.

Plot Loan

Finance

Also called: Land Purchase Loan, Plot Purchase Loan

A loan to buy a residential plot, usually offered at a smaller percentage of the plot price than a home loan for a flat. Banks may require the borrower to build within a stated period, and tax benefits differ from those of a home loan.

Example & agent tip

Example: Kavita buys a ₹40 lakh plot in New Chandigarh and the bank finances a smaller share than it would for an apartment of the same price.

Agent tip: Confirm the plot is in an approved layout. Banks refuse plots in unauthorised colonies.

Plot Subdivision

Approvals

Also called: Plot Sub-division

Splitting one plot into smaller plots, with the permission of the planning authority. Minimum plot size, road access and layout rules apply, and the land records are updated after approval.

Example & agent tip

Example: A landowner near Kharar wanted to divide an acre into residential plots but was told the layout needed approval first.

Agent tip: Be wary of plots sold by informal splitting of land. They may not get a sanction or utility connections.

Plotted Development

Property Types

A project in which a promoter divides land into plots, lays roads and utilities and sells the plots. The buyer builds the house later.

Legal basis: Registrable under RERA when the land exceeds 500 sq m.

Example & agent tip

Example: A 40 acre plotted colony with 300 plots is advertised with parks, a gated entry and water lines.

Agent tip: Confirm that the RERA project registration number appears in all advertising for the plotted scheme.

PMAY-Gramin (PMAY-G)

Finance

Also called: Pradhan Mantri Awas Yojana - Gramin, PMAY-G

The rural housing scheme of the central government that gives financial help to eligible poor rural households to build a basic pucca house. Beneficiaries are identified through official surveys and the money goes directly to their bank accounts.

Legal basis: Implemented by the Ministry of Rural Development.

Example & agent tip

Example: A family living in a kacha house in a village near Rupnagar is on the official beneficiary list and receives assistance in stages as their house reaches plinth, lintel and completion.

Agent tip: Tell rural clients that this is not a loan for buying property in the market. Eligibility comes from the official list, not from an application to an agent.

PMRDA

Authorities

The Pune Metropolitan Region Development Authority, which plans the Pune region outside the city corporation limits.

Example & agent tip

Example: A plot near Pune's outskirts is under PMRDA's development plan.

Agent tip: Check PMRDA rules for peripheral projects.

PM-UDAY

Approvals

Also called: Pradhan Mantri Unauthorised Colonies in Delhi Awas Adhikar Yojana

A central scheme for residents of unauthorised colonies in Delhi to receive ownership or transfer rights over their properties, with registration, so that they can get legal title and sell or mortgage them.

Example & agent tip

Example: A resident of an unauthorised colony in west Delhi used the scheme to register her house in her name.

Agent tip: Even after regularising title, check whether the building plan itself is approved, as that is a separate matter.

Podium

Construction

A raised platform or lower floors of a tower, often used for parking and amenities, on which residential towers rise.

Example & agent tip

Example: A project has a 4-level podium for parking with gardens and a pool at the top.

Agent tip: Ask how podium parking is allotted and if the podium area is included in the price.

Related: Stilt Basement Amenities

Pol

General & Places

A traditional clustered neighbourhood of closely built houses in old Ahmedabad, with a gated lane entrance and shared community spaces. Houses in a pol have special features, and redevelopment there is different from that in modern societies.

Example & agent tip

Example: A buyer considers a heritage house in a pol and asks about the heritage building rules.

Agent tip: Check heritage rules, shared walls and neighbours' consent before buying or redeveloping a house in a pol.

Pol House

General & Places

A traditional house in the old walled city of Ahmedabad, built in a cluster known as a pol with a shared gate and narrow lanes. Pol houses are often wooden-fronted and heritage-valued, with special transfer customs and repair limits.

Example & agent tip

Example: A buyer inspects a pol house in old Ahmedabad and learns that the cluster has its own rules on sale and repairs.

Agent tip: Check any local custom or association rules and heritage limits on repairs before agreeing a price.

Related: Heritage Property Haveli

Poramboke Land

Land Records

Also called: Poramboku, Porombok

Land in Tamil Nadu, Kerala and nearby states that belongs to the government or the public and is not assessed for revenue, such as water bodies, tanks, channels, grazing land and roads. It cannot normally be sold to private persons.

Example & agent tip

Example: A broker in Chennai offers cheap plots by a lake. The revenue map shows them as water-body poramboke, so no valid title can arise from the deed.

Agent tip: Check the land classification in the patta or village records. Anything marked poramboke is a major red flag.

Possession

RERA

Also called: Handover, Handing Over

Physical handover of a completed unit to the buyer. It is separate from registration of the sale deed. The buyer should take it only after an occupancy certificate is issued.

Legal basis: Section 19(10) of the RERA Act, 2016 requires the allottee to take possession within two months of the occupancy certificate.

Example & agent tip

Example: A buyer inspects the flat, signs the possession letter and receives the keys.

Agent tip: Do not accept possession without an occupancy certificate and a snag list.

Possession Certificate

Documents

Also called: Possession and Non-Attachment Certificate

A certificate issued by a revenue officer or village official that records who is in actual possession of a piece of land or house. It is used for loans, building permits and sometimes registration in states such as Kerala. It does not prove ownership.

Example & agent tip

Example: In Thrissur, a bank asks the buyer for a possession certificate from the village office to show that the seller is in possession of the plot.

Agent tip: Treat it as supporting proof only. Do not rely on a possession certificate in place of a registered title.

Possession Checklist

Documents

A list a buyer uses at handover to check the unit against the agreement, from the area and specifications to fittings, utilities, keys and documents. Faults noted in writing support a claim under the defect liability period.

Example & agent tip

Example: Walking through a new flat in Pune, Meera ticks off the checklist and notes cracked tiles and a leaking balcony drain in writing, before signing the possession letter.

Agent tip: Do not sign a possession letter stating all is perfect when defects exist. Record defects on the letter or in an annexure.

Possession Date

RERA

The date for giving possession of a unit, as stated in the agreement for sale. If the promoter misses it, the allottee has rights under Section 18.

Example & agent tip

Example: An agreement states possession by 31 December 2026 with a six-month grace period.

Agent tip: Check any "grace period" clause and any extension granted by the authority.

Possession Letter

Documents

Also called: Handover Letter

A letter from the developer confirming that physical possession of the unit has been handed to the buyer, usually after final payment.

Example & agent tip

Example: A buyer receives the possession letter and the keys together after paying the last instalment.

Agent tip: Check the unit before accepting. Note defects in writing at the time of handover.

Possession-Linked Plan

Agent Practice

A payment plan in which a large share of the price is paid only at possession, so the buyer pays less during construction.

Example & agent tip

Example: A developer offers 20% at booking and 80% on possession.

Agent tip: Developers often raise the price for possession-linked plans. Compare the totals.

Related: Payment Plan Down Payment

Post-Tensioned Slab

Construction

Also called: PT Slab

A concrete slab reinforced with steel cables that are tensioned after the concrete hardens. This allows thinner slabs and longer spans, useful for car parks and offices, but cutting or drilling it without a plan can damage the tensioned cables.

Example & agent tip

Example: A commercial tower in Gurugram used post-tensioned slabs to get column-free floor plates for its office tenants.

Agent tip: Never core or drill into such slabs without the structural consultant's approval and a cable layout drawing.

Powai

General & Places

A north-eastern Mumbai suburb around Powai Lake, known for a technical institute, office parks and many gated residential complexes. It is a long-established micro-market for professionals.

Example & agent tip

Example: A software couple chooses to rent in Powai because both offices are within a short ride.

Agent tip: Check the society's maintenance and parking rules before renting or buying, since large complexes have set charges.

Power Backup (DG Set)

Construction

Also called: Generator Set, Diesel Generator Backup

An alternate electricity supply, usually a diesel generator, that starts when grid power fails. Housing projects offer backup for lifts, lights and common areas, and sometimes a limited load for each flat, often billed separately.

Example & agent tip

Example: A Kharar society offered 2 kW backup per flat, with charges billed per kVA on the monthly maintenance invoice.

Agent tip: Check the backup load per flat and the billing basis. Many buyers assume full backup and find only partial cover.

Power of Attorney (POA)

Documents

Also called: Mukhtarnama, Attorney (Power of)

A document by which one person (the principal) authorises another (the agent) to act on their behalf. For property, the powers must be clearly written, and the document must be properly executed and stamped.

Legal basis: Powers of Attorney Act, 1882 and Registration Act, 1908 (Section 33 lists which powers of attorney are accepted for registration, including those signed abroad).

Example & agent tip

Example: An NRI authorises his brother through a POA to sign a registered sale deed on his behalf.

Agent tip: A POA is not ownership. Verify that the principal is alive, and the POA has not been revoked, before relying on it.

Pradhan Mantri Awas Yojana (PMAY)

Finance

The central government's housing scheme. PMAY-Urban 2.0, approved in 2024, aims at 1 crore urban houses with an interest subsidy for eligible households. PMAY-Gramin supports rural housing.

Example & agent tip

Example: A family with an annual income within the limit applies for the interest subsidy on a loan for its first home.

Agent tip: Eligibility, limits and deadlines change. Check the official portal before promising a subsidy.

Related: Affordable Housing Home Loan

Precast Construction

Construction

A method where building components such as slabs, columns, beams or wall panels are cast in a factory and lifted into place on site. It improves quality and speed but needs good transport, cranes and well designed joints.

Example & agent tip

Example: A warehouse developer near Sonipat used precast columns and roof beams to finish the structure before the monsoon.

Agent tip: Precast is common for warehouses and affordable housing. Ask how the joints between elements are made and waterproofed.

Pre-Construction Interest

Tax & Duties

Also called: Pre-Possession Interest

Interest paid on a home loan before the house is completed or possession is taken. It cannot be claimed at once. It is added up and claimed in five equal yearly instalments starting from the year of completion, within the overall interest limit.

Legal basis: Section 24(b) of the Income-tax Act, 1961; the 2025 Act renumbers it.

Example & agent tip

Example: Kirti pays interest for three years before her builder hands over a Zirakpur flat, and claims the total over five equal years after possession.

Agent tip: Tell buyers of under-construction flats to keep every interest certificate, including those for years before possession.

Pre-EMI

Finance

Interest-only payments made on the amount disbursed during construction, before full EMIs begin.

Example & agent tip

Example: A buyer pays pre-EMI on ₹20 lakh disbursed for the first two stages of construction.

Agent tip: Explain that under a construction-linked plan, the bank disburses in stages.

Preferential Location Charges (PLC)

Agent Practice

Extra charges for units with better location features, such as a park view, corner position or main road.

Example & agent tip

Example: A flat facing the central park carries a PLC of ₹150 per sq ft.

Agent tip: Ask what exactly triggers the PLC and whether the view is protected by the approved plan.

Pre-launch Sale

Agent Practice

Also called: Pre-launch, Presale

Selling or taking bookings in a project before RERA registration. RERA prohibits advertising, marketing, booking or selling a project before registration.

Legal basis: Section 3(1) of the RERA Act, 2016.

Example & agent tip

Example: A developer collects "expression of interest" cheques from buyers before registering the project. That is a violation.

Agent tip: Do not take part in pre-launch bookings. Check the registration number first.

Pre-Leased Property

Investment & Valuation

A commercial property that already has a tenant and a lease in place when sold, so the buyer receives rent from day one.

Example & agent tip

Example: An investor buys an office with a tenant on a five-year lease at ₹1.2 lakh a month.

Agent tip: Read the lease for lock-in, escalation and exit rights. Check the tenant's strength.

Premium FSI

Approvals

Extra floor space index that a developer can buy from the authority by paying a charge, above the basic permitted FSI. It allows more built area on the same plot, usually along transit lines or in specific zones.

Example & agent tip

Example: A Mumbai builder paid a premium to the corporation to add extra floors to a mid-rise tower near a metro station.

Agent tip: Ask whether a project's area depends on premium or TDR. Delays in these approvals can delay the project.

Prepayment

Finance

Paying part or all of a loan before schedule. From 1 January 2026, RBI directions bar prepayment charges on floating-rate loans to individuals for non-business purposes.

Example & agent tip

Example: A borrower uses a bonus of ₹3 lakh to prepay part of the loan, which shortens the tenure.

Agent tip: Confirm the prepayment terms in the sanction letter and the current RBI directions, since some loan types differ.

Price Negotiation

Agent Practice

The process of agreeing a final price between buyer and seller. Agents help each side by presenting evidence such as nearby sale rates, condition and demand, and keep both parties talking. Good negotiation also covers payment schedule and extras, not only the headline rate.

Example & agent tip

Example: A buyer asks for a lower rate. The agent shows two nearby resale deals and the seller agrees to a smaller cut with a faster payment.

Agent tip: Negotiate the whole package, including parking, club fees and dates. Do not give your commission in place of a price cut without written permission.

Price Sheet (Cost Sheet)

Agent Practice

A statement of the full price of a unit, including base price, charges, taxes and other items, with the payment schedule.

Example & agent tip

Example: A cost sheet lists base price, PLC, parking, club charges and GST.

Agent tip: Always ask for the cost sheet before discussing affordability. Compare the all-in price, not the headline rate.

Price-to-Income Ratio

Investment & Valuation

Also called: Housing Affordability Ratio

The average price of a home divided by the average annual household income in an area. A higher ratio means housing is less affordable. It is used to compare cities or track affordability over time.

Example & agent tip

Example: If homes in a city cost ₹60 lakh and the typical household earns ₹6 lakh a year, the ratio is 10.

Agent tip: Use it to explain why a market is stretched, not to predict a price fall.

Price-to-Rent Ratio

Investment & Valuation

Also called: Price to Rent Multiple

The purchase price of a property divided by one year's rent it could fetch. A high ratio suggests buying is expensive compared with renting, and a low ratio suggests the opposite. It is a quick tool, not a full analysis.

Example & agent tip

Example: A flat costing ₹90 lakh that rents for ₹25,000 a month has a yearly rent of ₹3 lakh, so the ratio is 30.

Agent tip: Use the ratio to compare localities. Remember that it ignores loan costs, appreciation and tax.

Probate

Documents

A court's certificate that a will is genuine and that the executor can administer the estate. It is the safest proof of a will, and it is required in some cases.

Legal basis: Indian Succession Act, 1925 (Sections 57 and 213). Whether probate is required depends on the testator's religion and where the will was made, for example in the old Presidency towns of Mumbai, Chennai and Kolkata. Elsewhere it is generally optional.

Example & agent tip

Example: A buyer in Chennai insists on a probated will before buying a flat that came by inheritance.

Agent tip: Ask a lawyer whether probate is required for that will, and ask for it where the title comes by will.

Processing Fee

Finance

A one-time charge by a lender for handling a loan application, usually a percentage of the loan.

Example & agent tip

Example: A bank charges 0.5% of the loan amount plus GST as processing fee.

Agent tip: Ask for any fee waivers and compare total costs.

Related: Home Loan Sanction Letter

Prohibition of Benami Property Transactions Act, 1988

Legal

Also called: Benami Act, PBPT Act

The law that bans benami transactions, where a person buys property in another's name but pays for it and enjoys it. The Act, amended in 2016, lets authorities attach and confiscate benami property and provides penalties.

Legal basis: Prohibition of Benami Property Transactions Act, 1988 (earlier called the Benami Transactions (Prohibition) Act), as amended in 2016.

Example & agent tip

Example: A trader in Ludhiana buys a plot in his driver's name. The tax authorities attach it as a benami property.

Agent tip: Buy in the true buyer's own name or a legally allowed form, such as a spouse's name for the family's benefit. Avoid arrangements that look like name-lending.

Project Management Consultant (PMC)

Construction

Also called: PMC

A firm hired by a developer or owner to plan, supervise and control a construction project on their behalf, handling schedule, cost, quality and contractor coordination. It is separate from the architect and the builder.

Example & agent tip

Example: A large township in Mohali hired a PMC to track contractor progress and report monthly to the promoter.

Agent tip: A named PMC is a good sign for a large project. Ask who it is and how often it reports.

Promoter

RERA

The person or company that develops or sells a real estate project. It includes builders, developers, development authorities when they sell, and anyone who constructs and sells units.

Legal basis: Defined in Section 2(zk) of the RERA Act, 2016.

Example & agent tip

Example: A developer who builds a 200-flat project and sells it is a promoter under RERA.

Agent tip: Many obligations in the Act fall on the promoter. Know them when you advise buyers.

Property Card

Land Records

The record of ownership for urban land in Maharashtra and some other states, maintained by the City Survey department. It shows the owner, area and encumbrances.

Example & agent tip

Example: A buyer in Pune checks the property card to confirm the owner of an urban plot.

Agent tip: For urban properties in Maharashtra, check the property card as well as the sale deed.

Property Insurance

Finance

Also called: Home Insurance, Building Insurance

Insurance that covers a building and its contents against damage from fire, flood, earthquake and similar risks. Banks often require it for the property they finance, and it differs from loan life insurance, which covers the borrower.

Example & agent tip

Example: After a short circuit damages the wiring in Rina's Sector 20 house, her building insurance pays part of the repair bill.

Agent tip: Insure for the rebuilding cost, not the market price of land plus building.

Property Shortlisting

Agent Practice

Narrowing many options to a few properties by matching the buyer's budget, location, size, possession date and approvals. A good shortlist is limited to a handful, with reasons for each.

Example & agent tip

Example: From twenty options, the agent shortlists three flats in Panchkula within budget and near the buyer's office.

Agent tip: Do not overload clients. Three to five well-chosen options are easier to compare than twenty.

Property Tax

Tax & Duties

A yearly tax on property owners collected by the municipal body, based on size, use, location and age of the property.

Example & agent tip

Example: A flat owner pays property tax to the municipal corporation each year, with a rebate for early payment.

Agent tip: Ask the seller for the latest property tax receipt. Arrears pass to the new owner in practice.

Property Tax Clearance Certificate

Documents

Also called: Tax Clearance Certificate, House Tax Receipt

A certificate from the local body that confirms the property tax up to a date has been paid and nothing is due. Some cities need it for registration, mutation or sale permission.

Example & agent tip

Example: Before the sale of a house in Ludhiana, the buyer asks the seller to get a property tax clearance certificate from the municipal corporation.

Agent tip: Unpaid property tax usually stays with the property. Ask the seller to clear it and give the receipt before the deal closes.

Property Tax Self-Assessment

Tax & Duties

Also called: Self-Assessment of Property Tax, SAS

A system in which owners calculate and declare their own property tax using the municipality's formula, then pay it. The authority may later check the figures and demand extra tax with penalty if the declaration was wrong.

Example & agent tip

Example: Under the self-assessment scheme, Pritam enters his plot area, built-up area and use on the municipal portal and pays the tax it calculates.

Agent tip: Keep the receipt. It is useful evidence of ownership and of an updated municipal record when you sell.

PropTech

General & Places

Technology used in property, such as online listings, virtual tours, digital document checks, CRM and AI search.

Example & agent tip

Example: A buyer takes a virtual tour of a flat before a site visit.

Agent tip: Use technology for convenience, but verify documents against official records.

Related: CRM Site Visit

Public Premises Act

Legal

Also called: Public Premises (Eviction of Unauthorised Occupants) Act, 1971

A central law under which government authorities can remove unauthorised occupants from public premises and recover dues through an estate officer, in a faster process than an ordinary civil suit.

Legal basis: Public Premises (Eviction of Unauthorised Occupants) Act, 1971.

Example & agent tip

Example: A person stays on in a railway-owned quarter after his lease ends, and the estate officer orders his eviction.

Agent tip: For government or authority property, learn whether this law applies. It affects how an eviction is done and where it is challenged.

Public Purpose

Legal

Also called: Public Use

The kind of objective for which the government may take private land by law, such as infrastructure, defence, public housing and projects of public use. The Act lists what qualifies, and courts can examine whether an acquisition truly serves a public purpose.

Example & agent tip

Example: A landowner in Haryana challenges the acquisition of his land for a private commercial scheme, saying it is not a public purpose.

Agent tip: When a land acquisition notice arrives, read the stated purpose carefully. A mismatch may give grounds to object.

Pucca Construction

Construction

Permanent construction of durable material such as brick, stone or concrete, with a solid roof.

Example & agent tip

Example: A concrete-roof house of brick and cement counts as pucca.

Agent tip: Banks usually finance pucca construction only.

Related: Kacha Construction Home Loan

PUDA

Authorities

The Punjab Urban Planning and Development Authority, which plans and develops urban areas in Punjab and issues approvals through its offices.

Example & agent tip

Example: A buyer in Ludhiana checks whether a colony has PUDA approval.

Agent tip: Check which authority covers the area. Some areas are with GMADA, others with PUDA.

Puducherry RERA (PRERA)

Authorities

The Puducherry Real Estate Regulatory Authority for the Union Territory of Puducherry.

Example & agent tip

Example: A buyer in Puducherry checks the registration status of a project with the authority.

Agent tip: Confirm the current portal and procedure with the authority.

Related: RERA Authority

How to become a RERA agent in Puducherry →

Punjab Small Industries and Export Corporation (PSIEC)

Authorities

A Punjab government corporation that develops industrial estates and allots industrial plots. Plots allotted by it carry conditions on use, construction and transfer that buyers must check.

Example & agent tip

Example: A buyer of an industrial plot at an estate near Chandigarh asks PSIEC for the transfer conditions.

Agent tip: Industrial plots need the allotting body's permission for transfer. Get it in writing.