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

Sadnika

General & Places

Also called: सदनिका

The Marathi word used in legal and official documents for a flat or apartment, as in agreements for sale of a "sadnika". Everyday speech often uses "flat" instead.

Example & agent tip

Example: A Maharashtra agreement refers to the buyer's "sadnika kramank 402", meaning flat number 402.

Agent tip: When reading Marathi agreements, check that the flat number, floor and carpet area in the sadnika description match the sanctioned plan.

Sale and Leaseback

General & Places

A deal in which an owner sells a property and takes it back on lease, raising money while continuing to use it.

Example & agent tip

Example: A company sells its office building to an investor and rents it back for ten years.

Agent tip: Check the lease terms, rent escalation and tax treatment.

Related: Lease Deed Pre-Leased Property

Sale Certificate

Documents

Also called: Auction Sale Certificate

The document issued after a bank, court or authority auction that confirms the buyer's purchase of the property. It serves as the buyer's title document after it is stamped and registered as the law needs.

Example & agent tip

Example: A bidder wins a bank auction of a flat in Mohali and receives a sale certificate. The sub-registrar registers it before the buyer applies for mutation.

Agent tip: In an auction purchase, check that the sale certificate is stamped and registered. Without that, the title is hard to prove later.

Sale Deed

Documents

Also called: Registry, Registered Sale Deed

The registered document that transfers ownership of immovable property from seller to buyer. Ownership passes only when it is executed, stamped and registered with the Sub-Registrar.

Legal basis: Transfer of Property Act, 1882 (Section 54) and Registration Act, 1908 (Section 17).

Example & agent tip

Example: Ms. Gill pays the full price for a flat. She becomes the legal owner only after the sale deed is signed in front of the Sub-Registrar and registered.

Agent tip: An agreement to sell, a receipt or a power of attorney does not make the buyer an owner. Insist on a registered sale deed.

Saleable Area

Measurement

Also called: Chargeable Area

The total area a developer charges the buyer for, usually the carpet area plus walls and a share of common spaces, often called super area. It is more than the area the buyer can actually use inside the flat. RERA ties the sale price to carpet area, so saleable or super area pricing is the older practice.

Example & agent tip

Example: A flat in Mohali was sold on 1,350 square feet saleable area, but its carpet area was only about 950 square feet.

Agent tip: Always ask for the carpet area and loading factor as well. Compare projects on carpet area price, not saleable area price.

Sales Comparison Approach

Investment & Valuation

Also called: Market Comparison Method, Direct Comparison Method

A valuation method that finds a property's value by comparing it with similar properties recently sold nearby, then adjusting for differences in size, age, floor, facing, amenities and condition.

Example & agent tip

Example: To value a 3 BHK in Sector 69, Mohali, a valuer looks at three similar flats sold last quarter and adjusts for floor and parking.

Agent tip: Use recent registered deals, not asking prices. Ask for sale deeds of comparable units.

Sales Funnel

Agent Practice

The path a prospect follows from first enquiry to booking: enquiry, qualification, site visit, negotiation, booking and registration. Agents track how many leads drop at each stage to see where effort is wasted.

Example & agent tip

Example: Out of 100 enquiries, an agent finds 30 qualify, 10 visit and 2 book, then works on improving visit conversion.

Agent tip: Record each lead's stage in your CRM and review weekly. The stage with the biggest drop shows where to work.

Sales Kit

Agent Practice

The set of materials an agent carries for selling a project: brochure, price sheet, payment plan, floor plans, RERA details, approvals and contact for the sales team. A good kit lets the agent answer questions accurately.

Example & agent tip

Example: Before a client meeting, the agent prepares a kit with the brochure, cost sheet, RERA page and loan partner list.

Agent tip: Keep the kit updated. Outdated price sheets cause disputes.

Sales Velocity

Investment & Valuation

Also called: Sales Run Rate, Sales Pace

The speed at which units in a project or area are sold, usually measured as units sold per month or per quarter. A steady rate shows demand, and a sharp slowdown can warn of weak interest or overpricing.

Example & agent tip

Example: A tower in New Chandigarh sold 60 of its 200 units in the first month, then only four a month afterwards.

Agent tip: Ask for sales data, not just brochures. Fast early sales can be driven by discounts.

Sanand

General & Places

An industrial town near Ahmedabad in Gujarat, hosting automobile and electronics factories. Property interest includes industrial plots, warehouses and housing for workers and managers.

Example & agent tip

Example: A supplier buys a small shed in a Sanand industrial estate and checks the GIDC allotment terms.

Agent tip: Industrial estate plots usually come with allotment conditions, such as use and time to build. Read them before buying a resale plot.

Sanction Letter

Documents

A letter from a lender confirming the loan amount, rate, tenure and conditions approved for a borrower.

Example & agent tip

Example: A bank issues a sanction letter for ₹60 lakh at a floating rate for 20 years.

Agent tip: Read the conditions, as many sanctions are subject to legal and technical clearances.

Sanctioned Plan

Approvals

Also called: Building Plan, Approved Building Plan

A building drawing approved by the local authority that shows layout, dimensions, number of floors and permitted use. Construction must follow it.

Example & agent tip

Example: A builder adds an extra floor that is not in the sanctioned plan. Authorities can penalise or demolish it.

Agent tip: Compare the sanctioned plan with what is built or promised. Do not recommend units that deviate.

SARFAESI Act

Finance

A law, the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, that lets banks and financial institutions take possession of and sell mortgaged property after notice to a defaulting borrower, without going to court first.

Legal basis: Under Section 13(2), the borrower gets a notice of 60 days before the lender can act.

Example & agent tip

Example: A bank issues a 60-day notice to a defaulting borrower and later auctions the mortgaged shop.

Agent tip: Bank-auction properties can be bargains, but check the notice, the reserve price and any pending challenge.

Sarjapur Road

General & Places

A growing corridor in south-east Bengaluru running from Agara and Bellandur to Sarjapur, with apartments, villas, plotted layouts and schools. It is popular with IT professionals working in nearby tech parks.

Example & agent tip

Example: A buyer compares an apartment near Haralur with a villa farther out on Sarjapur Road for space and travel time.

Agent tip: Many layouts here are on converted agricultural land, so check land conversion and the approving body for each plot.

Sarsahi

Measurement

Also called: Sarsai

A small land measure used in Punjab and Haryana, one-ninth of a marla. It is used in revenue records when small plots or fractions of land are recorded precisely.

Example & agent tip

Example: A village record near Kharar showed a sale of a plot of some marlas and a few sarsahi.

Agent tip: When reading old records, convert each unit step by step: killa, kanal, marla and sarsahi.

Related: Marla Kanal Jamabandi

Satbara Utara (7/12)

Land Records

The main land record for rural land in Maharashtra. It shows the owner, survey number, area, crops, loans and encumbrances. The "7" covers rights and "12" covers cultivation.

Example & agent tip

Example: A buyer in Nashik reads the 7/12 extract and finds a bank loan entry in the "other rights" column.

Agent tip: Ask for the latest digitally signed 7/12 and check the other rights column for loans and court orders.

SBI Highest MCLR

Finance

Also called: SBI MCLR

The highest marginal cost of funds based lending rate of the State Bank of India at the time, used in state RERA rules as the base for interest that a promoter pays on delay or an allottee pays on default.

Legal basis: Most state RERA rules set interest at this rate plus 2%, read as an annual rate. The rule number and wording differ by state.

Example & agent tip

Example: A delay of one year on ₹60 lakh paid at 11% a year gives an interest claim of ₹6.6 lakh for that year.

Agent tip: Use the SBI rate in force on the date of calculation, not an older figure.

SCF (Shop-cum-Flat)

Property Types

A building type in Tricity sectors where the ground floor has shops and the upper floor has residential flats.

Example & agent tip

Example: An SCF in a Panchkula sector has a shop at ground level and a flat on the first floor.

Agent tip: Verify which floor is residential and which is commercial in the sanctioned plan.

Schedule of Property

Documents

Also called: Property Description, Chauhaddi, Boundaries of Property

The part of a deed that describes the property exactly, giving survey or khasra numbers, area, location, boundaries on four sides and sometimes the floor and flat number. A vague schedule is a common source of disputes.

Example & agent tip

Example: The schedule in a Ludhiana sale deed lists the plot number, area in square yards and the roads and neighbours on all four sides.

Agent tip: Check the schedule against the map and the site. Errors in boundaries or numbers can lead to a deed that needs rectification.

SCO (Shop-cum-Office)

Property Types

A commercial plot or building in Chandigarh and Tricity sectors that combines shops on the lower floors and offices above. SCOs are sold by the authority in auctions or by developers in approved projects.

Example & agent tip

Example: A 4-storey SCO in a Mohali sector has two floors of retail and two floors of office space.

Agent tip: Check the building plan, permitted floors and the authority's allotment conditions before quoting.

SEBI

Authorities

The Securities and Exchange Board of India, which regulates REITs, SM REITs and investment schemes in India.

Example & agent tip

Example: A REIT is registered with SEBI and lists on stock exchanges.

Agent tip: Check that any pooled property scheme is registered with SEBI.

Section 10 (RERA)

RERA

The section that sets the duties of registered agents: not to facilitate the sale of unregistered projects, to keep books and records, not to indulge in unfair practices, and to give buyers the documents and information they are entitled to.

Legal basis: Section 10 of the RERA Act, 2016.

Example & agent tip

Example: An agent who brings a buyer to an unregistered project breaks Section 10.

Agent tip: Verify project registration before you show a project. It protects you and the buyer.

Section 11 (RERA)

RERA

The section that lists the promoter's duties, including a project web page, quarterly updates, handing over documents and taking responsibility until common areas are transferred.

Legal basis: Section 11 of the RERA Act, 2016.

Example & agent tip

Example: A promoter updates the project page every quarter with the booking status and approvals.

Agent tip: Use the project's web page as a source for buyer checks.

Related: Quarterly Update Promoter

Section 118 (Himachal Pradesh)

Land Records

Also called: HP Section 118, Section 118 Permission

A provision of the Himachal Pradesh Tenancy and Land Reforms Act, 1972, that bars a person who is not an agriculturist of the state from buying land there without the state government's permission. It is the reason outsiders cannot freely buy land in the state.

Legal basis: Himachal Pradesh Tenancy and Land Reforms Act, 1972, Section 118.

Example & agent tip

Example: A Delhi buyer wants a plot in Solan. The seller says it is a simple sale deed, but the buyer needs the state's Section 118 permission before registration.

Agent tip: For Himachal property, make Section 118 permission a condition of the agreement. Check the state's current rules, as they have been amended often.

Section 12 (RERA)

RERA

The section that makes a promoter liable to compensate for loss caused by false statements in an advertisement or prospectus. A buyer who withdraws is entitled to a refund with interest and compensation.

Legal basis: Section 12 of the RERA Act, 2016.

Example & agent tip

Example: A brochure promises a swimming pool that is never built. The buyer can claim under Section 12.

Agent tip: Keep copies of brochures and ads.

Related: Mis-selling Promoter Amenities

Section 13 (RERA)

RERA

The section that stops a promoter from taking more than 10% of the cost as an advance or application fee without first signing a registered agreement for sale.

Legal basis: Section 13 of the RERA Act, 2016.

Example & agent tip

Example: A developer asks for 25% as booking amount before an agreement. This is above the limit.

Agent tip: Warn buyers about large advances before the agreement.

Section 13(2) Demand Notice

Finance

Also called: SARFAESI Demand Notice, 60-Day Notice

The first formal notice a secured lender sends under the SARFAESI Act after a loan turns into an NPA. It gives the borrower 60 days to pay the dues, failing which the lender can take possession of the secured property and sell it.

Legal basis: Section 13(2) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act).

Example & agent tip

Example: After eight missed instalments, a bank sends Gagandeep a notice listing the dues and giving him two months to clear them.

Agent tip: Never ignore the notice. A borrower can still settle or challenge before possession is taken.

Section 14 (RERA)

RERA

The section that requires the promoter to build as per the sanctioned plans. Changes need allottees' consent, and the promoter must repair structural defects reported within five years of possession within 30 days.

Legal basis: Section 14 of the RERA Act, 2016.

Example & agent tip

Example: A promoter wants to add a floor not in the sanctioned plan and needs the required consent.

Agent tip: Check that the building follows the approved plan.

Section 15 (RERA)

RERA

The section that bars a promoter from transferring the majority rights and liabilities of a project to a third party without the written consent of two-thirds of the allottees and the authority's prior approval.

Legal basis: Section 15 of the RERA Act, 2016.

Example & agent tip

Example: A developer wants to hand a stalled project to another company and must first get allottee consent.

Agent tip: Watch for takeover notices in your clients' projects.

Related: Promoter Allottee

Section 16 (RERA)

RERA

The section that requires the promoter to take out insurance against defects in the title of the land and for construction risks, as notified.

Legal basis: Section 16 of the RERA Act, 2016.

Example & agent tip

Example: A project buys title insurance, as the rules require.

Agent tip: Ask whether the insurance requirement has been notified in your state.

Related: Title Insurance Promoter

Section 17 (RERA)

RERA

The section that requires the promoter to execute a registered conveyance deed in favour of the allottee within three months of the occupancy certificate, where no local law says otherwise. It also requires handing over the common areas to the association.

Legal basis: Section 17 of the RERA Act, 2016.

Example & agent tip

Example: A promoter takes possession-linked payment but delays the conveyance for a year. The buyer complains.

Agent tip: Chase the conveyance after possession.

Section 18 (RERA)

RERA

The section that gives an allottee a remedy for delay. If the promoter fails to give possession by the agreed date, the allottee can withdraw and get a refund with interest and compensation, or stay and get interest for every month of delay until possession.

Legal basis: Section 18 of the RERA Act, 2016. In Newtech Promoters v State of UP (2021) the Supreme Court held that the allottee's right to a refund is unqualified.

Example & agent tip

Example: A flat due in March is not delivered. The buyer can ask for a refund with interest, or stay in the project and get monthly interest.

Agent tip: Explain both options to clients. Interest is at the SBI highest MCLR plus 2%, as per state rules.

Section 19 (RERA)

RERA

The section that lists the rights and duties of an allottee: to know project details, to get possession, to claim a refund, and to pay on time and take possession within two months of the occupancy certificate.

Legal basis: Section 19 of the RERA Act, 2016.

Example & agent tip

Example: A buyer reads the sanctioned plan and the payment schedule of the project on the portal.

Agent tip: Remind buyers that they also owe duties: timely payment and taking possession.

Related: Allottee Section 18 (RERA)

Section 3 (RERA)

RERA

The section that makes registration compulsory before a promoter can advertise, market, book, sell or offer a project. Registration is not needed if the land does not exceed 500 sq m or the project has no more than eight apartments (including all phases), if a completion certificate was received before the Act, or for renovation without new sales. Each phase is registered as a separate project.

Legal basis: Section 3 of the RERA Act, 2016. States may lower the thresholds.

Example & agent tip

Example: A builder plans 12 flats on a 900 sq m plot. He exceeds both limits, 500 sq m and eight apartments, so registration is required. Had the plot been 400 sq m, the Act would have exempted it unless the state has lowered the limit.

Agent tip: Under the Act, a project is exempt if it meets either test, so registration is needed only when both limits are crossed. Check your state's rules, because some states have lowered the limits.

Section 31 (RERA)

RERA

The section that lets any aggrieved person file a complaint with the authority or the adjudicating officer against a promoter, allottee or agent for a breach of the Act.

Legal basis: Section 31 of the RERA Act, 2016.

Example & agent tip

Example: A buyer files a complaint on the state portal against a builder for failure to deliver.

Agent tip: Complaint forms and fees vary by state.

Section 32 (RERA)

RERA

The section on the Authority's role in developing the real estate sector. It lets the Authority recommend measures to governments, such as single-window approvals, grievance redress against competent authorities, grading of projects and promoters, conciliation of disputes and digitising land records.

Legal basis: Section 32 of the RERA Act, 2016.

Example & agent tip

Example: An Authority suggests to its state that approvals for housing projects be time-bound through one window, to cut the delays that cause late handovers.

Agent tip: These are recommendations, not binding orders, so do not promise buyers a faster approval because of this section.

Section 34 (RERA)

RERA

The section listing the Authority's core functions. These include registering projects and agents, running a public website, keeping lists of defaulting promoters and agents, fixing standard fees and ensuring compliance with the Act, rules, regulations and orders.

Legal basis: Section 34 of the RERA Act, 2016.

Example & agent tip

Example: A buyer in Mohali searches the state RERA website for a project's registration and finds the promoter's earlier defaults listed.

Agent tip: Use the Authority's website as your first check on any project and any agent. It is the official, public source.

Section 35 (RERA)

RERA

The section giving the Authority power to call for information and investigate. On a complaint or on its own motion, it can order a promoter, allottee or agent to furnish information, appoint someone to inquire, and use civil court powers such as summoning people and requiring documents.

Legal basis: Section 35 of the RERA Act, 2016.

Example & agent tip

Example: After several complaints about a Zirakpur project, the Authority orders the promoter to produce bank statements and sanction papers and appoints an inspector.

Agent tip: When filing a complaint, name the specific documents you want examined. Clear requests make it easier for the Authority to use this power.

Section 36 (RERA)

RERA

The section on interim orders. While an inquiry is on, the Authority can restrain a promoter, allottee or agent from continuing an act that appears to contravene the Act, until the inquiry ends or further orders. It may do so without notice if it considers that necessary.

Legal basis: Section 36 of the RERA Act, 2016.

Example & agent tip

Example: During an inquiry the Authority stops a promoter from taking new bookings in a Panchkula project until a funds-diversion allegation is examined.

Agent tip: If a project is under an interim order, advise clients to hold off on new payments until the Authority's final decision.

Section 37 (RERA)

RERA

The section that lets the Authority issue directions to promoters, allottees and real estate agents when needed to discharge its functions. These directions are binding on those concerned and are enforceable like the Authority's other orders.

Legal basis: Section 37 of the RERA Act, 2016.

Example & agent tip

Example: The Authority directs all promoters in a state to upload quarterly progress reports by a fixed date, and defaulters face action.

Agent tip: Check the Authority's directions page now and then. New compliance directions can change what agents must show in ads and papers.

Section 38 (RERA)

RERA

The section on the Authority's powers to impose penalty or interest on promoters, allottees and agents. It must follow natural justice, can regulate its own procedure, and may refer to the Competition Commission of India any matter that appreciably affects competition or abuses market power.

Legal basis: Section 38 of the RERA Act, 2016.

Example & agent tip

Example: The Authority imposes a penalty on a promoter for filing false data, after giving a hearing and recording its reasons.

Agent tip: Orders can be challenged, so keep every notice and reply. A clear paper trail matters if you appear before the Authority.

Section 39 (RERA)

RERA

The section on rectifying orders. Within two years of an order, the Authority can correct a mistake apparent from the record, and must do so if the parties point it out. It cannot amend the substance of an order or an order that is under appeal.

Legal basis: Section 39 of the RERA Act, 2016.

Example & agent tip

Example: An order lists the wrong carpet area in a Mohali buyer's refund calculation. The buyer applies and the Authority corrects the clerical error.

Agent tip: Read each order closely on receipt. Raise clerical errors early rather than waiting for the appeal period to pass.

Section 4 (RERA)

RERA

The section that sets out what a promoter must file for registration, including the sanctioned plan, project details and a declaration that 70% of the amounts realised from allottees will be kept in a separate bank account.

Legal basis: Section 4 of the RERA Act, 2016, particularly Section 4(2)(l)(D).

Example & agent tip

Example: A promoter's application includes a layout plan, a schedule of work and a bank account declaration.

Agent tip: Read the registration details on the state portal, including the promoter's declarations.

Section 40 (RERA)

RERA

The section on recovery and enforcement. Unpaid interest, penalty or compensation can be recovered as arrears of land revenue, so the revenue machinery can be used against a defaulting promoter, and other non-compliance with an order is enforced in the prescribed manner.

Legal basis: Section 40 of the RERA Act, 2016.

Example & agent tip

Example: A promoter ignores an order to refund a buyer with interest, so the Authority sends a recovery certificate to the district collector, who collects it like unpaid land revenue.

Agent tip: After winning an order, follow up on the recovery process. A good order is of little use until the money actually comes in.

Section 43 (RERA)

RERA

The section that provides for the Real Estate Appellate Tribunal. A promoter who wants to appeal an Authority or adjudicating officer's order must first deposit at least 30% of the penalty, or the full amount payable to the allottee, including interest and compensation.

Legal basis: Section 43 of the RERA Act, 2016.

Example & agent tip

Example: A promoter ordered to refund Rs 40 lakh to a buyer must deposit that sum with the Tribunal before the appeal is heard.

Agent tip: If you are a buyer who has won, the pre-deposit rule helps ensure money is available. Ask the Tribunal about releasing the deposit.

Section 44 (RERA)

RERA

The section on appeals to the Tribunal. Any aggrieved person, the government or a competent authority can appeal within 60 days of receiving the order, and the Tribunal can admit a late appeal for sufficient cause. It aims to dispose of appeals within 60 days.

Legal basis: Section 44 of the RERA Act, 2016.

Example & agent tip

Example: A buyer unhappy with a compensation order files an appeal on day 55 and the Tribunal admits it.

Agent tip: Note the date of receiving the order and calendar the 60-day limit. Late appeals need a reason.

Section 5 (RERA)

RERA

The section that sets how the regulator must decide a registration application. The Authority has 30 days to grant or reject it, must give the applicant a hearing before rejecting, and must record reasons. Registration then runs for the completion period the promoter declared.

Legal basis: Section 5 of the RERA Act, 2016.

Example & agent tip

Example: A Mohali promoter files for a 120-unit project in March. The Authority finds a missing sanction and, after a hearing, asks for the document instead of rejecting outright.

Agent tip: Agents should not market a project as registered just because an application is pending. Ask for the certificate and number, and confirm the registration period covers the promised possession date.

Section 53 (RERA)

RERA

The section on the Tribunal's powers. It is not bound by the Civil Procedure Code or the Evidence Act but follows natural justice. It has civil court powers such as summoning witnesses, requiring documents and taking evidence on affidavit, and may decide ex parte.

Legal basis: Section 53 of the RERA Act, 2016.

Example & agent tip

Example: A promoter skips three Tribunal hearings, and the Tribunal decides the appeal in the promoter's absence.

Agent tip: Do not skip a Tribunal date. A missed hearing can mean an ex parte order.

Section 54 Exemption

Tax & Duties

Also called: Section 54, Section 82

An exemption from long-term capital gains when the gain from a residential house is invested in another residential house within the time allowed: one year before or two years after the sale for purchase, or three years for construction. The cost of the new asset counted is capped at ₹10 crore.

Legal basis: Section 54 of the Income-tax Act, 1961, now Section 82 of the Income-tax Act, 2025.

Example & agent tip

Example: Mr. Bedi sells his old flat and buys a new one within a year. He may claim the exemption on the capital gain invested.

Agent tip: Explain timelines and the ₹10 crore cap, and send clients to a tax adviser for details.

Section 54B Exemption

Tax & Duties

Also called: Agricultural Land Reinvestment Exemption

A capital gains exemption for farmers who sell agricultural land that they, or their parents, used for farming, and buy other agricultural land within the allowed time. The unused money must be placed in the Capital Gains Account Scheme before the return deadline.

Legal basis: Section 54B of the Income-tax Act, 1961; the 2025 Act carries it under a new number.

Example & agent tip

Example: Baldev sells his two acres near Banur for development and buys another farm within the permitted period, so the gain is exempt to the extent reinvested.

Agent tip: Confirm that the land qualified as a capital asset and was actually farmed. Keep proof of agricultural use.

Section 54EC Bonds

Tax & Duties

Also called: 54EC Bonds, Capital Gain Bonds

Long-term capital gains from land or building can be exempted by investing the gain in specified bonds within six months, with a five-year lock-in. The limit is ₹50 lakh across the financial year of sale and the next financial year.

Legal basis: Section 54EC of the Income-tax Act, 1961, now Section 85 of the Income-tax Act, 2025. The list of eligible bonds is set by law and notification and can change.

Example & agent tip

Example: A seller invests ₹50 lakh of gain in eligible bonds within six months of the sale to claim the exemption.

Agent tip: Confirm the current list of eligible bonds before advising on this route.

Section 54F Exemption

Tax & Duties

An exemption from long-term capital gains on assets other than a residential house, such as land, when the sale proceeds are invested in a residential house. The exemption is proportionate to the amount invested, subject to conditions.

Legal basis: Section 54F of the Income-tax Act, 1961, now Section 86 of the Income-tax Act, 2025.

Example & agent tip

Example: A plot is sold and the net sale proceeds are used to buy a new flat. The gain may be exempt in proportion to the money invested.

Agent tip: The conditions on owning other houses matter. Refer the client to a chartered accountant.

Section 56 (RERA)

RERA

The section on legal representation before the Tribunal. An applicant or appellant may appear in person or authorise a chartered accountant, company secretary, cost accountant, legal practitioner or officer to present the case.

Legal basis: Section 56 of the RERA Act, 2016.

Example & agent tip

Example: A homebuyer in Panchkula authorises her chartered accountant cousin to argue her refund appeal.

Agent tip: For complex matters involving law and money, a qualified representative saves time. Check what your state's rules allow for the Authority stage.

Section 56(2)(x) Difference Tax

Tax & Duties

A tax rule under which a buyer who gets property for less than its stamp duty value is taxed on the difference above a limit, as income from other sources.

Legal basis: Section 56(2)(x) of the Income-tax Act, 1961, carried into the Income-tax Act, 2025 with a new section number.

Example & agent tip

Example: A buyer registers a flat for ₹1 crore, while the stamp duty value is ₹1.3 crore. The gap of ₹30 lakh passes the tolerance for buyers (higher of ₹50,000 or 10% of the price), so the whole ₹30 lakh can be taxed in his hands as income.

Agent tip: Explain how undervaluing a deed can create tax risk for the buyer.

Related: Stamp Duty Value Circle Rate

Section 57 (RERA)

RERA

The section that makes Tribunal orders executable like a civil court decree. The Tribunal can execute its orders with civil court powers or send them to a civil court with local jurisdiction for execution.

Legal basis: Section 57 of the RERA Act, 2016.

Example & agent tip

Example: A Tribunal orders a promoter to hand over possession. When the promoter does not comply, the order is transmitted to the district court for execution.

Agent tip: Ask the Tribunal's registry which execution route it uses in your state and keep copies of the order handy.

Section 58 (RERA)

RERA

The section on appeals from the Tribunal to the High Court. The appeal must be filed within 60 days of communication of the decision, on grounds mentioned in the Civil Procedure Code's Section 100, and goes to the High Court of the state where the project is located.

Legal basis: Section 58 of the RERA Act, 2016.

Example & agent tip

Example: A promoter loses before the Tribunal on a Zirakpur project and files an appeal before the Punjab and Haryana High Court within 60 days.

Agent tip: High Court appeals are for questions of law. They are not a rehearing of the facts.

Section 6 (RERA)

RERA

The section that allows the authority to extend a project's registration for force majeure, without default by the promoter, by up to one year in total.

Legal basis: Section 6 of the RERA Act, 2016.

Example & agent tip

Example: A flood stops work for months. The authority extends the registration by six months.

Agent tip: The extension does not cancel the allottee's rights unless the authority also extends the date in the agreement. Read the order.

Related: Force Majeure Possession Date

Section 60 (RERA)

RERA

The section that penalises a promoter for contravening the registration application provisions of Section 4, including giving false or incorrect information. The Authority can impose a penalty up to 5% of the estimated project cost.

Legal basis: Section 60 of the RERA Act, 2016.

Example & agent tip

Example: A promoter lists approvals he does not hold in the application. The Authority fines him a share of the estimated cost.

Agent tip: Agents should cross-check the approvals on a project's registration page against the municipal sanction.

Section 61 (RERA)

RERA

The section that penalises a promoter who contravenes provisions of the Act other than Sections 3 and 4. The Authority can impose a penalty up to 5% of the estimated project cost, set in each case by the Authority.

Legal basis: Section 61 of the RERA Act, 2016.

Example & agent tip

Example: A promoter in Mohali takes more than the permitted advance without a registered agreement and is fined under this section.

Agent tip: Know the common promoter breaches, such as taking over 10% advance without an agreement, as they support complaints.

Section 63 (RERA)

RERA

The section that penalises a promoter who fails to comply with the Authority's orders or directions. A penalty is charged for every day the default continues, and the total can reach up to 5% of the estimated project cost.

Legal basis: Section 63 of the RERA Act, 2016.

Example & agent tip

Example: A promoter ignores a direction to upload quarterly updates. A daily penalty builds up until the data is uploaded.

Agent tip: If a promoter is ignoring an order, ask the Authority to apply the compliance provisions and recover the penalty.

Section 64 (RERA)

RERA

The section on a promoter who fails to comply with the Appellate Tribunal's orders. It provides for imprisonment of up to three years, or a daily fine that can reach up to 10% of the estimated project cost, or both.

Legal basis: Section 64 of the RERA Act, 2016.

Example & agent tip

Example: A promoter refuses to follow a Tribunal order to refund buyers. A complaint is filed seeking prosecution.

Agent tip: This is the strongest penalty in the Act for promoters. It shows why Tribunal orders must be taken seriously.

Section 65 (RERA)

RERA

The section that penalises a real estate agent who fails to comply with the Authority's orders or directions. A daily penalty applies while the default continues and can total up to 5% of the cost of the plot, apartment or building involved.

Legal basis: Section 65 of the RERA Act, 2016.

Example & agent tip

Example: An agent in Panchkula keeps advertising after the Authority orders him to stop. Daily penalties are imposed until he complies.

Agent tip: As an agent, treat every Authority direction as binding and reply on time. Delay is expensive.

Section 69 (RERA)

RERA

The section on offences by companies. When a company commits an offence, those in charge of its business at the time can be held guilty, unless they prove the offence happened without their knowledge or that they used due care. Directors can be liable if the offence was with their consent or neglect.

Legal basis: Section 69 of the RERA Act, 2016.

Example & agent tip

Example: A developer company is prosecuted, and its managing director is named as the person in charge.

Agent tip: When checking a developer company, note the directors and key persons. They can carry personal liability.

Section 70 (RERA)

RERA

The section that lets certain offences be compounded, which means settled by paying a prescribed sum. It is meant to avoid a long prosecution for offences punishable with imprisonment, on terms the rules set. The sum cannot exceed the maximum fine for the offence.

Legal basis: Section 70 of the RERA Act, 2016.

Example & agent tip

Example: A promoter admits a minor breach and pays the prescribed amount instead of facing a prosecution.

Agent tip: Compounding ends the case against the promoter but does not cancel a buyer's separate right to refund or compensation. Check this point before agreeing to any settlement.

Section 72 (RERA)

RERA

The section on the factors an adjudicating officer must weigh when deciding compensation or interest under Section 71. They include the unfair gain made through the default, the loss caused, whether the default was repeated, and any other factor needed to do justice.

Legal basis: Section 72 of the RERA Act, 2016.

Example & agent tip

Example: A promoter delayed possession of a Kharar flat by two years. The officer weighs the buyer's rent paid and the repeat nature of the delay.

Agent tip: Buyers should document losses, such as rent paid and receipts, because the officer looks at actual loss.

Section 79 (RERA)

RERA

The section that bars civil courts from entertaining any suit or proceeding on a matter the Authority, adjudicating officer or Tribunal can decide. It bars civil courts, not consumer commissions, as the Supreme Court has held.

Legal basis: Section 79 of the RERA Act, 2016; see also Imperia Structures Ltd v Anil Patni (Supreme Court, 2020).

Example & agent tip

Example: A buyer wants to file a civil suit for a refund, but the court says the matter belongs to the RERA Authority.

Agent tip: Pick the right forum at the start. A civil suit on a RERA matter will probably be thrown out.

Section 8 (RERA)

RERA

The section on what happens when registration lapses or is revoked. The Authority can consult the government on completing the remaining work, for example through the competent authority, the allottees' association or another method. On revocation, the association of allottees gets the first right of refusal to complete the work.

Legal basis: Section 8 of the RERA Act, 2016.

Example & agent tip

Example: After the registration of a stalled Kharar project is revoked, the buyers' association is offered first chance to take over and finish the unbuilt towers.

Agent tip: If a project you sold is hit by revocation, point buyers to their association early. A united association has the strongest claim under this section.

Section 80 (RERA)

RERA

The section on trying offences under the Act. A court lower than a Metropolitan Magistrate or Judicial Magistrate of the first class cannot try them, and the court takes cognizance only on a complaint by the Authority or an officer it authorises.

Legal basis: Section 80 of the RERA Act, 2016.

Example & agent tip

Example: The Authority files a complaint against a non-compliant promoter before the Magistrate in Mohali.

Agent tip: A buyer cannot file the criminal complaint directly. Ask the Authority to initiate prosecution.

Section 88 and 89 (RERA)

RERA

Two closing sections. Section 88 says the Act adds to other laws and does not replace them. Section 89 gives the Act an overriding effect over inconsistent provisions in other laws. Together they explain how RERA sits beside remedies such as consumer cases.

Legal basis: Sections 88 and 89 of the RERA Act, 2016.

Example & agent tip

Example: A state housing rule sets a procedure that clashes with the central Act on a buyer's refund right, and the RERA provision prevails.

Agent tip: RERA is an additional remedy, not the only one. A lawyer can advise which forum fits your case.

Section 9 (RERA)

RERA

The section that requires every real estate agent to register with the state authority before facilitating the sale or purchase of a plot, apartment or building in a registered project.

Legal basis: Section 9 of the RERA Act, 2016.

Example & agent tip

Example: A broker working in a registered Mohali project applies for registration and receives an agent number.

Agent tip: Use your registration number on all marketing. Without it you cannot act.

Sector

General & Places

A numbered planning unit in cities such as Chandigarh, Mohali and Panchkula, usually a self-contained residential area with its own roads, markets and parks.

Example & agent tip

Example: A plot in Sector 70, Mohali, falls under GMADA's plan for that sector.

Agent tip: Quote the sector number and the plot or house number.

Related: Tricity Plot Master Plan

Securitisation

Finance

Also called: Mortgage-Backed Securities

The process of bundling many loans, such as home loans, and selling the right to their repayments to investors as securities. It lets lenders free up money to lend again, and spreads the risk across investors.

Example & agent tip

Example: A housing finance company in Pune pools thousands of home loans and sells their future repayments to institutional investors.

Agent tip: Your client's loan may be sold on, but the borrower's terms and the servicing contact normally stay the same unless told otherwise.

Security Deposit

Investment & Valuation

A refundable amount paid by a tenant to the landlord at the start of a lease to cover damage or unpaid rent.

Legal basis: The Model Tenancy Act, 2021 caps a security deposit at two months' rent for residential and six months' for non-residential premises, where a state has adopted it.

Example & agent tip

Example: A tenant pays a three-month deposit on a flat in a state that has not adopted the Model Tenancy Act, so the cap does not apply.

Agent tip: Record the deposit and refund conditions in the agreement.

Related: Rent Agreement Lease Deed

Seismic Zone

Construction

A classification of India by earthquake risk in the Bureau of Indian Standards building code. Higher zones need stronger structural design. A new 2025 code that added a Zone VI was withdrawn in March 2026, so the 2016 map with zones II to V applies again.

Example & agent tip

Example: Many Himalayan towns and the north-east fall in the higher-risk zones. Their buildings need stronger structural design.

Agent tip: Ask about earthquake-resistant design for buildings in high-risk zones.

Self-Acquired Property

Legal

Also called: Swayarjit Sampatti, Self-Acquired Asset

Property that a person buys from their own income or receives by gift or will, not inherited as ancestral property. The owner may sell, gift or will it freely, and it passes under the law of succession on death.

Example & agent tip

Example: A doctor in Chandigarh buys a flat from his own savings. He can sell or leave it by will to anyone, regardless of his father's wishes.

Agent tip: For a sale, ask for the deed showing how the seller bought the property. It helps prove the property is not subject to family claims.

Seller Document Checklist

Agent Practice

The papers an agent should ask a seller for before listing a resale property: title deed, previous chain of papers, tax receipts, electricity bill, society no-dues, approved plan, and identity proofs. It helps buyers trust the listing and speeds up the sale.

Example & agent tip

Example: An agent refuses to list a flat until the owner supplies the sale deed, society no-dues and latest tax receipt.

Agent tip: Verify originals, not photocopies, and match the owner's name to the records.

Semi-Detached House

Property Types

Also called: Twin House, Twin Villa

A house that shares one common wall with the neighbouring house while having its own entrance, plot and open space on the other sides. It sits between an independent house and a row house in price and privacy.

Example & agent tip

Example: A gated project near Mullanpur sells twin villas in pairs, each family having its own lawn and parking but a shared dividing wall.

Agent tip: Ask who bears the cost of repairs to the shared wall and how its rights are recorded in the deed.

Senior Living

Property Types

Housing designed for older residents, with accessible design, medical support and community services.

Example & agent tip

Example: A senior living project offers ground-floor flats, a clinic, housekeeping and a common dining hall.

Agent tip: Check the operator's track record and the refund policy for deposits.

Related: Gated Community Amenities

Serviced Apartment

Property Types

A furnished apartment that comes with housekeeping, utilities and sometimes meals, rented by the day, week or month.

Example & agent tip

Example: A consultant stays for two months in a serviced apartment near the business district.

Agent tip: Serviced apartments suit short stays and corporate leases. Treat the rent differently from long-term residential leases.

Setback

Approvals

The minimum open distance that must be left between a building and the plot boundary on the front, back and sides, as set by building rules.

Example & agent tip

Example: A house built right up to the front boundary violates the setback rule and may attract demolition.

Agent tip: Advise clients to check setbacks before they buy a plot. They reduce the buildable area.

Settlement Deed

Documents

Also called: Settlement Deed Tamil Nadu, Vyavastha Patra

A deed by which a person arranges how property will pass to family members, often within the family and without payment. Depending on the state and structure, it may be treated like a gift or a partition, with stamp duty accordingly.

Example & agent tip

Example: A father in Madurai makes a registered settlement deed giving his house to his two sons in equal shares, with a life interest for himself.

Agent tip: Check how your state treats it for stamp duty. The duty can differ greatly from that of a sale deed.

Sewage Treatment Plant (STP)

Construction

A facility that treats a building's wastewater for reuse in gardens and flushing. Larger projects are often required to have one.

Example & agent tip

Example: A 500-flat society runs an STP and uses treated water for landscaping.

Agent tip: Ask about STP capacity and operation. Poorly run plants lead to complaints.

SG Highway

General & Places

The Sarkhej-Gandhinagar Highway in Ahmedabad, a main commercial and residential corridor with malls, offices, clubs and apartment projects. It is a standard reference when people discuss Ahmedabad's western growth.

Example & agent tip

Example: A business owner plans a showroom on SG Highway and checks the zoning and parking rules of the commercial unit.

Agent tip: Commercial units need approvals for use, parking and fire norms. Confirm these before leasing a showroom.

Shajra

Land Records

A revenue sketch. Shajra Nasab is a family tree used to show legal heirs for mutation, and Shajra Kishtwar is the field map of a village showing parcels.

Example & agent tip

Example: To mutate inherited land, heirs submit a shajra nasab listing all legal heirs.

Agent tip: Ask for the family tree when title comes by inheritance, and see that every heir signs.

Shamlat Deh

Land Records

Village common land in Punjab and Haryana, used by the community for grazing, ponds and paths. It is vested in the panchayat and cannot be sold by private persons.

Legal basis: Punjab Village Common Lands (Regulation) Act, 1961, which Haryana also applies with its own amendments.

Example & agent tip

Example: A "plot" sold on shamlat land turns out to belong to the village panchayat.

Agent tip: Check the Jamabandi for the word shamlat. Such land cannot be sold.

Related: Jamabandi Abadi Deh

Share Certificate

Documents

A certificate issued by a co-operative housing society that records the member's number of shares and links them to a specific flat.

Example & agent tip

Example: A buyer of a resale flat in a Mumbai society receives the share certificate in his name after the society approves the transfer.

Agent tip: Ask the seller for the original share certificate and the society's transfer approval.

Shear Wall

Construction

A reinforced concrete wall designed to resist lateral forces from earthquakes and wind. It is common in high-rise buildings.

Example & agent tip

Example: A tall tower in a high seismic zone has shear walls around its lift core.

Agent tip: Never advise breaking a shear wall during renovation.

Shop

Property Types

A retail unit in a mall, market or mixed-use building. Valuation depends on footfall, frontage and floor level.

Example & agent tip

Example: A 200 sq ft shop on the ground floor of a market fetches a much higher price per sq ft than a first-floor shop.

Agent tip: Quote the covered area and the frontage. Ask whether the unit is freehold or leasehold.

Shopping Mall

Property Types

A large planned retail complex with many shops, anchor stores, a food court and often a multiplex, managed centrally by one owner or operator. Shops are either leased by the owner or sold to individual investors with management control retained.

Example & agent tip

Example: An investor buys a small kiosk in a mall in Mohali and the mall company manages leasing and common areas.

Agent tip: Check whether the shop is sold on a lease-back or assured return basis and what happens if the mall under-performs.

Short-Term Capital Gains

Tax & Duties

Also called: STCG

Gain on sale of land or a building held for 24 months or less. It is added to income and taxed at the person's slab rate.

Example & agent tip

Example: A flat sold within 18 months of purchase gives a short-term gain taxed at the owner's slab rate.

Agent tip: Warn short-term investors that the tax is higher than on long-term gains.

Show Flat

General & Places

Also called: Sample Flat, Model Apartment

A fully furnished sample unit in a project, built to display layout and finish. It may have upgraded fittings and furniture that are not part of the actual price, so buyers should compare it with the agreed specifications.

Example & agent tip

Example: A buyer loves the furnished sample flat, but the agent clarifies that the furniture and false ceiling are not included.

Agent tip: Ask which items in the show flat are included in the price and list them in the agreement.

Showroom

Property Types

A large retail unit, typically on a main road, used by brands to display products. Frontage and parking decide its value.

Example & agent tip

Example: A car showroom in an industrial area needs a large frontage and ample parking.

Agent tip: Check permitted commercial use and parking norms.

Single Window Clearance

Approvals

Also called: Single Window System

A system where a developer applies in one place for the many approvals needed for a project, instead of visiting several departments. States offer it online with timelines, though some approvals may still be handled separately.

Example & agent tip

Example: A real estate developer in Gujarat used the state portal to apply for several clearances for a township together.

Agent tip: A project said to have single window clearance does not mean every approval exists. Ask for each clearance separately.

Site Handover Checklist

Construction

A list used at possession to record the condition of a flat or building: walls, floors, doors, fittings, services and meter readings. Signing it with noted defects creates a record that the builder must fix them.

Example & agent tip

Example: A buyer in Zirakpur listed fourteen defects on the checklist before taking keys, and the builder fixed them within a month.

Agent tip: Never sign a clean handover note while defects are visible. Write each defect down with a date and photo.

Site Plan

Approvals

A drawing showing the position of buildings, roads and open space on a plot or project site.

Example & agent tip

Example: A site plan shows two towers, a club house and a service road inside a 5 acre project.

Agent tip: Use it to verify setbacks, orientation and green area.

Site Visit

Agent Practice

A visit by a prospective buyer to a project or property. It is a key step before booking.

Example & agent tip

Example: An agent schedules a Saturday site visit for a family looking at 3 BHK flats.

Agent tip: Prepare the documents and RERA details before you take clients on a site visit.

Related: Lead Booking Amount

Site Visit Checklist

Agent Practice

A list the agent uses before and during a visit: confirm the appointment, carry brochure and price sheet, show the sample flat, the actual site, access roads and amenities, and note the client's feedback. It makes the visit complete and professional.

Example & agent tip

Example: An agent visits a Kharar project with a checklist covering RERA number, sample flat, tower location, parking and the nearby school.

Agent tip: Show approvals and the RERA registration as part of the visit, not only the sample flat.

Slab

Construction

A flat horizontal concrete element that forms floors and roofs, supported by beams and columns.

Example & agent tip

Example: Pouring the 8th floor slab is a milestone in a construction-linked payment plan.

Agent tip: Learn to read stage names such as plinth, slab, brickwork and finishing in a payment schedule.

Slum Rehabilitation Authority

Authorities

The Maharashtra authority that approves and monitors slum rehabilitation schemes, mainly in Mumbai.

Example & agent tip

Example: A developer submits an SRA scheme for approval.

Agent tip: Check SRA permissions for projects in redeveloped slum areas.

Slum Rehabilitation Scheme (SRA)

Approvals

A Maharashtra scheme under which developers rebuild slum areas as free flats for eligible slum dwellers and sell the rest of the built area in the open market.

Example & agent tip

Example: A Mumbai developer builds 400 rehabilitation flats and sells 300 more in a free-sale building.

Agent tip: SRA projects need careful checks on approvals and slum-dweller consent.

Related: Chawl Floor Space Index (FSI)

SM REIT

Investment & Valuation

A small and medium REIT under SEBI's 2024 framework, for pooling money to own a single income-generating property. A scheme must hold assets of at least ₹50 crore and below ₹500 crore, with a minimum investment of ₹10 lakh.

Example & agent tip

Example: An SM REIT scheme owns one leased office tower and distributes rent to unitholders.

Agent tip: Check the SEBI registration and whether the platform has migrated into the SM REIT framework.

Small Causes Court

Legal

Also called: Court of Small Causes

A court that hears limited kinds of civil cases quickly, including in some cities disputes between landlords and tenants on rent and eviction. In Mumbai, rent matters fall to this court under the rent law.

Example & agent tip

Example: A landlord in Mumbai files an eviction suit for unpaid rent in the Small Causes Court rather than the civil court.

Agent tip: For tenancy disputes, check which court or rent authority has jurisdiction in your city before filing.

Smart Cities Mission

General & Places

A central government programme launched in 2015 to improve infrastructure and services in selected Indian cities through area-based projects and city-wide technology solutions. Its funding period was set to end in March 2025, so check what projects continue under city governments.

Example & agent tip

Example: A councillor shows residents a redeveloped market street built under the mission and explains who now runs and maintains it.

Agent tip: Being in a "smart city" does not mean a project is approved or safe. A buyer should check the building's own permissions.

Smart City

Property Types

A city or area chosen under the national Smart Cities Mission for improved infrastructure and technology-based services. In property talk, the term is also used loosely for new planned townships, which may not be part of the mission.

Example & agent tip

Example: A brochure calls a township near Lalru a smart city, but it is not one of the cities picked under the mission.

Agent tip: Do not repeat marketing claims. Ask whether the area is actually a mission city or just a planned township.

Snagging

Construction

Inspection of a finished unit before possession to list defects such as cracks, leaks, wrong fittings and poor paint, which the builder must fix.

Example & agent tip

Example: A buyer walks through a flat with a snag list of 28 items before accepting possession.

Agent tip: Encourage buyers to snag with a checklist and record items in writing at handover.

Social Impact Assessment (SIA)

Legal

Also called: SIA

A study required before land is acquired for a public project under the 2013 Act, looking at how the project affects families, livelihood and the community. The report is shared with the affected people and is reviewed by an expert group.

Example & agent tip

Example: Before acquiring land for a bypass near Karnal, the government conducts a social impact assessment and holds a public hearing in the affected villages.

Agent tip: If your land is under acquisition, take part in the hearing and file objections in writing. This is the stage for raising concerns.

Society Charges

General & Places

Also called: Maintenance Charges

Regular payments by flat owners to the housing society or association for maintenance of common areas, security, lifts, water, garden and other services. Also called maintenance charges.

Example & agent tip

Example: A flat owner pays ₹4 per sq ft per month as maintenance charges.

Agent tip: Ask for the current rate and any arrears before a resale. Dues pass with the flat in practice.

Soft Launch

Agent Practice

A preview of a project to selected buyers or partners before the official launch, often with early pricing.

Example & agent tip

Example: A developer invites agents to a soft launch with an introductory price sheet.

Agent tip: A soft launch is not an excuse for sales before RERA registration.

Sohna Road

General & Places

A Gurugram arterial road from Subhash Chowk towards Sohna, lined with group housing, builder floors and retail. It is a well-known residential micro-market of the city.

Example & agent tip

Example: A family from Faridabad compares a builder floor on Sohna Road with a high-rise flat on Golf Course Extension Road for school access.

Agent tip: Sohna Road has a mix of licensed and older colonies. Ask for the licence number and check the sector or colony record.

Soil Investigation Report

Construction

Also called: Soil Test Report, Geotechnical Report

A report based on boring and testing the ground at a site to learn soil layers, water table and bearing capacity. The structural engineer uses it to choose the type and depth of foundation.

Example & agent tip

Example: Before designing a basement for a Kharar project, the consultant bored several holes and found a high water table.

Agent tip: For a plot where you plan to build, spend on a soil test first. It may change the cost of foundations significantly.

Solatium

Legal

Also called: Land Acquisition Solatium

An extra amount paid to a landowner on top of the market value in land acquisition, to offset the compulsory nature of the taking. Under the 2013 Act, it is fixed as a share of the compensation, and the figure is set out in the Act.

Legal basis: Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013.

Example & agent tip

Example: A farmer near Rajpura is paid market value for 2 acres taken for a highway, with solatium added by the collector's award.

Agent tip: Check an award for market value, solatium and interest. Errors can be taken up before the authority within time.

Spalling

Construction

Flaking or chipping of the concrete cover, often exposing rusted reinforcement bars. It is usually caused by steel corrosion expanding inside the concrete after water or salt reaches it, and is common in older buildings and balconies.

Example & agent tip

Example: A 30-year-old building in Panchkula showed pieces of balcony slab falling away, with rusted bars visible underneath.

Agent tip: In older resale buildings, check balcony undersides and ceilings for rust stains. Spalling means repair costs for the society.

Special Economic Zone (SEZ)

Property Types

A designated duty-free enclave treated as foreign territory for trade, set up to promote exports with tax and duty benefits to units operating inside. Units and developers need approval under the SEZ law. Space is leased or allotted to approved units.

Legal basis: Special Economic Zones Act, 2005.

Example & agent tip

Example: A software company takes 20,000 sq ft in an SEZ tower in Hyderabad to serve overseas clients under export-linked benefits.

Agent tip: Check whether the unit is an approved SEZ unit and whether the benefits the tenant expects are still valid.

Special Power of Attorney (SPA)

Documents

A POA that gives authority for a particular act or transaction, such as signing a sale deed or appearing in the Sub-Registrar's office.

Example & agent tip

Example: An NRI signs an SPA for one purpose only: to sell a specific flat on agreed terms.

Agent tip: Prefer an SPA over a GPA. Check that it names the property, the price range and the powers given.

Specific Performance

Legal

A court order requiring a party to carry out a contract, such as completing the sale of a property. After the 2018 amendment, specific performance is a general right and not a matter of the court's discretion.

Legal basis: Specific Relief Act, 1963, as amended in 2018.

Example & agent tip

Example: A seller refuses to sign the sale deed after taking an advance. The buyer sues for specific performance.

Agent tip: A buyer must be ready and willing to perform his part. Keep records of payments.

Specific Relief Act, 1963

Legal

Also called: Specific Relief Act, SRA 1963

The law under which a court can order a person to carry out a contract, stop a wrongful act, or declare a right. After the 2018 amendment, specific performance became the usual remedy for a valid contract, and not merely an exception.

Legal basis: Specific Relief Act, 1963, as amended in 2018.

Example & agent tip

Example: A builder in Hyderabad refuses to hand over a flat after taking most of the price. The buyer seeks an order to enforce the agreement under this Act.

Agent tip: In a dispute, ask the lawyer whether the buyer can seek performance and not only a refund. The two remedies lead to very different outcomes.

Specifications

Construction

The written description of materials, fittings and finishes promised in a unit, such as flooring type, kitchen fittings and electrical points.

Example & agent tip

Example: The agreement lists vitrified tiles, branded sanitaryware and modular switches.

Agent tip: Make sure specifications appear in the agreement for sale, not only in the brochure.

Related: Agreement for Sale Snagging

Spot Incentive

Agent Practice

A bonus a developer offers to agents for sales made during a short period, such as a launch weekend or festival. It is paid on top of normal commission and has its own conditions on booking amount and timing.

Example & agent tip

Example: A developer offers agents an extra ₹25,000 for each booking made during a three-day festive launch.

Agent tip: Never push a buyer to book in haste to earn a spot incentive. Mis-selling can cost you your registration.

Square Foot

Measurement

The most common unit for quoting built-up and carpet areas in India. One square metre equals about 10.764 sq ft.

Example & agent tip

Example: A flat priced at ₹6,500 per sq ft with 1,000 sq ft carpet area costs ₹65 lakh before other charges.

Agent tip: Always state which area (carpet, built-up or super) the rate per sq ft refers to.

Square Metre

Measurement

The metric unit of area used in building codes, RERA project thresholds and government records. One sq m equals about 10.764 sq ft.

Legal basis: Under Section 3 of the RERA Act, registration is needed if the land exceeds 500 sq m or the project has more than eight apartments.

Example & agent tip

Example: A plotted project on 600 sq m of land crosses the 500 sq m threshold, so it must be registered under RERA.

Agent tip: Know the 500 sq m and eight-apartment thresholds. Either one is enough to require registration.

Stamp Duty

Tax & Duties

A state tax on property documents, paid when a sale deed, gift deed, lease or similar instrument is executed. The rate depends on the state, the type of property and sometimes the buyer's gender, age or relation to the seller.

Legal basis: The Indian Stamp Act, 1899 or the state's own stamp Act, such as the Maharashtra Stamp Act, 1958. Rates are set by state governments.

Example & agent tip

Example: A buyer of a ₹60 lakh flat in a state with 6% stamp duty pays ₹3.6 lakh as stamp duty, plus the registration fee.

Agent tip: Give clients the current stamp duty slab for the state, and tell them to check concessions for women or for first-time buyers.

Stamp Duty Concession for Women

Tax & Duties

Also called: Women's Stamp Duty Rebate

A reduction in stamp duty that some states give when a property is registered in the name of a woman, either alone or jointly. The amount of concession and the conditions differ by state and can change.

Example & agent tip

Example: Because the flat is registered in the name of the wife, the family in a state with a concession pays a lower stamp duty than it would if the husband alone were the buyer.

Agent tip: Check the current rule of the state before advising on whose name the property should be in, and do not choose a name only for the saving.

Stamp Duty Deduction (Section 80C)

Tax & Duties

Also called: Section 80C Stamp Duty Benefit

A deduction under the old tax regime for stamp duty, registration fee and transfer costs paid in buying a residential property, claimed in the year of payment. It forms part of the overall Section 80C limit shared with other savings.

Legal basis: Section 80C of the Income-tax Act, 1961; available only if the old regime is chosen, and renumbered in the 2025 Act.

Example & agent tip

Example: Trisha pays ₹3 lakh in stamp duty and registration in the year of purchase, and claims up to the Section 80C limit under the old regime.

Agent tip: Compare the old and new regimes before claiming. The new regime does not allow this deduction.

Stamp Duty Refund

Tax & Duties

Also called: Refund of Stamp Duty

Money returned by the state when stamp paper is not used or a document is cancelled within the time and under the conditions fixed by the state. A refund is not automatic and is often subject to a deduction.

Example & agent tip

Example: Neeraj buys stamp paper for a sale deed, but the deal falls through. He applies to the stamp authority within the allowed time to get the money back.

Agent tip: Check the deadline in the state's rules. Refunds are usually denied if the claim is late.

Stamp Duty Value

Tax & Duties

The value adopted by the stamp authority for charging duty on a transfer. It is the circle rate value or the sale price, depending on the state's law. For income tax, it is the value compared with the actual price.

Legal basis: Section 50C (now Section 78 of the Income-tax Act, 2025) for sellers and Section 56(2)(x) for buyers.

Example & agent tip

Example: A plot is sold for ₹1 crore, but the stamp duty value is ₹1.3 crore. If the gap passes the allowed tolerance, the whole difference can be taxed, not just the excess.

Agent tip: Tell clients that a price below the stamp duty value can create tax for both buyer and seller.

Stamp Paper

Documents

Government-issued paper bearing pre-paid stamp duty, on which legal documents were traditionally executed. Many states now use e-stamping.

Example & agent tip

Example: A buyer pays stamp duty online and receives an e-stamp certificate instead of buying physical stamp paper.

Agent tip: Check the e-stamp certificate on the issuer's website to confirm it is genuine.

Related: e-Stamping Stamp Duty Franking

Standard Deduction (House Property)

Tax & Duties

A flat 30% deduction from the net annual value of a rented property, allowed for repairs and other costs without proof.

Example & agent tip

Example: With net annual value of ₹2 lakh, the owner deducts ₹60,000 as standard deduction.

Agent tip: Tell landlords this is automatic and not tied to actual repair bills.

State Consumer Disputes Redressal Commission

Authorities

The state-level consumer forum. Under the 2021 rules it hears complaints where the consideration paid is above Rs 50 lakh and up to Rs 2 crore, and appeals from district commissions. Larger disputes go to the national commission.

Legal basis: Consumer Protection Act, 2019; Consumer Protection (Jurisdiction of the District Commission, the State Commission and the National Commission) Rules, 2021.

Example & agent tip

Example: A buyer of a Rs 1.2 crore villa files at the state commission after paying in full.

Agent tip: The forum depends on the amount paid, not the current market value. Check current limits.

State Environment Impact Assessment Authority (SEIAA)

Authorities

The state body that grants environmental clearance for projects above the thresholds in the national notification, such as larger building and construction projects. Smaller projects may fall under a lower authority, and the thresholds change with notifications.

Example & agent tip

Example: A builder in Panchkula planning a very large complex applies to the SEIAA before starting construction.

Agent tip: Ask for the environmental clearance of large projects and verify the number on the board's site.

State Fire Services

Authorities

The state department that inspects buildings for fire safety and issues the fire no-objection certificate. Tall and public-use buildings are checked on fire exits, hydrants and sprinklers, and fire clearance is typically needed for approvals.

Example & agent tip

Example: A Zirakpur commercial complex gets its occupancy certificate only after the fire department confirms its systems are in place.

Agent tip: Ask for the fire NOC of commercial buildings. A missing or expired NOC is a safety and legal risk.

State Housing Board

Authorities

A state government body that builds and sells housing, often for middle and lower-income groups, and sometimes develops land. Names and powers differ by state, and old board schemes may have special rules for allotment and resale.

Example & agent tip

Example: A buyer of a resale flat in a board colony checks whether the board has to give permission for transfer.

Agent tip: For board properties, ask the board for the allotment letter and transfer rules. Fees and conditions can apply.

State Pollution Control Board (SPCB)

Authorities

The state body that gives consent to establish and consent to operate for projects and industries that can pollute. Large housing and industrial projects often need its consent besides other clearances.

Example & agent tip

Example: A factory plot buyer in Lalru confirms that the unit type is allowed and that consent to operate can be obtained.

Agent tip: Industrial plot buyers should check what pollution consent the intended activity needs. A plot's zoning does not guarantee it.

Status Quo Order

Legal

Also called: Status Quo, Stay Order

A court order directing the parties to keep things as they stand, without selling, building, changing possession or altering the property. It protects the position until the court decides the main dispute.

Example & agent tip

Example: While two brothers fight over a Jalandhar house, the court passes a status quo order, so neither can sell or rent it.

Agent tip: If a status quo order exists, no buyer should go ahead. Ask for a copy of the order and check its current status.

Statutory Tenant

Legal

Also called: Protected Tenant, Controlled Tenant

A tenant whose lease has ended but who stays on and is protected from eviction by rent control law, which allows removal only on specific grounds. Such tenants often pay old, low rent, and the tenancy may pass to heirs in some states.

Example & agent tip

Example: A tenant in an old Kolkata building pays a small rent decades after the lease ended and is protected by the state's rent law.

Agent tip: Before buying a tenanted property, find out whether the tenant is protected. Vacant possession may be impossible.

Step-Up Repayment

Finance

Also called: Step-Up EMI, Flexi EMI

A repayment plan in which the EMI starts low and rises at set intervals, matching the expectation that the borrower's income will grow. Early years cost less, but the loan takes longer to shrink and total interest is higher.

Example & agent tip

Example: Anjali, a young chartered accountant in Mohali, starts with a smaller EMI and increases it every year in line with her expected salary growth.

Agent tip: Compare the total interest against a plain EMI loan. A step-up plan only helps if income really grows as planned.

Stilt

Construction

The ground floor of a building left open or used for parking, with columns supporting the floors above. It is common in north Indian cities.

Example & agent tip

Example: A builder floor has a stilt level for parking and four residential floors above.

Agent tip: Check whether stilt parking is sold or free, and whether it counts as a floor.

Related: Basement Parking Podium

Stop Work Notice

Approvals

An order from the authority directing that construction must halt, usually for building without sanction, deviating from the plan or breaching safety or environment rules. Continuing after such a notice can lead to sealing or demolition.

Example & agent tip

Example: A Zirakpur owner who added a floor beyond his sanction received a notice and had to stop work.

Agent tip: If a notice is displayed on a site, find out the reason and whether it was withdrawn before booking.

Structural Defect Liability (Section 14(3))

RERA

A buyer can report any structural defect or defect in workmanship, quality or services within five years of taking possession. The promoter must fix it within 30 days without charge, or pay compensation as provided under the Act.

Legal basis: Section 14(3) of the RERA Act, 2016.

Example & agent tip

Example: Seepage appears on a flat's wall two years after possession in Mohali. The buyer reports it in writing and the promoter must repair it within 30 days.

Agent tip: Report defects in writing with photographs and keep the date. Do it inside the five-year window.

Structural Stability Certificate

Construction

A certificate from a licensed structural engineer confirming that a building is structurally safe. It is needed for approvals, occupancy and old buildings.

Example & agent tip

Example: A society asks for a structural audit and certificate for a 35-year-old building.

Agent tip: For old buildings ask for a recent structural audit before you advise a purchase.

Student Housing

Property Types

Purpose-built accommodation near campuses, rented by the bed or room and managed by an operator.

Example & agent tip

Example: An operator leases a building near a university and rents it by the bed.

Agent tip: Investors treat it as a niche rental asset. Check occupancy and the operator's contract.

Studio Apartment

Property Types

A compact unit with one combined living, sleeping and cooking space and a separate bathroom. It is popular with students, singles and investors.

Example & agent tip

Example: A 380 sq ft studio near a university campus rents for a premium per sq ft compared with larger flats.

Agent tip: Pitch studios to investors who want rental yield and tenants who want a lower budget.

Sub-Broker

Agent Practice

An agent who works under a larger broker or channel partner, usually sharing commission.

Example & agent tip

Example: A freelancer brings leads to a channel partner and receives half the commission.

Agent tip: Sub-brokers should also register if they facilitate sales in RERA projects.

Sub-Lease Deed

Documents

A deed by which a lessee gives a part or all of the leased premises to another person for a period within the lease term. The first lessee remains liable to the owner, and the lease terms may limit or forbid subletting.

Example & agent tip

Example: A tenant of a floor in Gurugram signs a sub-lease deed with a start-up for half the space. The head lease requires the owner's written consent for this.

Agent tip: Check the head lease for a clause on subletting. A sub-lease without the owner's consent can end the main lease.

Subletting

Legal

Also called: Sub-tenancy, Sublease

A tenant letting out part or all of rented premises to another person, which may be barred by the lease or by rent control law. Unauthorised subletting is often a ground for eviction.

Example & agent tip

Example: A tenant in Jaipur rents his rented flat to students without telling the owner. The landlord uses this as a ground for eviction.

Agent tip: Landlords should write a clear subletting clause and check who actually lives in the premises. Tenants should get consent in writing.

Sub-Registrar

Legal

The government official in charge of registering documents in a sub-district. The property must be registered in the office whose area covers it.

Example & agent tip

Example: A flat in Mohali is registered in the Sub-Registrar's office of that tehsil.

Agent tip: Confirm the correct jurisdiction before you fix an appointment.

Related: Registration (Property) Tehsil

Subvention Scheme

Agent Practice

A scheme in which the developer pays the pre-EMI interest on the buyer's loan until possession, usually in return for a higher price or a bank tie-up.

Example & agent tip

Example: A developer pays the bank interest until possession, so the buyer pays only after handover.

Agent tip: Subvention schemes carry risk if the developer stops paying. Read the tripartite agreement.

Succession Certificate

Documents

A court certificate under the Indian Succession Act, 1925 that entitles the holder to collect the debts and securities of a deceased person. It does not decide title to property. It is different from a legal heir certificate.

Example & agent tip

Example: A family needs a succession certificate to claim the bank deposits of a relative who died without a will.

Agent tip: For property, buyers often ask for a legal heir certificate and a family settlement. Ask a lawyer which document the situation needs.

Related: Legal Heir Certificate Probate

Super Built-Up Area

Measurement

Also called: Super Area, Saleable Area, Chargeable Area

Built-up area plus the buyer's proportionate share of common areas such as the lobby, staircases, lifts, club house and corridors. It is also called saleable area or chargeable area, and the loading factor links it to carpet area.

Legal basis: Not a RERA unit of sale. RERA requires the price to be quoted on carpet area.

Example & agent tip

Example: In a tower with a 35% loading, a 1,000 sq ft carpet area flat is marketed as roughly 1,350 sq ft super area.

Agent tip: Never compare two projects by super-area price alone. Convert both to a rate per sq ft of carpet area first.

Supplementary Deed

Documents

A deed that adds to or modifies an earlier deed, for example to include a missed boundary or reflect an agreed change. It should be stamped and registered where needed.

Example & agent tip

Example: Parties add the missed parking slot to a registered sale deed through a supplementary deed.

Agent tip: Use it to fix omissions. Ask a lawyer to decide if it needs full stamp duty.

Related: Rectification Deed Sale Deed

Surat

General & Places

A Gujarat city known for diamond cutting and polishing and textile trade, with a fast-growing built-up area, a new metro under way and a diamond bourse. Its markets include both apartments and commercial space linked to trade.

Example & agent tip

Example: A textile trader buys a shop near the market and an apartment on the Vesu side for his family.

Agent tip: Check the SUDA town-planning scheme rules, since final plots in Gujarat's town planning schemes differ from original plots.

Survey Number

Land Records

A number given to a land parcel by the survey or revenue department to identify it in records and maps. Different states use names such as khasra, gata, hissa or survey number.

Example & agent tip

Example: A deed describes land as "Survey No. 45/2, Village Hinjewadi" in Maharashtra, while in Punjab the same job is done by the khasra number. That number links the deed to the village map.

Agent tip: Check that the survey number in the sale deed, revenue record and approved layout are the same.

Survey of India

Authorities

The national mapping agency under the Department of Science and Technology. It produces topographic maps and geospatial data, and is relevant to boundary and map disputes, and for approvals that need official maps.

Example & agent tip

Example: A developer buys a large tract near Chandigarh and uses official topographic maps to check river and drain lines.

Agent tip: Official maps help to verify natural features. They do not replace the revenue record or a licensed surveyor's demarcation.

SVAMITVA

Land Records

A central scheme that uses drones to map village inhabited areas and gives rural property owners legal ownership cards. It helps to settle abadi land disputes and enables loans.

Example & agent tip

Example: A village resident receives a property card under SVAMITVA for a house in the abadi area.

Agent tip: Know that rural abadi owners can now get formal records.

Related: Abadi Deh DILRMP Property Card

SWAMIH Fund

Authorities

A government-backed fund that finances stalled affordable and mid-income housing projects so they can be completed and delivered to buyers. It was announced in 2019 and extended in 2025 with a second fund.

Example & agent tip

Example: A stalled Ghaziabad project receives funds from the scheme to complete flats for waiting buyers.

Agent tip: A project in the scheme is not a guarantee of delivery. Check completion status on the RERA portal.

Symbolic Possession

General & Places

Also called: Constructive Possession

A legal step where possession is deemed to pass without actual occupation, such as by a notice, affixing a notice, or an order, often in loan recovery or court matters. The person may still need further steps to physically take over.

Example & agent tip

Example: A bank takes symbolic possession of a defaulted flat by posting a notice on the door.

Agent tip: When buying an auction property, ask whether physical possession is available or still to be obtained.