One Question away from owning your dream space?

Over the last 12 years we have sold more than 1500 apartments and villas in Hyderabad to practically every segment of our society. The interactions we have had with members of the Legend family have enriched us with tremendous knowledge and we have been incorporating these learnings into all our current and future projects. We have distilled the questions asked most frequently by property buyers and are now presenting them to you in a structured format so that you get a complete overview of your new property, much before you buy it.

Should you have any additional queries or seek clarifications on some of these responses please do get in touch with us at our Corporate Office. We will be happy to answer them and subsequently welcome you to the 5500+ growing Legend family.

Legend

  1. What is Legend?
  2. Who are the promoters of Legend?
  3. How many projects have been completed by Legend?
  4. Why should I choose Legend?
  5. What are Legend’s future plans?
  6. What is the Legend family?
  7. I am interested in a Legend Apartment. How do I go about booking one?
  8. Will the apartment be booked in my name after I've paid a booking fee of two lakh rupees?
  9. What is the allotment letter?
  10. When do I pay the balance 60%?
  11. What if I make a 100% down payment? What benefits do I get by doing so?
  12. Who is responsible for Payments?
  13. What are the other applicable charges on Legend properties?
  14. Are Legend projects approved by banks for loan purpose?
  15. When does Registration take place?
  16. What are the types of Agreements that need to be signed by the Purchaser?
  17. Who will take care of the maintenance of the apartment?
  18. What about Car Parking space?
  19. Can we have a look at any completed apartments complying with all the specifications, as mentioned?
  20. Are any customisations permitted in the apartments?
  21. When should I introduce my Interior Architect/Designer to the Site Engineer?
  22. When can I start my carpentry, wood work, false ceiling or POP work in my Apartment / Shop / Office?
  23. Is there anything I have to ensure before the formal housewarming function?
  24. Will you help me get a Bank loan?
  25. Whom should I contact for Home Loans?
  26. Who will take care of the maintenance of the Apartment / Shop / Office?

General

  1. What is meant by valuation of property?
  2. How does Property Valuation help?
  3. What is the meaning of a property's market value? How is its stamp duty decided?
  4. What does the term 'Leasehold Property' mean?
  5. What does the term 'Freehold Property' mean?
  6. Are there any benefits in converting a Leasehold Property to a Freehold one?
  7. Are there any income tax considerations while transferring a newly acquired property?
  8. What constitutes conclusion of sale of a property?

Residential

  1. What is the difference between carpet area, built-up and super built-up area?
  2. When there are apartments of different sizes in a complex, how is the maintenance charge calculated?
  3. Why do Co-operative Housing Societies collect a Sinking Fund?
  4. How is a lease agreement created?
  5. What are the charges to be paid while gifting property?

Corporate

  1. Can corporate bodies use residential properties as office space?
  2. Before purchasing property owned by a company, what aspects should be considered?

NRI

  1. Do NRI's require permission from RBI to acquire immovable property in India?
  2. Do NRI's require permission from RBI to transfer immovable property in India?
  3. Do PIOs require permission from RBI to purchase immovable property in India for their residential use?
  4. In what manner should the purchase consideration for the immovable property be paid by PIOs under the general permission?
  5. Can such property be sold without the permission of Reserve Bank?
  6. Can sale proceeds of such property if and when sold be remitted out of India?
  7. What other facilities are available for repatriation?
  8. Can PIOs acquire or dispose of immovable property by way of gift?
  9. Can NRIs/PIOs rent out the properties (residential/commercial), if not required for immediate use?
  10. Can NRIs obtain loans for acquisition of a house or flat for residential purpose from financial institutions providing housing finance?
  11. Can authorised dealers grant loans to NRIs for acquisition of a flat or house for residential purposes?
  12. Can authorised dealers grant housing loan to NRIs where he is a principal borrower with his resident close relative as a co-applicant or guarantor; or where the land is owned jointly by such NRI borrower with his resident close relative?
  13. What are the guidelines for acquisition of agricultural land / plantation property / farm house by NRIs and foreign citizens of Indian origin?

Legend

  1. What is Legend?
  2. Legend is one of the most experienced and well-known companies in the premium real estate marketplace.

  3. Who are the promoters of Legend?
  4. Legend has been promoted by Mr. B. Nageshwar Rao and B. Rajashekar Reddy, both qualified and experienced engineers.

  5. How many projects have been completed by Legend?
  6. As of 2011, Legend has completed more than 80 residential and commercial projects across the city of Hyderabad in just 12 years.

  7. Why should I choose Legend?
    • Established reputation
    • Excellent construction
    • Modern facilities and features
    • Litigation-free property
    • Timely delivery
    • Strong core values
    • Good customer care
  8. What are Legend’s future plans?
  9. Legend is presently building more than 2000 apartments and 500 villas in the city of Hyderabad. In addition, malls, multiplexes, hotels, etc. are also on the anvil.

  10. What is the Legend family?
  11. All the residents of Legend built property are stakeholders of the Legend family, which meets formally at least once a year.

  12. I am interested in a Legend Apartment. How do I go about booking one?
  13. Two simple steps are all it takes for you to own a Legend Property:

    Step 1: You can book an apartment of your choice by filling an application form, which can be downloaded from our website www.legendindia.co.in or procured from our offices & brochures. Speak to one of our Sales Representatives, who will guide you through the entire apartment acquisition process.

    Step 2: Pay a minimum booking amount of Rs.2,00,000/- (Rupees two lakhs only) towards the booking of any apartment. Please ensure that you specify your choice of apartment i.e., apartment size, apartment no., floor, etc. at the time of submitting the application form along with the payment by cheque, DD or cash. Pay a minimum booking amount of Rs.2,00,000/- (Rupees two lakhs only) towards the booking of any apartment. Please ensure that you specify your choice of apartment i.e., apartment size, apartment no., floor, etc. at the time of submitting the application form along with the payment by cheque, DD or cash.

  14. Will the apartment be booked in my name after I've paid a booking fee of two lakh rupees?
  15. Yes! You will receive a formal letter of allotment from us stating that the apartment has been reserved in your name.

    Thereafter, you will be required to pay 40% of the overall cost of the apartment within 15 days from the date of booking. In case you are availing of a Housing Loan (either directly or through us), you will have to pay 20% of the overall cost within 15 days and we will also collect another 20% of the overall cost from the bank within the 15 days limit. The balance 60% of the amount will have to be paid to us in 5 equal quarterly installments.

  16. What is the allotment letter?
  17. Our commitment.

    You will receive an allotment letter towards your selected apartment, once we have received 40% of the amount (as the case may be). This is a complete confirmation from our side. Thereafter, the documentation process like agreement and registration will follow.

  18. When do I pay the balance 60%?
  19. We offer payment flexibility.

    The balance 60% needs to be paid in 5 equal quarterly installments. Installments are to be paid by way of Post Dated Cheques which is a pre-condition for allotment. The first cheque will be sent for clearing on the 90th day from the date of the allotment letter and subsequently, every 3 months, a fresh cheque will be presented to the bank. (Applicable only for bookings made during the initial launch phase)

    Note: You need to issue 5 PDCs for the above installments. If the cheques are dishonoured for whatever reason, the booking automatically stands cancelled.

  20. What if I make a 100% down payment? What benefits do I get by doing so?
  21. You get a handsome discount.

    You can pay 97.5% of the apartment value against which you can avail a discount of 6.5% of the apartment price. The balance 2.5% will be payable on possession. It will be your responsibility to comply with the Housing Finance Institutions to ensure timely and correct disbursement to us. If the payment is not made within the specified date, it will be deemed that you are opting for the 'Installment Scheme' and you may lose the discount opportunity.

    Note: Discount facility can be availed by purchasers only when they book an apartment during the excavation phase of the site. Not after work on the building has commenced.

  22. Who is responsible for Payments?
  23. It will purely be the customer's responsibility to comply with the Housing Finance Institutions norms and ensure timely disbursement to us. If payment is not made within the committed dates, it will be deemed that the Customer is adopting the Installment scheme and the Discount Opportunity will not be available.

  24. What are the other applicable charges on Legend properties?
    • In addition to the Apartment / Shop / Office costs, you will have to pay Maintenance Deposit Fund amount, HMWSSB and APCPDCL charges, car parking charges, registration charges and service tax & VAT, if applicable. The approximate amounts for all these charges will be furnished on request.
    • At some Legend apartments, yearly maintenance charges of Rs.20,000 will be collected in advance. This amount has to be handed over to the builder before possession and in subsequent years it will need to be paid to the Residents Association in advance. Owners are responsible for the payment of all maintenance charges to the Association.

      You will also have to deposit a sum of Rs.30,000 (PDC) with us towards Extra Works and this sum will be adjusted / closed at the time of the handing over of the Apartment / Shop / Office. You will have to obtain the formal bill on all Extra Works from the concerned Engineer before this amount is adjusted / paid for

  25. Are Legend projects approved by banks for loan purpose?
  26. Yes. Our projects have high credibility. LIC HFL, HDFC and ICICI Bank are some of the banks to have approved our projects.

  27. When does Registration take place?
  28. We help you through the entire process of registering your apartment. Registration can be done when the apartment is in semi-finished condition and after receiving a semi-finished consideration of the apartment.

  29. What are the types of Agreements that need to be signed by the Purchaser?
    • Agreement of Sale
    • Sale Deed
    • Construction Agreement
  30. Who will take care of the maintenance of the apartment?
  31. In some Legend apartments, the maintenance of the apartment complex will be assigned to a professional Facilities Management Company. An amount of Rs.2 lakhs will be collected from each apartment buyer as Building Corpus Fund and the interest earned on this Fund will be utilized for payments to the Facilities Management Company. Thus there will be no monthly maintenance charges.

  32. What about Car Parking space?
  33. One Car Parking space can be provided for every Apartment / Shop / Office on payment at a cost. Parking will only be allotted on priority basis and on receipt of full payment. Additional car parking space will be allotted on first-come-first-serve basis at an additional cost and is subject to availability.

  34. Can we have a look at any completed apartments complying with all the specifications, as mentioned?
  35. Yes, you can visit our Model Apartment constructed at the site or in the building adjacent to our office. The specifications in this apartment will be exactly as mentioned and the same specifications are applicable for all the apartments, in the given building.

  36. Are any customisations permitted in the apartments?
  37. The specifications and designs have been carefully worked out after considerable research. Keeping in view the completion time, modifications are not permitted.

  38. When should I introduce my Interior Architect/Designer to the Site Engineer?
  39. In case you employ the services of an Interior Architect/Designer, then please ensure the following:

    The Architect should be formally introduced to the Site Engineer.

    The Architect's contact details including mobile number should be provided to the Site Engineer.

    A copy of the Contract or Agreement between you and the Architect should also be given to the Site Engineer.

    The Architect will be permitted to make his recommendations only after the Slab Work is over and before commencement of Brickwork. Changes / suggestions / additions after this period will not be entertained.

    The Site Engineer will give a one month notice to the Architect before the commencement of Brick Work.

  40. When can I start my carpentry, wood work, false ceiling or POP work in my Apartment / Shop / Office?
  41. Carpentry, wood work, false ceiling or POP work in your Apartment / Shop / Office can only begin after full payment of the space and on obtaining a formal NOC (No Objection Certificate) from us.

  42. Is there anything I have to ensure before the formal housewarming function?
  43. Kindly note that all the pending dues have to be fully paid before you plan and organize the formal Housewarming or Grihapravesham function. You will also have to formally inform us about the proposed Grihapravesham function at least 15 days in advance. The complete settlement of account is a pre-requisite for organizing the function.

  44. Will you help me get a Bank loan?
  45. Yes. We can assist you. We have a dedicated Customer Service team that can aid you in procuring a bank loan.

  46. Whom should I contact for Home Loans?
  47. As we have got a good track record with LICHF, we suggest you give preference to LICHFL. You can get in touch with our executive, Mr. Satish on 9989501166 or 9298111166 for queries or formalities regarding Home Loans.

  48. Who will take care of the maintenance of the Apartment / Shop / Office?
  49. After the completion of the building, the builder will maintain the Apartment / Shop / Office for a span of 6 months. The first date of the 6 months will be the date from when the first purchaser occupies an Apartment / Shop / Office. Only after 6 months a Residents Association is formed. The expenses incurred during this 6 months period will be charged through the Maintenance Deposit and the balance amount from the Maintenance Deposit will be formally handed over to the regular Association.

    In case you have any more queries please visit or call our office and speak to our Customer Service Executives.

General

  1. What is meant by valuation of property?
  2. The valuation process evaluates the market value of the property. Demand and supply forces operating in the market, as well as other factors like type of property, quality of construction, its location, the local infrastructure available, maintenance, etc. are all taken into consideration before the market value is decided.

  3. How does Property Valuation help?
  4. Typically, if a real estate agent is asked to judge the value of a piece of property, he would do so based on information of recent sales or purchases of similar properties in that area.

    Though this may give a fair idea of the property's market value, an official property valuation would carry more weight. E.g. if you need to use this piece of property as a security against a loan, the bank's loan approval process would be faster and smoother if the property is certified by an official valuer. Many banks now insist on valuation certificates before issuing loans using properties as security. The value thus certified may also have chances of getting a higher amount of loan sanctioned.

    Another benefit of official valuation is that it is a useful negotiating tool when selling the property.

    Such certification also becomes essential in situations where the correct value of the property has a legal bearing - such as, a will statement, insurance papers, business balance sheets, etc.

  5. What is the meaning of a property's market value? How is its stamp duty decided?
  6. The price that a property can command in the open market is known as its market value. Stamp duty is based on the market value or the agreement value of the property, whichever is greater.

  7. What does the term 'Leasehold Property' mean?
  8. When a piece of property is given or 'leased' to an individual (known as the 'Lessee') for a stipulated period of time, by the owner of the property (known as the 'Lessor'), the property is referred to as Leasehold Property. A certain amount is fixed by the Lessor to be paid as lease premium and annual lease. The land ownership rights remain with the Lessor. Transfer of property requires prior permission.

  9. What does the term 'Freehold Property' mean?
  10. When ownership rights for a piece of property are given to the purchaser for a price, that property is referred to as Freehold Property. Unlike in the case of leasehold property, no annual lease charges need to be paid and the freehold property can be registered and / or transferred in part(s).

  11. Are there any benefits in converting a Leasehold Property to a Freehold one?
  12. There are several benefits: If you convert the property to a Freehold Property, you become a full-fledged owner by getting the sale deed and having it registered. A Freehold Property has better marketability and can be sold, mortgaged or kept for standing security, which cannot be done with Leasehold Property.

  13. Are there any income tax considerations while transferring a newly acquired property?
  14. If the transfer takes place within 3 years of purchase, the income tax exemption under Section 54F of the Income Tax Act does not hold good.

  15. What constitutes conclusion of sale of a property?
  16. An agreement of sale, coupled with actual possession of the property would be considered as a conclusion of the sale. Usually, the entire amount is paid at the time of handing over possession.

Residential

  1. What is the difference between carpet area, built-up and super built-up area?
  2. The area of an apartment or building, not inclusive of the area of the walls is known as carpet area. This is the area that is actually used and in which a carpet can be laid. When the area of the walls including the balcony is calculated along with the carpet area, it is known as built-up area. The built-up area along with the area under common spaces like lobby, lifts, stairs, garden and swimming pool is called super built-up area.

  3. When there are apartments of different sizes in a complex, how is the maintenance charge calculated?
  4. Legally, the actual area owned by the individual is the basis for calculation of maintenance charge.

  5. Why do Co-operative Housing Societies collect a Sinking Fund?
  6. Co-operative Housing Societies have a statutory obligation to collect a Sinking Fund. This is done so that in case the building needs to be repaired or reconstructed in the future, the society has sufficient funds to carry out the work. The amount to be contributed is decided by the General Body of the society; it should be at least ¼ percent per annum of the cost of each apartment, excluding the cost of the land. This fund may be used after a resolution is passed at the General Body meeting with the prior permission of the Registering Authority. This could be to carry out reconstruction, repairs, structural additions or alterations to the building as the architect thinks is required and certifies.

  7. How is a lease agreement created?
  8. A lease agreement can be reached in either of two ways, depending upon each case:

    • In cases where the lease contract is from year-to-year, exceeding one year's rent or reserving yearly rent, then a registered instrument can be created, which both the Lessor and the Lessee must execute.
    • In cases other than the above, an oral agreement followed by delivery of possession is considered enough.
  9. What are the charges to be paid while gifting property?
  10. When a gift of property is made, a gift deed needs to be made by a lawyer. Stamp duty on the market value of the property also needs to be paid, as well as the necessary registration charges.

Corporate

  1. Can corporate bodies use residential properties as office space?
  2. It is illegal to put residential properties to commercial use. However service-based industries are allowed to operate from residential areas, on the condition that they will vacate the property if any complaint is received from other residential owners.

  3. Before purchasing property owned by a company, what aspects should be considered?
  4. Before purchasing property from a company, it is necessary to verify with the Registrar of Companies that the property is not mortgaged or is not being used as a security against a loan, otherwise it is not considered a Freehold Property.

NRI

  1. Do NRI's require permission from RBI to acquire immovable property in India?
  2. No. NRI's do not require any permission to acquire any immovable property in India other than agricultural, plantation property or a farm house.

  3. Do NRI's require permission from RBI to transfer immovable property in India?
  4. No. NRI's do not require any permission to transfer any immovable property in India. Permission is required only in the case of transferring of agricultural or plantation property or farm house to another citizen of India, NRI or PIO.

  5. Do PIOs require permission from RBI to purchase immovable property in India for their residential use?
  6. Reserve Bank has granted general permission to foreign citizens of Indian origin, whether resident in India or abroad, to purchase immovable property other than agricultural land, farm house and plantation property in India. They are, therefore, not required to obtain separate permission from RBI or file any declaration.

  7. In what manner should the purchase consideration for the immovable property be paid by PIOs under the general permission?
  8. The purchase consideration should be met either out of inward remittances in foreign exchange through normal banking channels or out of funds from any non-resident accounts maintained with banks in India.

  9. Can such property be sold without the permission of Reserve Bank?
  10. Yes. Reserve Bank has granted general permission for sale of such property. However, where another foreign citizen of Indian origin purchases the property, funds towards the purchase consideration should either be remitted to India or paid out of balances in non-resident accounts maintained with banks in India.

  11. Can sale proceeds of such property if and when sold be remitted out of India?
  12. In the event of sale of immovable property other than agricultural land, farm house and plantation property in India by a NRI or PIO, the authorised dealer may allow repatriation of the sale proceeds outside India, provided all the following conditions are satisfied:

    • The immovable property was acquired by the seller in accordance with the provisions of the Exchange Control Rules/Regulations/Law in force at the time of acquisition, or the provisions of the Regulations framed under the Foreign Exchange Management Act, 1999;
    • The amount to be repatriated does not exceed (a) the amount paid for acquisition of the immovable property in foreign exchange received through normal banking channels or out of funds held in foreign currency non-resident account or (b) the foreign currency equivalent, as on the date of payment, of the amount paid where such payment was made from the funds held in non-resident external account for acquisition of the property; and
    • In case of residential property, the repatriation of sale proceeds is restricted to not more than two such properties.
  13. What other facilities are available for repatriation?
  14. Authorised dealers can allow remittances up to USD 1 million for any purpose, per calendar year from balances in NRO accounts, subject to payment of applicable taxes. The limit of USD 1 million per year includes sale proceeds of immovable properties acquired by the NRI/PIOs while they were resident in India and held the property for a period of 10 years and above. In case the property is sold after being held for less than 10 years, remittance can be made if the sale proceeds were held for the balance period in NRO account or in any other eligible instruments.

  15. Can PIOs acquire or dispose of immovable property by way of gift?
  16. Yes. Reserve Bank has granted general permission to foreign citizens of Indian origin to acquire or dispose of immovable properties other than agricultural land, farm house or plantation property by way of gift from or to an Indian citizen, NRI or PIO.

  17. Can NRIs/PIOs rent out the properties (residential/commercial), if not required for immediate use?
  18. Yes. Reserve Bank has granted general permission for letting out any immovable property in India. The rental income or proceeds of any investment of such income is eligible for repatriation.

  19. Can NRIs obtain loans for acquisition of a house or flat for residential purpose from financial institutions providing housing finance?
  20. Reserve Bank has granted general permission to certain financial institutions providing housing finance e.g. HDFC, LIC Housing Finance Ltd., etc., to grant housing loans to NRIs for acquisition of a house or flat for self-occupation, subject to certain conditions. The purpose of loan margin money and the quantum of loan will be at par with those applicable to housing loans to residents. Repayment of loan should be made within a period not exceeding 15 years out of inward remittances or out of funds held in the investor's NRE/ FCNR/ NRO accounts.

  21. Can authorised dealers grant loans to NRIs for acquisition of a flat or house for residential purposes?
  22. Authorised dealers have been granted permission to grant loans to NRI's for acquisition of a house or flat for self-occupation on their return to India, subject to certain conditions. Repayment of the loan should be made within a period not exceeding 15 years out of inward remittance through banking channels or out of funds held in the investors' NRE/ FCNR/ NRO accounts.

  23. Can authorised dealers grant housing loan to NRIs where he is a principal borrower with his resident close relative as a co-applicant or guarantor; or where the land is owned jointly by such NRI borrower with his resident close relative?
  24. Yes. Such housing loans availed in rupees can also be repaid by the close relatives in India of the borrower.

  25. What are the guidelines for acquisition of agricultural land / plantation property / farm house by NRIs and foreign citizens of Indian origin?
  26. All requests for acquisition of agricultural land / plantation property / farm house by any person resident outside India may be made to The Chief General Manager, Reserve Bank of India, Central Office, Exchange Control Department, Foreign Investment Division (III), Mumbai 400 001.

    For further information, please visit the FAQ Section of http://www.rbi.org.in