All you need to know about property allotment letter

 All you need to know about property allotment letter

An allotment letter is a legal document that serves as proof of ownership or possession of a property

       “ A property allotment letter is an official  document issued to the allottee of a property.  It is usually issued by the legal owner.  In case of a new project or redevelopment project, the developer/ builder of the property issues it.  It serves as proof of ownership.  The allotment letter includes relevant details such as the name of the allottee, address and details of the property, tenure of allotment, and other important terms and conditions, “.

Why is it important?

A property allotment letter helps to establish the ownership of the property and is a crucial document to have if dealing with any legal matters related to the property.

       “ It is also required to avail of certain services and facilities related to the property.  In most cases, it is not necessary to consult a lawyer to get a letter.  However, if the allottee has any doubts or apprehensions regarding the letter, they can seek the advice of a lawyer who is an expert in property law.  This document is also required when applying for a loan against the property,”.

What happens if you don’t have an allotment letter?

Vikram Choudary, a lawyer, shares insight on the consequences of not obtaining an allotment letter:

       You cannot claim to be the buyer of the said apartment;

       Your allotment  to your apartment will not be confirmed;

       The builder can treat the amount provided to him, as a deposit without any confirmation of the flat allotted;

        Developer will no longer need your permission or consent for any general changes and /or amendments to the layout plan or anything relevant where the buyer’s consent is required;

         The builder can sell the apartment to another person without your knowledge and consent.

How to get an allotment letter?

A promoter / developer is the one from whom the allotment letter should be asked.  He advises that one should do so at the time of booking itself or after the booking amount is paid.  As per RERA’s rules, it is compulsory to provide buyers with the allotment letter.

What is the process of acquiring an allotment letter?

Laying down a step-by-step guide on the process of getting an allotment letter,

1.       Pay the booking amount for the apartment you intend to book;

2.       Confirmation of the amount shall be received through a receipt mentioning the amount, your name, project details and apartment number;

3.       The developer is then supposed to initiate the paperwork for the allotment letter, and should give it to the buyer within a few days;

4.       If the developer fails to provide an allotment letter, buyers can serve them with a legal notice stating the violation of RERA law;

5.       If no allotment letter is provided,  a direct complaint can be made to RERA authorities as well.

-          Vikram Choudhary a Lawyer

-          Times Property