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GENERAL FAQs

FAQs (Frequently Asked Questions) is a general online property reference, as well as an answer guide to some of the common questions related to properties.

If the FAQs section does not have an answer to your question, feel free to contact us using our query section. We will revert to you with the appropriate answer at the earliest.

Click on the question below to view the related answers.

 
   
  1. What is FSI?
     

  2. What is TDR?
     

  3. What should one do in case there is unauthorized construction in the Society premises?
     

  4. What is a POA?
     

  5. Is a POA revocable?
     

  6. What is a Fixed Rate Home Loan?
     

  7. What is a Floating Interest Rate?
     

  8. What is a Home Extension Loan?
     

  9. What is Reducing Balance?
     

  10. While taking a loan, is it mandatory for co-owners to borrow in the same ratio in which they hold the ownership of the property?
     

  11. In case a person wants to borrow an amount greater than his borrowing capacity, can he have a co-applicant enhance his loan borrowing limit?

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1.

What is FSI?

 

Floor Space Index(FSI) means the quotient of the ratio of the combined gross floor area of all floors excepting areas specifically exempted under these Regulations to the total area of the plot.

   
 

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2.

What is TDR?

 

Rule 34 of the Development Control Regulations for Greater Bombay,1991 defines TDR which stands for Transferable Development Rights as under: ‘In certain circumstances, the development potential of a plot of land may be separated from the land itself and may be made available to the owner of the land in the form of Transferable Development Rights. These rights may be made available and be subject to the Regulations in Appendix VII hereto. Appendix VII lays down the rules for the grant of Transferable Development Rights to owners/developers and conditions for grant of such rights: 1. The owner (or lessee) of a plot of land which is reserved for a public purpose in the development plan and for additional amenities deemed to be reservations provided in accordance with these Regulations excepting under certain conditions shall be eligible for the award of TDR in the form of Floor Space Index(FSI) to the extent and on the following conditions set out below. Such award will entitle the owner of the land to FSI in the form of a Development Rights Certificate (DRC) which he may use himself or transfer to any other person. 2. Subject to Reg.1 where a plot of land is reserved for any purpose specified in S.22 of Maharashtra Regional and Town Planning Act,1966 the owner would be eligible for DR’s to the extent stipulated in Rules 5 & 6 in this Appendix after the said land is surrendered free of cost or after completion of development. 3.TDR’s will be available only for prospective development of reservations. 4.DRC’s will be issued by the Commissioner himself giving details of FSI credit. 5.The built up area for the purpose of FSI shall be equal to the gross area of the reserved plot to be surrendered. 6.When the owner or lessee also develops or constructs the amenity on the surrendered plot at his cost, he may be granted a further DR in the form of FSI equal to the area of the construction/ development done by him.

   
 

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3.

What should one do in case there is unauthorized construction in the Society premises?

 

If any unauthorised construction has taken place at any place one could approach the local authority i.e. the municipal corporation in the relevant case who would then take proper action in the matter.

   
 

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4.

What is a POA?

 

A power of attorney is a document of agency. It is a document whereby a person is empowered generally to do or execute one or more acts or things for and on behalf of the principal. A power of attorney can be general / special.

   
 

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5.

Is a POA revocable?

 

A power of attorney can be revocable or irrevocable. A Power of Attorney comes to an end on the death of the grantor unless it is granted for a consideration. Normally the stamp duty payable on Power of Attorney is Rs. 100/-.

   
 

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 6.

What is a Fixed Rate Home Loan?

 

A Fixed Rate Home Loan is a loan where the Interest Rate is fixed over the entire tenure of the Loan.

   
 

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7. 

What is a Floating Interest Rate?

 

In a Floating Interest Rate Loan the Interest payable is linked to the market rate. The Floating Interest Rates offered are slightly lower than the fixed interest rates.

   
 

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8. 

What is a Home Extension Loan?

 

A Home Extension Loan helps you to meet the expenses of alterations / modifications in your home. The requisite approvals from the Municipal Corporation are required for the same.

   
 

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 9.

What is Reducing Balance?

 

Reducing Balance is the method of reducing the principal amount already paid, from the outstanding loan amount. Every time you make a payment , you pay interest on that part of the original principal sum that has remained not repaid till that time.

   
 

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 10.

While taking a loan, is it mandatory for co-owners to borrow in the same ratio in which they hold the ownership of the property?

 

No, it is not necessary that the co-owners borrow individually in the same ratio as their share in the property. Even though two people may hold the property in equal proportion, they can go for a loan in the ratio of 75:25 or any other ratio for that matter.

   
 

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 11.

In case a person wants to borrow an amount greater than his borrowing capacity, can he have a co-applicant enhance his loan borrowing limit?

 

Yes, in case a person wants to borrow an amount greater than his borrowing capacity, he can have a co-applicant to enhance his loan borrowing limit.

   
 

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