The Commencement Certificate, issued by the concerned authority permitting the builder to commence the property construction, subject to meeting all set criteria, is known as commencement certificate. Generally, the certificate is issued by local authorities and it’s mandatory to possess the certificate of commencement to begin the construction of the property.
The builder/developer who has obtained plan sanction of the said property can apply for the certificate of commencement.
The builder/developer needs to submit the application for the Commencement Certificate with the below list of documents:
Local authorities issue the Commencement Certificate by considering the below criteria:
The planning and procedure for issuing the commencement certificate can vary between local authorities; however, the general procedure is:
As a home buyer, it’s essential to check all documents related to the property before you choose the ideal house/flat. Here are a few important aspects of the Commencement Certificate.
1. Can you choose the project in the absence of the Commencement Certificate?
No. If the Commencement Certificate is not available, it suggests that the property could be illegal, or the property is under dispute.
2. What if I have purchased a property without the Commencement Certificate?
The property owner is responsible, and the property can be considered illegal. The local authorities can penalise the owner with fines as the per the law.
3. What’s the difference between a Commencement Certificate and an Occupation Certificate?
While the Commencement Certificate is issued to start the project construction as per the plan sanction, an Occupation Certificate is issued to enable the owner of the property to enjoy amenities offered by the local municipal body like roads, sanitation, water, electricity, and water.
4. What’s the difference between Encumbrance Certificate and Commencement Certificate?
The Commencement Certificate is issued authorising the builder/developer the begin the process of construction under the RERA Act, while an Encumbrance Certificate reveals if there are any liabilities associated with the project such as any existing loans.
5. What’s the difference between Completion Certificate and Commencement Certificate?
Local authorities issue the Commencement Certificate authorising the developer/builder to start the construction of the project, while the Completion Certificate, also a legal document, confirms the particular property is complete and the structure does not violate any rules and regulations set by the government.
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