The Noida Authority has approved the conversion of property ownership norms from leasehold to freehold, a long-standing demand for the residents. This is a welcome move from the authorities, likely to ease up the transaction of properties to a substantial extent in the city. Presently, Noida is among the leading places to buy best luxury apartments in India. However, the nod of the government of UP is necessary, before the new set of rules come into effect. Once the process is complete, the Noida Authority will become the leaser of every residential property in the city. As a result, people will be able to make the purchases and sales without obtaining the no-objection certificate from the government. This is likely to reduce the economic cycle and boost up the real estate segment in the city.
After Noida was established in 1976, as per the UP Industrial Act, all the rights of land in the city went to the Noida Authority. After acquiring the land from farmers, it allotted them under several categories, like commercial, residential and industrial, leasing them for 90 years.
Converting these lands to freehold involves a change in ownership title through mutation. This is applicable to all residential properties, included builder floors, plotted properties, and flats in housing societies. The real estate market in Noida is presently recovering from a sluggish growth. The move is likely to bring a greater amount of momentum to the industry. People willing to purchase property in the city can consult the top real estate agents in India and make the transactions.
When the leasehold system is in operation, the Noida Authority owns all the lands and properties and the property owner pays a rent. However, in the freehold system, the rights of ownership go to the property owner. This indicates, a person is free to make any type of dealings and transfers on the land, asper the local regulations. As a result, property transactions are likely to become easier and hassle-free. A lesser amount of paperwork will be involved in the process, as no consent has to be obtained from the State while buying or selling a property. Investors willing to buy residential or commercial property can get across to the best real estate agency in India and have a look at the upcoming projects in Noida.
The real estate experts have stated that when a property becomes freehold, it is no longer necessary to pay any transfer charges. Neither any permission is to be obtained from the state. The residents of Noida have welcomed the decision. It will make the transfer of property even within family members easier. Once the new norms come into play, the real estate industry in the state will get a boost.
