Navigating Property Deal Cancellations: A Buyer's Guide by Ujjawal

In the realm of real estate investments, the journey from property hunting to acquisition is not always smooth. Unexpected cancellations can leave buyers in a quandary. Ujjawal, a prominent finance influencer and digital creator, sheds light on the rights of buyers in the event of a property deal cancellation, offering valuable insights into what happens to your money.

Buyer's Rights in Property Deal Cancellations

Cancellation by the Buyer:

Buyers may cancel the agreement due to unforeseen circumstances such as job loss, migration, or loan cancellation. However, the seller has the right to forfeit the token amount, as it merely indicates the buyer's interest in the property and does not create any legal rights.

Seller's Right to Forfeit Token Amount:

Upon cancellation by the buyer, the seller is entitled to retain the token amount. This is because the booking amount does not grant the buyer any legal claim to the property.

Agreement Compliance:

If an agreement has been signed, both parties must adhere to its terms. The buyer may lose the right to a refund if the agreement stipulates so.

Cancellation Due to Builder's Failure:

If the builder fails to deliver possession of the property within the stipulated time, the buyer has the right to cancel the agreement and recover the amount paid for stamp duty.

Cancellation by the Builder:

Builders may cancel the deal if the buyer defaults on payments. They must follow legal procedures, which typically involve sending at least three legal notices. Failure to make payments even after these notices can lead to the deal being nullified in favour of the builder.

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Navigating property deal cancellations can be challenging, but understanding your rights as a buyer is crucial. Ujjawal's insights provide a clear understanding of what to expect and how to proceed if you find yourself in such a situation. Being informed can help you make better decisions and protect your financial interests in the volatile world of real estate.