Takers for DDA flats despite 5-year rule

Delhi/NCR
Despite DDA’s best efforts to keep speculators out of their latest housing scheme, successful applicants are receiving offers for their flats based on a General-Power-of-Attorney (GPA) transfer of rights. Some allottees who say they are unhappy with the size or location of their flats are now planning to dispose them of.

Based on location and size of the flat, allottees are getting offers from Rs 5 lakh to Rs 40 lakh to transfer legal rights to the property dealers. DDA had introduced a clause in its latest housing scheme preventing successful applicants from selling their flats for five years, by denying them ownership rights for that period.

Ganesh Murthy (name changed) is disappointed with the state of his flat in Dwarka’s Sector 29 and is now considering offers that have already come from a few property dealers. “I didn’t know how small the flat 340 square feet LIG flat was going to be but, as soon as I saw it, I knew moving here was out of the question. Three property dealers have approached me which I’m now considering,” Murthy said.

A property dealer has approached him with an offer for Rs 6 lakh. “I was told that the person who got the flat opposite mine wants to buy my flat and have two flats, which would be more convenient for him. So if I get a good price I’m ready to sign the GPA.”

Property dealers say the 2,300 EWS flats in Dwarka, despite their small size, are attracting premiums of Rs 8 lakh to Rs 15 lakh. Similar prices are being offered for LIG flats in Rohini’s sectors 34 and 35. Best deals are in store for flats in the best locations, like Mukherjee Nagar. “For a two-bedroom flat in Mukherjee Nagar, which was offered for Rs 70 lakh in this scheme, a seller could easily fetch Rs 30-40 lakh if he transfers his legal rights to the allottee and sells it at the end of five years,” a property dealer added.

Officials from DDA advise people against making such deals. “DDA will hand over possession only to the original allottees after the five-year period. If any transaction takes place during the intervening time that will be illegal,” Neemo Dhar, spokesperson, DDA, said.

Source:http://content.magicbricks.com/industry-news/delhi-ncr-real-estate-news/takers-for-dda-flats-despite-5-year-rule/79515.html