Due diligence checklist-

Financial health of the company-

1. Share price
2. Swot analysis
3. Market ratios
4. Balance sheet
5. Profit & Loss Statement
6. Debt equity Ratio
7. Solvency ratio
8. Annual report
9. Income statement
10. CIBIL ratings of the director of the company

These informations are necessary to know the financial health of the company. These
informations are easily available on the websites like www.moneycontrol.com, if the company is
listed. In case if the company is not listed, then it can be availed from the annual report of the
company

Property papers and clear title-

1. Khata certificate (local municipal body)

2. Receipt of property tax (municipal authority)
3. Encumbrance certificate (sub registrar’s office where the property is registered)
4. Statement from bank if loan is outstanding
5. Non- objection certificate ( procured from sewage board, pollution board, environment
department, traffic and coordination department, etc.)
6. Sanctioned building plan by the statutory authority.
7. Occupancy certificate ( municipal corporation)
8. Sale deed (sub registrar office)
9. Title deed ( registrar office where the land is situated)
10. Mutation certificate (sub registrar office)
11. Registration certificate

Amenities in the project and things around it-

RERA related compliances-

1. Uploading of approval/plan/agreement on website of RERA authority.

2. Quarterly updating State RERA Authority about the prescribed details of the project.
3. Separate bank account for 70% of receipts.
4. Compliance with prescribed process of booking and allotment-
a. Ensure that the transaction is done through RERA registered agent
b. Making approved plan available to the buyer
c. Non acceptance of advance more than 10 % of unit cost
5. Taking necessary approvals and insurance prescribed by the state laws
6. Formation of allottee’s association
7. Timely completion and delivery including common areas withing time and giving possession
within 3 months.
 8. Review of building quality. any defect found shall be rectified within 30 days of the
intimation without any additional cost.
9. Prior registration of real state project under section 3 of RERA act
10. Details of the promoter should be uploaded on the state RERA website which include
developer or group profile, track record of the promoter, details of litigations going against
him, details of the registered project, location, development plan,

Cases against the developer/builder-

1. Case details submitted to the regulatory authority (RERA) (web portal of RERA)
2. Cases filed in district courts, high courts or supreme courts (web portal of the respective
courts)

Although it has been made mandatory for the builder/developer to submit the details of the
ongoing or decided cases against the former to be uploaded or submitted to the RERA authority.
The buyers or investor can look into it through RERA website of respective state.