“Buying a Home? First Understand Rights and Liabilities of Homebuyers and Builders”


“उद्योगिनं पुरुषसिंहं उपैति लक्ष्मीः

दैवं हि दैवमिति कापुरुषा वदंति।

दैवं निहत्य कुरु पौरुषं आत्मशक्त्या

यत्ने कृते यदि सिध्यति कोऽत्र दोषः।“

“Any work is accomplished by hard work, not just by thinking. In the same way, As the deer does not enter the mouth of the sleeping lion.”

Builder Buyer Dispute

Similarly, buying a home for yourself is a significant milestone. At the same time, it is absolutely crucial to be aware of the rights, responsibilities and liabilities of both homebuyers as well as builders have. It is of utmost importance to have a clear understanding of these rights, obligations and liabilities that helps in ensuring a smooth and fair home-buying experience. Through this blog, we at Lexway Chambers practicing in Real Estate Laws will explore and explain the rights, obligations and liabilities of both parties, i.e. the Buyer and the Builder to help in navigating the Property purchasing process with confidence.

Rights of Homebuyers

Right to Information

Homebuyer has the right to obtain/ ask for
accurate and transparent information about the property, including its layout, construction quality, approvals, and legal documents.

Right to Timely Possession

Homebuyers has the right to seek timely possession of the property as per the agreed-upon terms. In the event of delay in handing over of possession, the buyer is entitled to compensation as per the agreed-upon terms or under RERA guidelines.

Right to Legal Title

Buyers have the right to expect a property with a clear and marketable title.

Right to Quality Construction

Homebuyers have the right to receive a property with the agreed-upon quality of construction, adhering to the specifications and standards promised by the builder.

Right to Cancellation and Refund

In case of any legal non-compliance or breach of contract by the builder, buyers have the right to cancel the agreement and claim a refund of the amount paid along with interest and compensation.

Rights of Builders

Right to Receive Payment

Builders have the right to receive timely payments from homebuyers as per the agreed-upon payment schedule mentioned in the contract.

Right to Compensation for Changes

Many a times it is seen that homebuyers requests Builders for certain addition or changes. The said changes may not be part of the original Agreement. In such cases, the builder has the right to receive compensation from the homebuyer.

Liability for Timely Delivery

Builders are liable to deliver the property to the buyer within the agreed-upon timeframe. Upon failure to do so, Builder may have to pay penalties and compensation to the homebuyer.

Liability for Construction Defects

Builders are liable for any structural defects or quality issues found in the property during the agreed warranty period. They are obligated to rectify these issues at no additional cost to the homebuyer.

Liability for Legal Compliance

Builders are responsible for ensuring that the property is legally compliant, with all necessary approvals and clear titles.


In our suggestion, before initiating the process of buying a home, keep in mind the following things:

-rights, obligations and liabilities of homebuyers ;

-rights, obligations and liabilities of builders.

All the aforesaid requirements are crucial for a successful and fair real estate transaction. Our team at Lexway Chambers, provide our clients with best legal solutions and advise in the whole Real Estate transaction to homebuyers as well as to builders.

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