What Are the Most Common Property Frauds in India? 10 Scams Buyers Should Know

For applicable real-estate projects, buyers should independently verify RERA registration rather than relying on advertisements or statements from a developer. The RERA Act provides for prior registration of applicable real-estate projects and requires specified information and approvals as part of registration.

Check:

• RERA registration number
• Promoter details
• Project status
• Approved plans
• Disclosures and timelines

Recent reporting also highlights warnings to homebuyers about builders withholding RERA details, demanding unaccounted payments or failing to provide legally registered documents.

Key takeaway: Verify RERA information through the relevant State RERA authority.

8. Illegal Construction or Unapproved Layouts

A property can involve unauthorized construction, unapproved layouts or development that does not match sanctioned plans. Such issues can create regulatory, financial and resale problems.

Compare:

• Approved plans
• Actual construction
• Layout permissions
• Applicable municipal approvals

Key takeaway: Legal ownership does not automatically mean every construction or development activity is approved.

9. Hidden Litigation and Property Disputes

A property may be affected by court proceedings, inheritance disputes or competing claims that aren't obvious during a normal site visit. Buyers should investigate relevant records and obtain professional legal advice when risks appear.