There are many guidelines one needs to follow while purchasing a house. To safeguard the interest of both the buyers and developers/buyers a tripartite agreement is established. Now, we all know that while purchasing a property most of us need to acquire home loans. While acquiring a home loan you may have come across the term Tripartite agreement and wondered what is a Tripartite Agreement meaning. Let me explain the term so that you can have a better idea about this one.
The agreement signed between the three parties i.e the bank, developer and the buyer to come to the same term for matters related to property dealings is called a tripartite agreement. This agreement is crucial because it has all the information related to the mortgage for the home or apartment, the rights and liabilities of the buyers, bank, and seller, the details of the property such as the carpet area, loans, financial aspects of property, date of owning the property, other details and penalty clause.
Tripartite agreements are introduced so that we can apply for home loans for the property we want to purchase. Since the buyer's name is not included in the property until its possession, therefore, the name of the builder is included in the agreement along with the bank in the tripartite agreement.
Some of the information required in Tripartite agreement:The Parties to the Agreement
The Objective of the Agreement
Guidelines that needs to be followed by both the parties
The borrower’s point of view
The Developer’s point of view
Bank/Lender’s point of view
Property’s selling price
Date you have possessed the property
All the details regarding construction work
Details of Interest Rate
Information related to EMI
Common amenities that can be used by everyone
The penalty amount you need to pay if the booking is cancelled
The Tripartite Agreement safeguard the interest of the buyers by stating that the developer will not sign an agreement with another buyer to sell the property . Therefore a tripartite agreement has a declaration from the developer announcing that the property has a clear title.
I hope you have cleared all the doubts after reading my answer on Tripartite Agreement meaning.
Read more:
What Is Sale Agreement?
What Is Sale Deed Registration?
Your Feedback Matters! How was this Answer?
Fast & Reliable Online Khata Transfer
✔
Dedicated Senior Advocates✔
Lowest Price✔
Fastest Process
Khata Package
Know More
Khata Transfer
Transfer Now
E-Aasthi Conversion
Transfer Now
What is tripartite agreement?
Arnab Sen
286 Views
1
3 Year
2021-12-13T19:09:52+00:00 2021-12-13T19:12:01+00:00Comment
Share