Before You Book a Plot β A Checklist for Land Projects
A booking amount is small compared with the full price, which is exactly why it gets paid too quickly. Once money moves, your leverage drops. This checklist covers what to confirm about the land, the developer, the approvals, the payment terms and the paperwork before you hand over a booking cheque for a plot in a farmland, farmhouse or plotted land project.
Land projects are marketed with brochures, renders and a booking form. None of those are legal documents about the land itself. Your protection comes from what you check first and what the booking paperwork says. This guide is a pre-booking sequence: establish what is actually being sold, confirm the title and the land-use position, read the developer and approval paperwork, test the money terms, and only then sign. It builds on the deeper checks in the 12-step land due diligence checklist and how to evaluate a land developer, and it does not replace advice from a lawyer who has seen the papers.
Step 1: Establish What Is Actually Being Sold
Start by writing down, in plain words, what the developer is selling. The answer decides which laws and checks apply.
- Undivided share or demarcated plot? Some projects sell a defined plot with a number on a layout plan. Others sell a share in a larger parcel, with the buyer's physical location settled later. A share without a demarcated location is harder to resell and to defend in a dispute.
- Agricultural or converted land? Farmland sold as farmland is governed by the state's agricultural land rules, and whether a given buyer may purchase it depends on the state. Residential or commercial plots need the land to have gone through change of land use. See change of land use in India and whether a non-farmer can buy agricultural land.
- Who owns the land today? The developer may be the registered owner, a collaborator under an agreement, or a holder of a power of attorney. Each changes the risk. See the risks of GPA-based land sales.
- What are you allowed to build? A plot is not automatically a licence to construct. Farmhouse limits, setbacks and permitted coverage are set by state and local rules; see farmhouse rules in India.
Ask for the project's khasra or survey numbers, the total land area, and the number of plots, and compare the plot sizes on offer against the total. If the arithmetic does not work, ask why before anything else.
Step 2: Check Title and Land Records Yourself
The developer's own documents are a starting point, not the finish line. Pull independent records for every khasra in the project from the state land-records portal, and have a lawyer read the chain of title.
- Ownership record. The current jamabandi, khatauni or equivalent should show the seller or developer as the holder, in the right share, with the right land classification.
- Chain of title. Registered deeds linking each past owner to the current one, with no breaks, unexplained gift deeds or power-of-attorney transfers. See how to verify land title.
- Mutation. Confirm the last transfer has been mutated in the revenue records. See the mutation guide.
- Encumbrances. Look for mortgages, charges and agreements to sell registered against the land. See the encumbrance certificate guide.
- Litigation. Search for pending cases involving the land or the sellers. See how to check land for litigation.
Where several owners sold into a project, confirm that every co-owner signed. A missing signature is a classic source of later claims. If the land came through inheritance, ask how heirs were identified and whether the mutation after death was completed.
Step 3: Read the Developer and Approval Paperwork
Request copies, not summaries, of the documents that describe the project, and compare them with what the sales team says.
- Legal entity. The company, LLP or firm name, registration details and the names of the authorised signatory. Search the Ministry of Corporate Affairs portal for company status and charges.
- Project approvals. Any layout or zoning approval, licence, or permission from the relevant development authority or town planning department, and whether it matches the actual plot sizes and roads. Where the land is under a draft or notified plan, read the zoning; see land use zones explained.
- RERA position. Ask whether the project is registered with the state RERA and request the registration number, then check it on the state RERA website. Many farmland projects argue they fall outside RERA; see RERA and the farmland exemption before accepting that claim.
- Track record. Visit completed projects, speak to existing buyers, and check whether promised roads, boundary walls and utilities were delivered.
- Legal proceedings. Ask directly about pending cases against the developer or the project land, and search the court portals yourself.
If a developer will not share approval documents before you pay, treat that as information. Legitimate projects have these papers and can show them.
Step 4: Test the Money Terms
Understand every rupee you are asked to pay, to whom, and what you get in return.
- Booking amount. Ask for the amount in writing, the account it goes to (a company or project account, not an individual), and a receipt that names the plot, area and rate. Pay by traceable banking channels only.
- Advance cap. For projects registered under RERA, Section 13 of the Real Estate (Regulation and Development) Act, 2016 bars a promoter from accepting more than 10 per cent of the cost as an advance without first entering a registered written agreement for sale. If you are asked for far more on a booking form in a covered project, ask why.
- Payment schedule. Link instalments to measurable milestones such as registration, demarcation and handover, not to calendar dates alone.
- Refund and cancellation. Read how the booking amount is treated if the title check fails, if approvals do not arrive, or if you cancel. Forfeiture clauses vary widely.
- Extra charges. Clarify whether the quoted price includes development charges, preferred location charges, maintenance deposits, club or membership fees, and external development charges, and whether GST or other taxes apply.
- Government costs. Stamp duty and registration are separate and state-specific. See stamp duty and registration charges by state.
- Escrow. RERA-registered projects must deposit 70 per cent of collections in a designated account under Section 4(2)(l)(D) for construction and land cost. Ask whether the project has one and where it is held.
A booking receipt is not a title
A booking receipt proves you paid money. It does not make you the owner, and it does not by itself bind the land. Treat the booking as a reversible step only if the written terms say it is, and do not treat it as a reason to skip title checks.
Step 5: Read the Agreement and Walk the Plot
Ask for the draft agreement for sale before paying the booking amount, or at minimum the standard terms. Read it with a lawyer for these points.
- Plot number, boundaries, area and the unit of measure used, with the same description as the layout plan. See land measurement units if bigha, kanal or biswa is involved.
- The date by which the sale deed will be registered in your name, and the penalty for delay by either side.
- A clear statement of what the developer will complete before registration, such as internal roads, fencing, water and power access.
- Who bears the cost of conversion or other approvals, and what happens if they are refused.
- Representations and warranties on title, and an undertaking that the land is free of encumbrances.
- Your right to inspect the original documents before registration.
The agreement is not the sale deed. Ownership of immovable property passes through a registered sale deed. Read the sale deed guide so you know what the final registered document must contain.
Then visit. Carry the survey map and the layout plan, locate the plot's corners on the ground, and confirm road access, drainage direction and neighbours. If the markers are missing, ask for a formal demarcation; see land demarcation (nishandehi, ΰ€¨ΰ€Ώΰ€Άΰ€Ύΰ€¨ΰ€¦ΰ₯ΰ€Ήΰ₯). Photograph everything with date stamps and keep a copy of the site visit note with your booking papers.
Frequently Asked Questions
How much can I be asked to pay as a booking amount?
Is a plot in a farmland project covered by RERA?
Can I get my booking amount back if my lawyer finds a title problem?
Should I pay in cash for a booking?
Do I still need a lawyer if the developer shows me all the papers?
Sources
- Real Estate (Regulation and Development) Act, 2016: Section 3 (registration of real estate projects and exemptions), Section 4(2)(l)(D) (70 per cent of amounts realised to be kept in a separate account), Section 13 (no deposit or advance above 10 per cent without a written agreement for sale) (indiacode.nic.in). The thresholds and percentages were cross-checked against secondary summaries, not the gazette text.
- Transfer of Property Act, 1882, Section 54 and the Registration Act, 1908, Section 17, on sale of immovable property by registered instrument (indiacode.nic.in).
- State RERA websites for project registration lookup, and the Ministry of Corporate Affairs portal (mca.gov.in) for company master data.
- State land-records portals for jamabandi, khatauni and equivalent records; see Farmland India's guides on checking land records online and encumbrance certificates.
- Farmland India guides: Land Due Diligence Checklist and How to Evaluate a Land Developer.
Government portal names, URLs, notifications, rates and thresholds change over time without notice. Confirm the current position with the relevant authority before relying on it for a transaction. This article is informational and is not legal, tax or financial advice. Farmland India operates as a digital marketplace and does not act as a real estate broker, agent, or financial advisor. Report inaccuracies to wiki@farmlandindia.com.
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