Buying a home is probably the biggest financial decision you’ll make. A glossy brochure and a well-furnished sample flat can make any project look perfect, but the paperwork decides whether your investment is safe. Three terms matter most: RERA, Khata and OC. Here is what each one means and what to check before you pay a booking amount.
1. RERA: Is the Project Legally Registered?
The Real Estate (Regulation and Development) Act, 2016 requires most residential projects to be registered with the state’s Real Estate Regulatory Authority. In Karnataka, this is K-RERA.
Why it matters: A RERA-registered project must disclose its approvals, layout, timelines and builder details publicly. It also has to deposit a portion of buyer funds in a dedicated account to be used for that project’s construction. You get a legal route to complain if the builder delays possession or defaults.
What to verify:
- RERA registration number. Check it on the official K-RERA website rather than relying on the number in the brochure or ad.
- Registration validity. Confirm the project’s declared completion date and whether an extension has been taken.
- Carpet area. RERA requires sale on carpet area, not “super built-up” area. Make sure your agreement says so.
- Builder’s track record. Look at the promoter’s past projects and any complaints or orders against them on the portal.
- Approved plans and sanctioned floors. Compare these with what the sales team is promising.
Red flag: A builder who says “RERA is in process” and asks for a booking amount. Registration should come before advertising and bookings.
2. Khata: Proof of Property Records with the Local Authority
In Bengaluru, a Khata is the record maintained by the local civic body (earlier BBMP, now under the Greater Bengaluru Authority structure) that lists the property for tax purposes. It is essential for property tax, utility connections, bank loans and resale.
A-Khata vs B-Khata:
- A-Khata is for properties that comply with legal and approval requirements. It is generally what you want, and banks prefer it.
- B-Khata is for properties with irregularities, such as unauthorised layouts or deviations. These properties can be harder to finance, and getting a loan or reselling can be difficult.
Karnataka has been moving toward digital e-Khata records, so check what is currently valid for your property.
What to verify:
- Whether the land or project has the correct Khata type and who it is registered under.
- Whether the land use is converted for residential use (conversion order).
- The Encumbrance Certificate (EC) for at least the last 13 to 30 years, to confirm there are no loans, mortgages or disputes against the land.
- The title chain, meaning the sequence of ownership documents, and whether the builder has clear development rights, such as a registered Joint Development Agreement if the land belongs to someone else.
- Whether Khata will be transferred to your name after purchase, and who bears the cost.
3. OC: Is the Building Legally Fit to Live In?
The Occupancy Certificate (OC) is issued by the local authority after construction is complete. It confirms that the building was built according to the sanctioned plan and meets safety and building norms.
Related certificate: The Completion Certificate (CC) confirms construction is finished as per plan. In many cases, the OC is issued after CC and inspections.
Why it matters:
- Without an OC, you may not get permanent water and electricity connections.
- Banks may refuse to lend on a property without one.
- Buildings without an OC risk penalties or action from the authority.
- Resale becomes difficult.
What to verify:
- Under-construction project: Ask for the Commencement Certificate (CC) and sanctioned plan, and check whether the builder has a clear timeline for obtaining the OC.
- Ready-to-move-in project: Insist on seeing the OC before booking or registering. A “completion letter” from the builder isn’t a substitute.
- Whether the OC matches the actual building, including the number of floors and the area.
- That fire NOC, lift licence, and other safety approvals are in place.
Quick Pre-Booking Checklist
| Item | What to Confirm |
|---|---|
| K-RERA registration | Valid number, checked on the official portal |
| Sanctioned plan | Matches the builder’s promises |
| Land title and EC | Clear ownership, no encumbrances |
| Land conversion | Approved for residential use |
| Khata | A-Khata status and transfer process |
| Commencement/OC | Valid CC for ongoing projects, OC for completed ones |
| Agreement | Carpet area, possession date, penalty clauses |
| Loan eligibility | Project approved by your bank |
Common Mistakes Buyers Make
- Paying a “token” before checking documents. Verify first, pay later.
- Trusting verbal assurances. If it isn’t in the written agreement, it doesn’t count.
- Ignoring the fine print on possession dates and delay penalties.
- Skipping a legal opinion. An independent property lawyer’s review costs little compared to the property’s value.
- Assuming a bank loan approval means the project is clean. Banks check their own risk, not all of yours.
Final Word
RERA tells you the project is registered, Khata tells you the property is correctly recorded, and OC tells you the building is legally fit to occupy. A project that checks all three boxes, backed by a clean title, gives you the confidence to book. Taking a few days to verify can save you years of stress.
Diligent Enterprises believe informed buyers make better decisions. If you’d like help verifying documents or understanding a project’s legal standing before you book, get in touch with our team.
Disclaimer: This article is for general information only and isn’t legal advice. Rules and procedures change, so confirm current requirements with the relevant authority or a qualified property lawyer.
