Biggest Mistakes to Avoid While Buying a Plot

Buying a plot is often considered a safe and flexible real estate investment, especially for buyers who want long-term appreciation or future construction freedom. However, unlike ready homes, land purchases involve deeper legal, regulatory, and planning checks that are easy to overlook. Many buyers rush decisions based on price, location hype, or sales promises without fully understanding the implications.

Mistakes such as not checking legal documents, skipping 7/12 verification, ignoring RERA compliance, or trusting unverified development claims can lead to serious problems later. These issues may not surface immediately but can create obstacles during construction, resale, or even ownership transfer. This guide explains the biggest mistakes buyers make while purchasing a plot and how you can avoid them with proper due diligence.

1. Not Verifying Legal Documents Properly

One of the most critical mistakes buyers make is purchasing a plot without thoroughly verifying legal documents. Ownership clarity, title continuity, and freedom from disputes are essential to ensure that the land can be legally transferred and used. Many buyers assume that if a seller has documents, they must be valid, which is a dangerous assumption.

Skipping legal verification often results in complications during registration, loan processing, or resale. A proper legal check ensures that the seller has the full right to sell the land and that there are no hidden claims from third parties.

• Not verifying ownership history and past sale deeds
• Skipping legal opinion to save time or cost
• Ignoring encumbrances or pending claims

Before making any payment, buyers should review all land records carefully with a legal expert. You can refer to this detailed guide on how to verify legal documents before buying a plot to understand the exact checks required.

2. Ignoring the 7/12 Extract and Revenue Records

The 7/12 extract is the backbone of land ownership verification in Maharashtra. It provides information about the land owner, survey number, land classification, cultivation details, and legal remarks. Many buyers either fail to check this document or do not understand its importance.

Even a minor mismatch in survey number or owner name can create future legal disputes. Reading and matching the 7/12 extract with sale documents is a non-negotiable step in plot buying.

• Not matching the owner’s name with the sale deed
• Ignoring loan, dispute, or court remarks
• Not verifying land classification (NA or agricultural)

Every buyer should know how to read this document correctly before finalising a deal. Learn more in this guide on how to read 7/12 extract before buying land.

3. Not Checking RERA Registration for Plotted Projects

Many buyers wrongly believe that RERA applies only to apartments and buildings. In reality, RERA is also applicable to plotted development projects where NA plots are sold along with infrastructure such as internal roads, drainage systems, water supply, or common amenities.

Buying a plot in a project that requires RERA registration but does not have it is a serious legal risk. Such projects cannot legally advertise, sell, or collect money from buyers.

• Buying NA plots without RERA registration
• Trusting advertisements without a RERA number
• Not verifying project details on the MahaRERA portal

Buyers must clearly understand RERA applicability before investing. Read this article to know whether RERA approval is mandatory for plots.

4. Not Checking Reviews and Developer Track Record

Another major mistake buyers make is ignoring the credibility and past performance of the developer. A developer’s track record speaks volumes about delivery timelines, legal transparency, and post-sales support.

Marketing brochures can be misleading, but customer feedback reveals real experiences. Checking reviews across multiple platforms helps buyers avoid unreliable developers.

• Ignoring Google reviews and ratings
• Not checking website testimonials
• Skipping Facebook reviews and YouTube comments

Always research past projects and buyer experiences before committing to any plot purchase.

5. Trusting Development Claims Without Checking DP Plan

Sales teams often promote future infrastructure such as ring roads, metro connectivity, or highways to attract buyers. However, not all development claims are backed by approved Development Plans (DP).

Buyers who do not verify DP plans risk purchasing land that may never benefit from the promised infrastructure. Official planning authority documents should always be checked.

• Believing verbal claims about future roads or metro lines
• Not verifying DP reservations and zoning
• Ignoring road width and alignment approvals

6. Not Exploring the Location for Daily Livability

Many buyers focus only on investment potential and forget that long-term value depends on livability. A plot located far from daily essentials may struggle to attract end users or future buyers.

Understanding the surrounding ecosystem helps buyers assess whether the location is practical for residential use.

• Distance from schools, hospitals, and markets
• Availability of public transport
• Actual commute time to work hubs

7. Overlooking Hidden Costs Before Finalisation

Plot prices are often advertised attractively, but buyers later discover additional costs that significantly increase the total investment. These hidden costs should be clarified upfront.

Failing to account for these charges can disturb financial planning and create disputes later.

• Maintenance and upkeep charges
• Clubhouse or amenity fees
• Development and corpus charges

8. Not Checking Bank-Approved Projects (APF)

Bank-approved projects undergo detailed legal and technical due diligence. Buyers who ignore whether a project has APF may face difficulties while applying for loans.

Bank approvals also indicate that land titles and approvals are relatively stronger.

• No clarity on which banks have approved the project
• Loan rejection due to missing approvals

9. Ignoring Infrastructure Readiness

Infrastructure determines how soon a plot can be used and how well it appreciates. Buyers often rely on future promises instead of checking current development status.

Always differentiate between approved infrastructure and proposed infrastructure.

• Water supply source and availability
• Electricity connection readiness
• Drainage and stormwater management

10. Not Understanding FSI and Construction Limits

FSI defines how much construction is legally allowed on a plot. Many buyers assume they can build freely without understanding local FSI rules.

Ignoring FSI regulations can lead to rejected building plans or demolition notices later.

• Assuming unlimited construction rights
• Not checking zoning-based FSI rules

To understand this better, read this guide on how to calculate FSI.

FAQs

Is it safe to buy a plot without NA approval?

No. Without NA approval, residential construction is not legally permitted and future conversion is uncertain.

Is RERA mandatory for plotted developments?

Yes, if the project provides infrastructure and exceeds specified limits, RERA registration is mandatory.

Why is the 7/12 extract important?

It verifies ownership, land type, and legal remarks related to the land.

Should I buy only bank-approved projects?

Bank-approved projects are generally safer as they undergo legal and technical scrutiny.

Conclusion

Buying a plot is not just about acquiring land; it is about securing legal certainty, construction freedom, and long-term value. Most plot-related problems arise because buyers skip verification steps or rely blindly on sales communication.

By carefully checking documents, approvals, infrastructure, planning regulations, and developer credibility, buyers can avoid costly mistakes and make a confident, future-ready investment decision.