Property talk is full of short words that hide big money. Agents, builders and owners use them every day, and if you do not know what they mean, it is hard to ask the right questions. This guide explains each term in simple language, grouped by what you are trying to do.
Area and size: what are you really paying for?
Two flats can both be called “1,200 sq ft” and still feel very different. These terms explain why.
Carpet area
The floor space inside your flat where you can actually lay a carpet, walls excluded. It is the most honest measure of usable space.
Built-up area
Carpet area plus the thickness of your walls, balconies and sometimes the terrace attached to your flat.
Super built-up area
Built-up area plus your share of common spaces such as the lobby, stairs, lifts and clubhouse. Most advertised sizes use this, so the usable space is smaller than it sounds.
Loading
The gap between carpet area and super built-up area, shown as a percentage. A higher loading means you pay for more shared space and less room inside.
UDS (Undivided Share)
Your share of the land under the whole apartment building. It is part of what you own when you buy a flat, so check it in the papers.
Common areas
Spaces everyone in the community uses: gate, parking driveways, garden, gym, pool, clubhouse. Their upkeep is paid from monthly maintenance.
Ownership and papers: the documents that protect you
This is where most costly mistakes happen. Know these before you pay anything big.
Sale deed
The legal document that moves ownership from the seller to you. Only after it is registered are you the owner on paper.
Agreement to sell
A written promise to sell, signed before the sale deed. It lists the price, payment schedule and handover date. It is not the final transfer of ownership.
Registration
Recording the sale deed at the sub-registrar’s office. A deal that is not registered gives you very weak protection.
Stamp duty
A government tax paid on the property value when you register. Rates and rules change, so check the current figure with the registration department or a lawyer before budgeting.
Khata
The record held by the city’s local body that lists the property and who pays its tax. You normally need it to get utilities, pay property tax and often to get a bank loan.
A khata and B khata
In Bengaluru, an A khata property is generally on approved land with approved plans, while a B khata property has gaps in approval. B khata can make loans, resale and transfer harder, so ask which one the property has and why.
Encumbrance certificate (EC)
A record showing whether the property has any registered loans or legal claims against it over a period. A clean EC is a basic check before buying.
Occupancy certificate (OC)
Issued when a building is completed as per approved plans and is fit to live in. Buying in a building without an OC can cause trouble with loans, water and electricity.
Commencement certificate (CC)
Permission to start building as per the approved plan. It shows the construction began legally.
Title
Your legal right to own the property. A “clear title” means the seller really owns it and no one else has a claim.
Power of attorney (PoA / GPA)
A paper that lets one person act for another. Be careful when a seller shows only a power of attorney instead of an ownership deed, and take legal advice.
Mutation
Changing the name in government records after a sale or inheritance, so the records show you as the owner.
RERA
The Real Estate Regulatory Authority law that requires most new projects to be registered and publish their plans and timelines. In Karnataka, check the project’s registration number on the official RERA website before booking.
Buying and paying: money words
The price on the ad is rarely the full cost. These are the other parts.
Token advance
A small amount paid to hold a property while papers are checked. Ask for a written receipt that says what happens to it if either side backs out.
Down payment
The part of the price you pay from your own pocket. The bank lends the rest as a home loan.
EMI
Equated Monthly Instalment: the fixed amount you repay the bank each month for your loan.
Home loan interest rate
The yearly cost of borrowing. It can be fixed or floating, and a small difference adds up to a large amount over many years.
Loan-to-value (LTV)
The share of the property value the bank is willing to lend. A lower LTV means a bigger down payment from you.
Pre-EMI
For under-construction homes, you may pay only interest on the amount released so far until the building is handed over.
Possession
The date you get the keys and the right to move in. Ask for it in writing, along with what happens if the builder is late.
Brokerage
The fee paid to an agent for finding or closing a deal. Agree on the amount and who pays before the work starts.
Sinking fund and corpus fund
One-time or regular payments collected by the society for big future repairs. Buyers are often asked to pay a corpus fund at handover.
Renting: what tenants and owners should agree on
Most rental disputes come from things that were never written down.
Security deposit
Money the tenant gives the owner at the start and gets back when leaving, after any agreed deductions. In Bangalore, the amount varies a lot, so settle it and the refund timeline in the agreement.
Rental agreement
The written contract for the stay. It should state rent, deposit, duration, notice period, maintenance and rules. Many are made for 11 months, but the terms are what count.
Lock-in period
A stretch during which neither side can end the agreement without a penalty.
Notice period
How much warning (often one or two months) either side must give before ending the stay.
Rent escalation
The agreed yearly increase in rent. Write the percentage in the agreement to avoid arguments later.
Maintenance charges
Monthly fees to the society for upkeep of common areas, security and services. Agree whether the tenant or the owner pays them.
Furnishing: unfurnished, semi-furnished, fully furnished
Unfurnished usually means bare rooms with fittings. Semi-furnished often adds wardrobes, lights and a kitchen setup. Fully furnished adds beds, sofas and appliances. Always list the items in the agreement.
Move-in checklist
A list of what is in the flat and its condition on day one, ideally with photos. It protects both sides when the deposit is settled.
Property types and stages
The same word can mean different things, so confirm what is being sold.
Apartment
A flat in a multi-storey building or gated community, with shared facilities.
Builder floor
A single floor of a low-rise building (usually a few floors) owned by one family, with few or no shared amenities.
Independent house or villa
A standalone home on its own plot. Villas in a community may share a gate, roads and clubhouse.
Plot
Land without a building. Check that it is in an approved layout and that the land use allows homes.
Under-construction
Still being built. It is usually cheaper, but you wait, and delays are a real risk, so check the RERA registration and the builder’s record.
Ready-to-move
Finished with an occupancy certificate and available now. You can see exactly what you are getting.
Resale
A home bought from its current owner rather than from the builder.
Gated community
A set of homes behind a controlled gate with shared security and amenities.
Facing
Which direction the main entrance or balcony faces. Many buyers care about it, so it can affect price.
Five questions to ask every time
- What is the carpet area, and how much is the loading?
- Is it A khata, and are the sale deed, EC and occupancy certificate in order?
- Is the project registered under RERA (for new homes)?
- What is the full cost: price, stamp duty, registration, corpus fund, brokerage and maintenance?
- Is every promise written down: dates, deposit refund, what is included?
Also read our guide to spotting a fake property listing before you pay a token amount.
Frequently asked questions
What is the difference between carpet area and super built-up area?
Carpet area is the usable floor space inside your flat. Super built-up area adds the walls and your share of common areas such as lobbies and lifts. Always compare homes by carpet area, or ask for both numbers.
Which documents should I check before buying a flat in Bangalore?
At minimum: the sale deed or agreement to sell, the khata, the encumbrance certificate, the occupancy and commencement certificates, and the RERA registration for new projects. Ask a lawyer to review them before you pay a large amount.
What is the difference between A khata and B khata?
Broadly, A khata means the property is on approved land with approved plans, and B khata means there are gaps in approval. B khata can make loans, resale and transfers more difficult, so ask which one it is.
Is a token advance refundable?
It depends on what both sides write down. Ask for a receipt that says what the amount is for and when it is returned or kept.
What should a rental agreement include?
Rent, deposit, start date and duration, notice period, lock-in period, yearly rent increase, who pays maintenance, a list of items in the flat, and the rules for returning the deposit.
Is this article legal advice?
No. It is general information. Rules, rates and forms change, so confirm current details with the official office or a qualified professional before you decide.
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Browse homesWritten in October 2026. Rules, rates and forms can change. This article is general information, not legal, tax or financial advice. Please confirm details with the official office or a qualified professional.