Since 2012, BDA (Bangalore Development Authority) has been aggressively offering the plots for sale through e-auction. These are residential sites in well developed localities of Bangalore. Bidding is a hassle-free way to own a property in Bangalore.
It is a naked truth that in most of the property deals in India there is always a difference between the Registered value and agreed/market value.
So, this is a great news for those who want to fund the property deal through a home loan. Especially salaried individuals who want to avoid any sort of black money in real estate transactions.
Advantages of buying a BDA Plot/site through auction:
- The bidding process is completely online (it is like stock market trading)
- The process is transparent. You can view the bid prices quoted by the other bidders on the screen
- Most of the properties offered are corner plots
- BDA layouts are comparatively well developed with good infrastructure
- BDA Layouts have drinking water supply facility
- You can easily fund the property deal through home loan
- You are the first owner of the property
- No issue of black money. The entire property deal amount should be paid through Demand Drafts (DDs) or money transfers.
- No Agent or mediator involved in the process. The entire decision making process is in your hands
- Anyone in India (citizen of India) can invest in these properties
- Different plot measurements are available ( from 400 square feet to 4000 sq ft and above)
- You may win the auction at less than the current prevailing market price
- Auction notification has location and site map details. Hence it is easy to locate the property
Difference between BDA Allotment and Auction:
BDA has so far formed about 62 layouts in Bangalore. Bangalore BDA maintains a seniority list of applicants who has applied for sites in BDA layouts. After forming a layout, BDA generally allots the plots based on certain criteria and lottery system. The e-auction process is different to this. Any citizen of India can apply for auction. There is no lottery system. The highest price bidder of a particular plot will win the auction.
Terms & Conditions:
- Applicant should be a Citizen of India
- NRIs & Partnership firms also can participate in the auction
- Applicant has to pay Rs 4 Lakh per site as Earnest Money Deposit (Deposit amount is refundable )
- Successful bidder has to remit 25% of auction amount in 3 days
Key points on E-auction process (how to create login id and participate in e-auction):
- Visit this link ( BDA’s e-auction website)
- Click on User icon
- Click on “New user : Register”
- Fill your personal and bank details
- Pay Auction Fees & Earnest Money Deposit of Rs4 Lakh (per site) online or through DD.
- If you do not win the auction then Rs 4 Lakh will be refunded to your bank account
- The successful bidder has to remit 25% of auction amount to BDA in 72 hours
- Generally BDA will give you around 45 to 60 days to remit the remaining 75% amount
- There will be Delta time of 5 minutes on the final day. The auction can go on till the time there is no new bid quoted before the end of the delta time (as shown below).
From Bidding till Registration- The entire process – Important Stages:
The entire process from bidding to Registration will get over in 2 to 4 months. The below process flow gives you clear idea about this.
BDA’s Latest e-Auction Notification 2016
Since 4 years BDA has been consistently issuing the e-auction notifications every quarter. I have participated in the e-auction in 2012. I have been keenly tracking all the auctions. Some bidders have won at the base price itself and some have won at crazy prices.
(The next step after property registration is “Khatha Registration”. Read my article on “How to get Khata Registration done?“)
Are you planning to buy a property in Bangalore? Do you want more information on e-auction process? Then, kindly leave your comments below and I will be more than happy to reply to your comments. Cheers!
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