What is a Certificate of Occupancy and why is it important?

Certificate of Occupancy

Certificate of Occupancy or Occupancy Certificate (OC) is an important document as it is issued by a local government agency or planning body upon completing a building project. This Occupancy Certificate (OC) is required, especially when one is applying for electricity, water, and sanitation connections. This certificate is proof that the building project has been built adhering to all building codes, relevant building regulations, and laws. For homeowners, therefore, an occupancy certificate is important to prove that the building has been built adhering to all the relevant rules and regulations – thus solidifying the legal status of the property.

An overview of the importance of the occupancy certificate

  • An occupancy certificate is needed because without it a property is considered illegal and can be razed to the ground at any time and without intimidation. Therefore, to establish the legal status of any property – an occupancy certificate (OC) is needed.
  • An occupancy Certificate establishes the legal status of any property – and it is needed when the occupants are willing to apply for electricity, water, and sanitation connections from the municipality, corporation, and other local bodies. Occupancy Certificates are therefore a much-needed document. Since, without an occupancy document- the electricity, sanitation, and water lines and connections can be terminated at any time.

The documents that one requires to apply for an occupancy certificate are as follows:

  1. Project commencement and completion certificate
  2. NOCs for fire and pollution
  3. Copy of the building’s sanction plans and the latest property tax receipt
  4. Photos of the building, solar panels, and rainwater harvesting

The developer or the property owner can apply for the Occupancy Certificate in the local municipality after having the plan sanctioned by the prospective authorities.

Therefore, if the Occupancy Certificate (OC) of any property is not available then it is then not advisable for the real estate buyer to buy or invest in that property. The property will then be termed illegal and can be razed to the ground without any intimidation and the basic connections of electricity, water, and sanitation can also be terminated without any notice.

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