OC, UDS and Car Parking: The Three Apartment Checks Most Buyers Skip

When Hyderabad families buy a flat, they check the view, the floor plan, the clubhouse and the price per square foot. Three documents that decide whether the flat is lawful to live in, what you actually own, and where you park your car usually get a glance at best. The occupancy certificate in Hyderabad, issued by GHMC, HMDA or the local municipality, is the authority's confirmation that the building was built as sanctioned and is fit to occupy. The undivided share of land, or UDS, is your slice of the land under the building, the only part of a flat that does not depreciate. And the car parking allotment decides whether the slot you paid for is legally yours. This guide explains each of the three, how they work under Telangana's rules, how to verify them, what the numbers look like in real Hyderabad projects, and the mistakes we see buyers make, along with maintenance deposits and the corpus fund that come with them.

We are property advisors, not lawyers. Building rules, municipal procedures and tax rates change, so read this as the position as of October 2026 and verify current rules with the authority and your advocate before relying on any figure.

Who this guide is for

This guide is for buyers of new flats at or near possession, buyers of resale flats in older gated communities, and NRIs buying a ready flat they may not see until the keys are handed over. If you are still at the booking stage of an under-construction project, start with our TS RERA buyer's guide and come back here before the sale deed.

Why these three checks get skipped

They are skipped for understandable reasons. The OC arrives late in the process, often after you have paid 95% of the price, when there is pressure to register and move in. UDS is a number in the schedule of a long sale deed, expressed in square yards while everything else is in square feet. Parking is usually described in a single line of the agreement, and the slot is often allotted only at handover. Each is easy to verify at the right time and very hard to fix afterwards. A flat without an OC can face utility, loan and resale trouble; a flat with a thin or undefined UDS loses value in any future redevelopment or acquisition; and a parking dispute in a 500-flat community can run for years in the association and the courts.

Occupancy certificate in Hyderabad: what it is and how it works

An occupancy certificate, usually called the OC, is issued by the sanctioning authority after a building is completed. In Hyderabad that is GHMC within its limits, HMDA in its area outside the corporation, and the municipalities and municipal corporations around the city within theirs. Building permission and occupancy are governed by the Telangana building rules and, for many applications, the TG-bPASS single-window system. Our guide to building permission under TG-bPASS, GHMC and HMDA covers the permission side.

How a builder obtains an OC

1. Completion notice. On finishing construction, the builder files a completion notice with the authority, supported by certificates from the licensed architect and structural engineer confirming that the building was built according to the sanctioned plan and is structurally safe.
2. Clearances. Depending on the building, these include a fire safety certificate for high-rise buildings (18 metres and above in Telangana), lift safety certificates, environmental clearance conditions for large projects, and evidence of sewage treatment and rainwater harvesting where required.
3. Inspection. The authority's officials inspect the building against the sanctioned plan: floors, setbacks, parking areas, open spaces and deviations.
4. Issue. If the building complies, or deviations are within permissible limits and compounded, the OC is issued. Large phased projects often receive OCs block by block.

Telangana's rules also require a builder to mortgage a portion of the built-up area, commonly 10%, to the sanctioning authority when building permission is granted; that mortgage is released when the OC is issued. It gives the builder a strong incentive to obtain the OC, and if a project has been occupied for years with the mortgage still in place, that tells you something.

OC versus completion certificate

Buyers from other cities often ask for a "completion certificate" as a separate document. In Hyderabad practice, the document that matters is the occupancy certificate issued by the authority; the architect's and engineer's completion certificates are inputs to it. A builder who offers an "architect's completion certificate" in place of an OC is offering you something that the authority has not approved.

What happens without an OC

• Occupation is not authorised. The building has not been accepted as compliant, and the authority can act against deviations.
• Utilities. Permanent water and sewerage connections and regular electricity connections are generally linked to the OC; buildings without one often run on temporary or construction connections.
• Loans and resale. Banks are cautious about lending on flats in buildings without an OC, which shrinks your resale market.
• Property tax. Municipal assessments on unauthorised or deviated construction can carry penalties.
• RERA timelines. The builder's obligations to execute the conveyance and hand over to the association are tied to completion; without an OC, these stall.

How to verify an OC

Ask for a copy of the OC and the building permission it refers to. Check that the permit number, the number of floors and the number of units match the sanctioned plan and the RERA registration. In a phased project, check that the OC covers your block. Note any conditions or compounded deviations. If the OC is for fewer floors than were built, the extra floors are unauthorised, whatever the brochure said.

Undivided share of land: what you actually own

When you buy a flat, you buy two things: the flat itself, and an undivided share in the land on which the building stands, together with rights in the common areas. "Undivided" means you cannot point to a patch of ground and say it is yours; you own a fraction of the whole plot in common with the other owners. In Hyderabad sale deeds, UDS is stated in square yards in the schedule of property.

How UDS is calculated

UDS is normally distributed in proportion to each flat's super built-up area. If a project sits on 10,000 sq yd and the total super built-up area of all flats is 4,00,000 sq ft, a 2,000 sq ft flat should carry 10,000 × 2,000 ÷ 4,00,000 = 50 sq yd. The total UDS across all flats should equal the land area of the project or phase. If it does not, ask where the rest has gone.

Why UDS is small in Hyderabad's towers

Hyderabad's building rules regulate high-rise buildings mainly through setbacks, height and other controls rather than a tight floor area ratio cap of the kind used in many cities. That is why 40- and 50-storey towers have risen in Kokapet, Nanakramguda and the Financial District. The flip side is that land is shared among many more flats. In a large high-rise project, a 1,800 sq ft flat may carry UDS of 15 to 25 sq yd. In a G+5 building of the 2000s, the same flat might carry 40 to 60 sq yd.

Why UDS matters

• Long-term value. The building depreciates; the land does not. In 30 or 40 years, a flat's value is increasingly its land share.
• Redevelopment. When an older building is redeveloped, owners' entitlements are negotiated largely on their land share.
• Acquisition and compensation. If land is acquired for a road or metro, compensation for the land component follows the UDS.
• Future phases. Some agreements reserve the builder's right to build more on the same land. If the UDS is undefined or the deed allows the builder to "utilise remaining FSI or TDR", your share can be diluted.

UDS-plus-construction agreements and UDS schemes

Some projects split the purchase into a sale deed for the UDS and a separate construction agreement for the flat. That structure leaves you holding a land share and a contractual promise rather than a completed flat, and it has stamp duty and tax implications that need legal advice. At the extreme, "UDS schemes" or "pre-launch" offers sell undivided shares before plans are approved or the project is RERA registered. The Telangana RERA authority has acted against such sales. If you are offered one, our advice is simple: do not pay until there is an approved plan and a RERA number.

Car parking: what the law says and what Hyderabad builders do

The legal framework

Under RERA, "common areas" include open parking areas, while a "garage" is defined as a covered space with a roof and walls on three sides; open, unenclosed parking is excluded from that definition. Before RERA, the Supreme Court held in a well-known 2010 case that stilt parking forms part of the common areas and cannot be sold by the builder as a separate unit. In practice, Hyderabad projects allot covered parking slots in cellars or stilts to individual flats, and the allotment is recorded in the agreement and sale deed. How a specific allotment holds up depends on the documents and the building's approvals, so take advice where it matters.

Building rules also require a minimum parking area proportional to built-up area, and that space cannot be converted into flats, shops or storage. GHMC and HMDA have issued notices where parking areas were enclosed or misused, and an OC may be refused or conditioned if parking does not match the plan.

Hyderabad practice

• One covered slot is typically included with a 2 BHK or 3 BHK; larger flats often get two.
• Additional slots are commonly offered at an extra charge, often ₹3 lakh to ₹6 lakh per slot in premium western-corridor projects, indicative as of October 2026.
• Slots should be numbered, shown on a cellar plan attached to the deed, and of usable size; a common working standard is about 2.5 m × 5 m.
• Electric vehicle charging is a growing issue. Ask whether the cellar has wiring provision for chargers at individual slots, and what the association's policy is.

Maintenance, corpus and the owners' association

At handover, Hyderabad builders typically collect:

• Maintenance advance. Usually 12 to 24 months in advance, at around ₹3 to ₹6 per sq ft per month in large gated communities, indicative as of October 2026.
• Corpus fund. A one-time contribution, often ₹40 to ₹100 per sq ft, intended for major repairs and replacements such as lifts, generators and painting.
• Utility deposits. Electricity and water connection costs, which some builders pass on separately.

The corpus belongs to the owners. It should be handed over to the registered association with accounts. GST at 18% generally applies to maintenance where an owner's monthly contribution exceeds ₹7,500 and the association's annual turnover exceeds ₹20 lakh; check the current rules with your association's accountant. RERA requires the promoter to enable formation of the association, and the association registers under the applicable Telangana law. Ask how much of the corpus is still with the builder, and when it will be transferred.

Step by step: the three checks before you register

Check	Document	Where to get it	When	Indicative cost
OC exists and covers your block	Occupancy certificate with permit number	Builder; confirm with GHMC, HMDA or municipality records	Before final payment and sale deed	Nil; advocate review ₹10,000 – ₹25,000
Built matches sanctioned	Sanctioned plan, OC conditions	Builder, RERA portal uploads	Before final payment	Site check by engineer ₹5,000 – ₹15,000
UDS stated and consistent	Sale deed schedule; UDS statement for the project	Draft deed from builder	Draft deed stage	Part of legal review
No future-development clause	Agreement and deed clauses on FSI, TDR, phases	Agreement for sale, draft deed	Before signing agreement; recheck at deed	Part of legal review
Parking slot identified	Slot number and cellar plan annexed	Builder allotment letter, deed schedule	Draft deed stage	Additional slot ₹3 L – ₹6 L if purchased
Corpus and maintenance terms	Demand letter, maintenance agreement	Builder or facility manager	Final demand	Corpus ₹40 – ₹100 per sq ft; advance 12–24 months
Registration	Sale deed at jurisdictional SRO	SRO slot via IGRS	After checks	About 7.5% of market value, verify; 1% TDS if over ₹50 lakh

Market values used for registration can be checked through the Telangana registration portal.

Worked example: two ₹1.9 Cr flats, one in Kondapur, one in the Financial District

A client in 2026 was choosing between two 3 BHK flats at about the same price.

Flat A: resale in a 2011 G+5 gated community in Kondapur

• 1,750 sq ft super built-up at about ₹10,800 per sq ft: ₹1.89 Cr.
• OC issued in 2011 for the full building; matches the six floors built.
• UDS in the deed: 52 sq yd.
• One covered stilt slot, numbered in the original deed.
• Corpus with the association: healthy, accounts available. Maintenance about ₹3 per sq ft per month.

Flat B: new flat in a 36-floor tower near the Financial District

• 1,650 sq ft super built-up at about ₹11,500 per sq ft: ₹1.9 Cr, plus ₹4 lakh for a second slot.
• OC received for the tower in mid-2026.
• UDS in the draft deed: 17 sq yd.
• Two cellar slots, numbered on an annexed plan.
• Corpus ₹75 per sq ft (about ₹1.24 lakh) and 24 months' maintenance at ₹5 per sq ft (about ₹1.98 lakh) collected at handover.

Reading the numbers

If land in each micro-market is worth, say, ₹1.8 lakh per sq yd for illustration, Flat A's land share is worth about ₹94 lakh, half its price. Flat B's is worth about ₹31 lakh, roughly a sixth. Flat B offers a newer building, better amenities, a lift-served tower and stronger rental demand from Financial District tenants. Flat A offers more land per rupee and a redevelopment story in 20 years, but an older building with higher repair needs ahead.

Neither is wrong. The client, an end user with young children and a 15-year horizon, chose Flat B for the amenities and the commute, with a clear view of what the UDS meant. The point is that UDS turned an apples-to-apples price comparison into an informed choice. For local pricing, see our guides to apartments in Kondapur and apartments in the Financial District.

Older resale buildings: when the paperwork is thin

Many flats in Ameerpet, Kukatpally, Dilsukhnagar and the older parts of Madhapur sit in buildings put up in the 1990s and early 2000s, when enforcement was lighter. These are some of the city's most liquid homes, and plenty of them are perfectly sound, but their paperwork often has gaps that a new-project buyer never sees.

• No OC at all. Some older buildings were occupied without one. Ask whether the building got a permission, whether any extra floor was added, and whether it was ever regularised. A building with permission for four floors and five built is common. The fifth-floor flat carries the most risk.
• UDS missing from early deeds. Older sale deeds sometimes describe the flat without stating the land share. Your advocate can often work out the UDS from the mother deed and the original builder's schedule; where that is not possible, factor the uncertainty into price.
• Informal parking. In small buildings, parking was often first come, first served. Do not pay a premium for a "reserved" slot unless it is recorded in the deeds or an association resolution.
• Weak associations. Many older buildings have informal associations with no corpus. Budget for lift replacement, waterproofing and painting in the next few years.

Banks lend on many of these flats after their own legal and technical checks, which is a useful second opinion. If your bank's lawyer raises a query on the OC or the UDS, take it seriously rather than switching banks to find a more relaxed one.

Mistakes we see in practice, and the fix

1. Registering before the OC. The builder offers a discount to register and pay now; the OC is "coming next month". Fix: hold back a meaningful final instalment until the OC covering your block is in hand.
2. Accepting an architect's certificate as an OC. Fix: ask for the authority's occupancy certificate with the permit number.
3. Not matching floors to the OC. Fix: compare floors and units in the OC with what stands on site; extra floors are unauthorised.
4. Ignoring UDS in the draft deed. Fix: check the figure, ask for the project-wide UDS statement and confirm the total equals the land area.
5. Missing a future-development clause. Fix: have your advocate strike or narrow clauses allowing the builder to add floors or blocks on the same land.
6. Parking described as "one car park" with no number. Fix: insist on a numbered slot and an annexed cellar plan in the deed.
7. Paying corpus without a trail. Fix: get a receipt specifying corpus separately from maintenance, and a commitment on when it moves to the association.
8. Resale without association dues check. Fix: obtain a no-dues letter from the association and review its accounts before paying.

NRI buyers: doing these checks from abroad

NRIs are the buyers most likely to register before the OC, because they visit for a short window and want the deed done. Plan around the OC, not your flight. A properly drafted power of attorney lets a trusted person or your advocate complete the deed once the OC is issued. Fund the purchase through NRE or NRO accounts or an NRI home loan; banks will check the OC before disbursing the final tranche. Our guides for NRIs buying villas and apartments and NRI home loans cover funding and paperwork; consult a CA on TDS and future capital gains.

How NRR Estates handles these checks for clients

• We obtain and read the OC, the building permission and the sanctioned plans, and confirm they match what stands on site and the RERA registration.
• Our empanelled advocate reviews the draft sale deed for the UDS figure, the project-wide UDS statement, future-development clauses and the parking schedule.
• We arrange a snag inspection by an engineer before handover and track rectification.
• We check maintenance terms, corpus receipts and, for resale flats, association accounts and no-dues letters.
• We book the SRO slot, coordinate payments and TDS, and see the deed through registration.

Our fees are disclosed before we start. If a building lacks an OC, we say so plainly and show you what that means for your price and your plans. For a wider comparison of flats with villas, see villa vs apartment in Hyderabad.

Frequently asked questions: OC, UDS and car parking

What is an occupancy certificate in Hyderabad?

An occupancy certificate is issued by the sanctioning authority, GHMC within its limits, HMDA in its area or the local municipality, after a building is completed and inspected. It confirms the building was built according to the sanctioned plan, with deviations within permissible limits, and is fit to occupy. Builders apply with a completion notice and certificates from the architect and structural engineer, plus fire and lift clearances where required. Large phased projects often receive OCs block by block.

Is it safe to buy a flat without an OC?

It carries real risk. Without an OC, occupation is not authorised, permanent utility connections may be delayed, banks are cautious about lending, and resale buyers will discount the price or walk away. The authority can also act against deviations from the sanctioned plan. For a new flat, hold back a meaningful final instalment until the OC covering your block is issued. For an older resale flat without an OC, check whether the building had permission and whether extra floors were added, and price the risk.

What is the difference between an OC and a completion certificate?

In Hyderabad practice, the occupancy certificate issued by GHMC, HMDA or the municipality is the document that matters. The architect's and structural engineer's completion certificates are inputs that the builder submits to obtain the OC; they are not approvals by the authority. A builder offering an architect's completion certificate instead of an OC is offering something the authority has not accepted. Ask for the OC itself, with the building permit number, and check it covers your block.

What is UDS in an apartment and how is it calculated?

UDS, the undivided share of land, is your fractional ownership of the land on which the building stands, held in common with other owners. It is normally distributed in proportion to each flat's super built-up area. If a project has 10,000 sq yd of land and 4,00,000 sq ft of total super built-up area, a 2,000 sq ft flat should carry 50 sq yd. The figure is stated in the sale deed schedule, and the total of all flats should equal the land area.

Why is UDS so low in new Hyderabad high-rises?

Hyderabad's building rules control high-rises mainly through setbacks, height and related norms rather than a tight floor area ratio cap, which allows very tall towers on relatively small land parcels. With many more flats sharing the same land, each flat's UDS is smaller, often 15 to 25 sq yd for an 1,800 sq ft flat in a large tower. That is not wrong in itself, but it means more of your price is building, which depreciates, and less is land, which does not.

Can a builder sell car parking separately in Hyderabad?

The position depends on the type of parking and the documents. Under RERA, open parking areas are common areas, while a garage is a covered space with walls on three sides. The Supreme Court held in 2010 that stilt parking forms part of common areas. In practice, Hyderabad builders allot covered cellar or stilt slots to flats, often charging for additional slots. Make sure your slot is numbered and shown on a cellar plan annexed to the deed, and take legal advice on disputes.

What is a corpus fund and who controls it?

A corpus fund is a one-time contribution collected at handover, often ₹40 to ₹100 per sq ft in Hyderabad gated communities, intended for major repairs and replacements such as lifts, generators and repainting. It belongs to the owners, not the builder. Get a receipt that shows the corpus separately from maintenance advances, and ask when it will be transferred to the registered owners' association along with accounts. For resale flats, check the association's corpus balance and obtain a no-dues letter.

Can an NRI register a flat before the OC is issued?

Legally, a sale deed can sometimes be registered before an OC, but we advise against it, and many banks will not release the final loan tranche without the OC. NRIs often feel pressure to register during a short visit. A better approach is to execute a properly drafted power of attorney so that a trusted person or your advocate can register once the OC is issued. Fund the purchase through NRE or NRO accounts, and consult a CA on TDS and future capital gains.