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Know your rights: The Andhra Pradesh Apartments Act, 1987

The Andhra Pradesh Apartments (Promotion of Construction and Ownership) Act, 1987 regulates the promotion of construction and transfer of ownership of apartments in the state of Andhra Pradesh. So if you are looking to buy an apartment in Hyderabad familiarize yourself with this Act.

Key highlights

Application of the Act:

The provision of this Act, excepting Chapter III shall apply to every property and the provisions of Chapter III shall not apply to any property unless the sole owner or all the owners thereof submit the same to the provision of the Chapter by duly executing and registering a declaration as hereafter provided.

“Property” comprises the land, the building and the common area and facilities.

Agreement to precede advance payment:

A promoter who intends to transfer any apartment shall before, accepting any sum of money as advance payment or deposit, which shall not exceed twenty percent of the price, enter into a written agreement of sale with the intending transferee and the same shall be registered as a document compulsorily register able under Clause (b) of sub-section (1) of Section 17 of the Registration Act, 1908.

Promoter to convey title according to agreement:

A promoter shall, on payment or tender of the amount due in respect to the price, execute a proper conveyance of the apartment in accordance with the agreement execute under Section 5 and give possession  of the apartment to the transferee after discharging all encumbrances unless the apartment is sold subject to encumbrances.

An apartment to be transferable and heritable property:

(1)    Each apartment owner shall be entitled to exclusive ownership and possession of his apartment.

(2)    Each apartment, together with its undivided interest in the common areas and facilities, shall for all purposes constitute heritable and transferable immovable property.

Common profits and expenses:

The common profits of the property shall be distributed among and the common expenses shall be charged to, the apartment owners according to their percentage of undivided interest in the common areas and facilities.

To read the Act in its entirety click the following link.


Kavitha Ravi is a writer with experience in journalism. Her area of interest is current affairs. She has been in the media and communications industry for over 4 years.

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