What is Undivided Share of Land (UDS) and why is it important?

For every purchase in real estate projects, the buyer has some value of land allocated in his or her name known as the undivided land share. When you purchase a property you not only get the flat where you are going to live but also your proportionate share in the land.

 

What is Undivided Share of Land (UDS)?

When you are buying an apartment, you are technically buying two things.

The first is the constructed part of the building where the owners will actually reside while the second is a proportionate share of the land where the property is built. This share of land allotted to the flat buyer is known as undivided land share or UDS. Keeping it simple and understandable, we may define UDS as the buyer’s share in the total land area.

What is the importance of Undivided Share of Land? What If builder hasn’t given any?

Undivided Share of Land is a crucial component of property buying and one must claim it. Otherwise, in case of any calamity, you will not be able to justify the UDS you own. If the builder has not given UDS, ask for it. While the land on which the building is built appreciates, the building (construction) itself depreciates in value.

Price appreciation in real estate is actually the appreciation of land prices because technically the building depreciates over time. This is the reason that the amount of land you own would matter.

What are the legal implications of UDS?

As it is a part of your sale deed, it is a legal identity. So, along with owning the apartment it also shows that you own a piece of the land.

Therefore, an informed buyer or investor would definitely look at the UDS.

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