This article was authored by Apoorva Mandhani.

Having spent my childhood in a small city like Kanpur in Uttar Pradesh, I grew up surrounded by the quintessential idea of the “Great Indian Dream”— of earning enough for roti, kapda aur makan (food, clothing and shelter) and retiring into the night comfortably. My dreams, of course, shaped up very differently (credits: a shift to Mumbai, law school education and the general millennial mindset).

The very existence of the idea of this dream, however, is a decades-old proof of the obsession that this country has with real estate. It is an asset that they can touch and feel, unlike a financial asset, and that has been a great psychological motivator for them for quite some time now.

Naturally, the practice of real estate law has managed to stay afloat largely owing to this obsession. Lucky for us, the obsession is here to stay and so are the opportunities in the field, making it quite “lucrative”. This article explains why.

Also, notice the double inverted commas in which I place the word “lucrative”, in the heading of this article. Despite the colloquial meaning of the term, I intend on examining the “lucrativeness” of the practice on factors including, but not limited to, the monetary gains that it promises.

Industry potential

The real estate industry, in general, is flourishing. According to data released by the India Brand Equity Foundation, which is a government trust, by 2025, the country’s real estate sector is expected to contribute 13 per cent of the country’s GDP. By 2030, it is expected to reach US$ 1 trillion. Without relying on any more numbers, it would suffice to say that lawyers feed off such a healthy industry and a lavish five-course meal sort of feed off, at that.

As regards the changes brought in by the Real Estate Regulation Act, the long-term prospects of these changes are pegged as positive. This expected growth surely spells good news for all lawyers—big and small—in the industry. Plus, the ecosystem is a lot more trustworthy now, thereby reassuring real estate purchasers and investors.

Making your way up the ladder

Now, we’ve established that pursuing real estate industry, in general, does hold promise in India, consequently making room for lawyers practising the related law.

Additionally, the practice requires an understanding and willingness to take on several laws. For instance, in addition to real estate laws, the lawyer also needs to be well versed with the drafting of contracts as well as the intricacies of the dispute resolution mechanism involved. The upside of this is the knowledge pool that you are expected to master. Further, it might make it that much easier to switch out of the practice, on the off chance of you not wanting to deal with concrete anymore.

Furthermore, the effects of a healthy real estate industry are bound to trickle down to lawyers at every stage of their career. So according to a young lawyer practising in Maharashtra, a professional who has mastered the art of creating title deeds can make easy money, starting from Rs. 4,000 to Rs. 12,000 per project, by freelancing for those desirous of understanding the flow of title for prospective purchases, mortgages, etc. The opportunities are only going to diversify and get more challenging as you make your way up the ladder.

The multiple avenues

As for the variety of paths that can be taken within the industry, here’s a snapshot:

• Even something as basic as notary shops for legal documents could fetch you Rs. 150 to 200 per document. With a potential of beginning with 20 to 30 such documents every day, you could easily make around Rs. 4,000 per day.

• As for drafting of conveyancing contracts, lawyers beginning their practice could make around Rs. 3,000 for transactions in tier-2 cities and Rs. 5,000 in tier-1 cities. With a more established client base, this is sure to fetch a good amount of monthly income. A good law firm would easily charge INR 30,000 for the same.

• As mentioned previously, even title searches can pay Rs. 4,000 to Rs. 12,000 per project, for simpler freelancer assignments.

• Several large real estate companies have in-house legal departments as well, willing to hire freshers for annual salaries ranging between Rs. 3 lakhs to Rs. 6 lakhs. With experience, you could go up to INR 40-50 lakhs per year as general counsel of a large real estate company.

• For those interested in government jobs, this could be the golden opportunity that you’ve been waiting for. The government is the largest owner of real estate in the country, and hence, ends up hiring quite a few real estate lawyers. Besides, it also needs seasoned professionals for several other sectors which might include recovery or valuation proceedings.

• For those interested in getting out and battling it in courts, tribunal or other forums, real estate is heavily litigated and hence, requires litigation lawyers to step in. The disputes involve high-stakes and are usually very rewarding, monetarily. They usually charge separately from drafting and thereafter, on a per hearing basis. Per hearing charges of an experienced lawyer in Delhi could easily run into Rs. 30,000 to 1 lakh. Famous senior counsels can charge 10-15 lakhs per hearing.

• Now, RERA has introduced a whole bunch of real estate tribunals, providing an opportunity that not many lawyers get—an opportunity to establish your credibility and practice much faster than compared to already established forums.

• Several big law firms, as well as boutique real estate firms,  look for fresh talent for their practices.

• As for cities, while metros have their law firms and practice is a bit saturated, especially with a declining number of projects in the metropolis and unsold inventory having built up, tier-2 cities have a booming real estate market without a proportional increase in lawyers practising real estate law. The next level of amazing real estate work will in all probability come from tier 2 and 3 cities.

Not all sunshine

Nevertheless, there are several challenges that a real estate lawyer is expected to tackle during the course of any transaction.

The first step in any real estate transaction is clearing the title of a property from any encumbrances. The exercise involves examination of documents transferring title for at least the last 35 to 40 years. The catch is that these documents are more often than not, incomplete or even missing at times. A revenue search in the government records could be your next best bet, albeit a dicey one.

Besides, with the high stakes involved, it shouldn’t come as a surprise that real estate is heavily litigated. This is good news for you if you’re the plaintiff and you convince the judge of the existence of a prima facie case. You can succeed in locking down the property in dispute for a good decade. Naturally, you could find yourself in hot waters if you’re the defendant.

And then there’s all the red-tapism. There is a plethora of rules and regulations under the various laws governing the set-up. Several approvals are required at every stage of the construction and any shortcoming can prove fatal.

However, all this doesn’t need to spell bad news for those looking to enter the field. This only means that not just is there plenty to take up and learn, but also that there’s plenty of space for more real estate lawyers to scoop in.

Final word

So, we’ve established that real estate practice pays well, has the plethora of responsibilities and avenues that you could choose from, and also has great growth prospects, especially in the aftermath of the overhaul of the industry.

However, before parting, I’d be disappointed in myself if I do not add another perspective to this “lucrativeness”—that of you having an interest in the practice. We often tend to settle on a career by ignoring this very important aspect. While it is, of course, prudent to assess the ground situation and available cavalry before entering a battlefield, the battle will definitely be worth fighting if your heart’s in it. So I’d suggest, get some hands-on experience in the field during your next internship and see for yourself!

As for a sneak peek into the world of real estate practice from the comfort of your bed, take a moment to check out this wholesome and practical, 3-month long online course on real estate laws. One of the best features of the course is the 360-degree perspective that it provides. So it covers areas of interest from the point of view of promoters of a real estate project, developers, home or office owners as well as real estate agents. If you’re still in two minds, request for some free samples and I’m certain they won’t leave you disappointed!