Sale of unregistered property

The decision depends upon the discretion of the lending Bank.

Terms and conditions of property deals, where a financial institution is also involved apart from the buyer and the seller typical, are laid under a different legal document, legally known as a tripartite agreement.

A tripartite agreement has to be signed by these three parties, when a buyer opts for a home loan to purchase a house in an under-construction project.

“Tripartite agreements have been established to assist buyers with acquiring loans for properties against the planned purchase of the property. Since the home/apartment is still not in the name of the customer until possession, the builder is included within the agreement with the bank,

hese agreements usually state that if the owner/borrower is in breach of the non-payment clause of the loan agreement, the mortgager/lender becomes the new owner of the property.

Make financier a party to the sale transaction.

Warm regards and thanks to all learned advocates who have answered the query.  

From the replies given so far, I can conclude that transaction can be effected with the consent of the builder (real estate developer), and the lending bank embodied in an Agreement to sale ( registered/unregistered?)

Please note, this is a scenario in the state of Odisha where relevant Ordinance brought out for registration of apartments is not still implemented.

Now. I am inclined a make a subsequent query:

1. When registration of the sale deed takes place in future who will be signatories to the same? 

2. Whether the builder be a confirming party as because occupancy certificate (OC) is required for taking possession of the said premises?

We will definitely consult a local advocate who is dealing with such matters. However, to a layman, opinion of some luminaries in this forum would be nothing short of confidence boosing.

Eagerly awaiting promt replies.

Why no registration of apartments? Registration of conveyance in respect of immovable property is  mandatory. The affected persons can approach the High Court seeking directions to the authorities to adress the administrative lacuna.