Investment - mou/ mortgage deed of rs. 20 lacs
Hira Kan
(Querist) 14 January 2016
This query is : Resolved
We are investing Rs. 20 Lacs in Construction.
The Builder is ready to Morgage 1 Flat in my Favour.
Now,What would be the pros and cons of this transaction.
Can we enter into MOU or Morgage Deed or Any other Agreement ?
What would be the Stamp duty and Registraion Charges ?
Please suggest the way out, if possible.
rajagopal.s
(Expert) 14 January 2016
Hi
MOU is of no use . better to go for Mortgage deed and get the same registered.
For stamp duty and registration fees(it varies from state to state (http://e-stampdutyreadyreckoner.com/Mortgage-Calculator.html). Once you have registered your mortgage, the builder can do the registration of the property only after clearing your loan/investment...
Rajendra K Goyal
(Expert) 14 January 2016
Language of the documents need to be referred. MOU may not be of much helpful.
You are investing this much money, get guidance of professional to save your interest.
M V Gupta
(Expert) 16 January 2016
Crucial question is whether the building in which the flat to be mortgaged is complete or is under construction. If it is under construction identity of the flat and its configuration should be specifed clearly. If under construction best way is to enter into an agreement for sale which is safer and confers u with right to sell the flat at a higher price when completed. If the building is completed u can consider getting a mortgage deed executed and registered. The deed attracts stamp duty as conveyance if possession is agreed to be given by the builder. If the deed does not provide for possession of the flat the duty leviable is Five rupees for every 1000/- subject to maximum of Rs. 10 lakhs as per Article 40 of the Maharashtra Stamp Act,1958.
kavksatyanarayana
(Expert) 19 January 2016
Author, as it is under construction and you are investing some huge amount, better go for a sale agreement for 1st flat with a condition if you are not interested to buy, then the amount paid by you shall be refund to you.
Ms.Usha Kapoor
(Expert) 28 June 2018
Agree with RK GOYAL and MV Gupta.
M V Gupta
(Expert) 28 June 2018
Dear Ushaji. Why are you picking up very old queries which have been answered and resolved? U are not adding any further points and simply replying I agree with experts. Is this necessary?
