Property on loan : sale cum registration
GAJENDRA SINGH
(Querist) 01 January 2014
This query is : Resolved
Hi All,
Wish you all a Very Happy and Prosperous New Year.
I am selling a property on which there is a loan from Bank. I have done the payment of outstanding amount and waiting for Original Documents from Bank.
Buyer is actually forcing me to registration as soon as possible as he is not having time to wait till Registration Documents reach to me from Bank.(He is having his own sources in Registrar office and can complete the registration without Original documents in place, this is what he told me).
He is also doing complete payment by DD and saying will keep 2 lakhs DD with himself and will give to me once I will handover the Original Registration documents to him. This DDs details will also be mentioned in Registration.
Can you please guide me on following:
1. How can I make sure that the Buyer did revert to me for Registration documents held with my Bank for which he is not giving me DD of 2 lakhs?
2. Will the Deed cancel if he did not make the payment of 2 lakhs?
3. Also, as I am doing registration without Original Papers from Bank, can buyer later file legal action against me for same after registration? If yes, how can I take care of this...might be with some another Registered Agreement mentioning all these points in it.
Please suggest.
Thanks a lot in advance for your any help.
ajay sethi
(Expert) 01 January 2014
dont be in a hurry . you wont get balance Rs 2 lakhs once you register agreement and hand over possession .
you dont want to be drawn in long drawn legal battle for recovery of Rs 2 lakhs . as far as cancellation of agreement is concerned it is necessary to go through clauses in agreement . if your sale agreement is regd deed of cancellation would also require registration
ajay sethi
(Expert) 01 January 2014
buyer is entitled to original documents . if you dont handover documents he may take legal proceedings for recovery of same . there must be a clause in agreement that original documents would be handed over only on receipt of balance amount of Rs 2 lakhs
ajay sethi
(Expert) 01 January 2014
buyer is entitled to original documents . if you dont handover documents he may take legal proceedings for recovery of same . there must be a clause in agreement that original documents would be handed over only on receipt of balance amount of Rs 2 lakhs
GAJENDRA SINGH
(Querist) 01 January 2014
Hi Ajay,
Thanks for reply.
Can you please suggest what if we have an agreement signed by Buyer agreeing that the payment of 2 lacs will be handover on the same day to Buyer when Original documents from Bank will be given to Buyer.
The reason being I have been told that we cannot mention such clause of pending payment in Registry. Registry of the property is only done when all payments have been settled and done.
Thanks
Advocate M.Bhadra
(Expert) 01 January 2014
You should get clearance certificate of loan from the Bank then convey and transfer the property after receiving full consideration,no lies due Rs.2 lakhs.
Rajendra K Goyal
(Expert) 01 January 2014
Give a special power of attorney to buyer to collect the original title deed from Bank. Do not leave any balance with the buyer. The fact can be mentioned in the registration deed.
R.K Nanda
(Expert) 01 January 2014
AGREE WITH EXPERTS.
GAJENDRA SINGH
(Querist) 01 January 2014
Thanks a lot for your help and advise.
T. Kalaiselvan, Advocate
(Expert) 02 January 2014
Agreed with the experts opinion. As suggested, let the author not be in a hurry when things can wait, he should read between the lines if the buyer is insisting an urgent delivery of the property by way of registration formalities, mostly the bankers will not delay to the extent as worried about returning the documents once the loan amount has been cleared.
R.V.RAO
(Expert) 10 March 2014
In the regn.documents sro insist full payment recital . so insist on full payment,for your safety.
at sro regn. is done when both parties execute a sale deed,stating payment in full was made and delivery of property is made by seller for peaceful possession and enjoyment by buyer.
pending bank loan be cleared.get originals from bank.deliver originals to buyer and against collection of balance due.
no party to take risk.
