relinquishment deed
Querist :
Anonymous
(Querist) 23 May 2011
This query is : Resolved
Hello,
Would be greatly help to all of you in resolving my query..
My parents are willingly ready to execute a relinquishment/release deed in favour of my elder brother and me(both being adults)for residential premises which shall be Developed in coming years..the deed is executed in such a manner that the alloted new flat in the redeveloped premises shall be alloted to our names..Also my parents shall be executing a will after completing this deeds formality which shall also mention this transfer of property through relinquishment deed..They also have made a general power of attorney favouring us..I just wanted to confirm that is there any need registering this document since we are the only legal heirs of this property and there stands no chance of any disputes in future as we are jointly executing this deed..Please advise..
Thanks in advance..
Shashikant V. Patil
(Expert) 23 May 2011
Dear Anonymous,
You have not mentioned that the said property having all names including or excluding your names. The same should be clarified. Untill unless you both brothers and your parents are not a co-owners in the said property, either co-owners (i.e your parents ) can not relinquish their rights in favour of you (both brothers). Presently, the property might be in your parents name , and it will be succeeded to you only as being you are a legal heirs.
Querist :
Anonymous
(Querist) 23 May 2011
Dear shasikant,
We are not co-owners at present..the co-owners(i.e my parents )are then too Willing to Transfer the Title to us(both brothers)..Let me explain you in brief..We are residing in a premise which shall be redeveloped in the coming months..we are willing to purchase an additional area in the new premises which shall be allotted to us..Since my parents have terminated their services/job, my brother is willing to get a home loan for purchase of this Additional premises..Since the flat is registered in name of my parents my brother is not capable of getting this loan unless he has the flat registered to his name..hence my parents want to relinquish their rights willingly and get the new allotted premises in name of us(both brothers).. So they have decided of executing a relinquishment deed in our favour..would be great if can you advise..
R.Ramachandran
(Expert) 23 May 2011
Dear Anonymous,
Since only your parents are the co-owners of the property and you sons are not, the question of your parents giving any Relinquishment Deed in your favour does not at all arise.
Therefore, if you the sons want to get any bank loan in order to develop the property, then the only option available to your parents is to give the property in GIFT in favour of sons. This will involve registration - stamp duty on the value of the property - and registration fees.
Guest
(Expert) 23 May 2011
Agree with Mr. Ramachandran.
M/s. Y-not legal services
(Expert) 24 May 2011
Why your parents doing all those arrangements.. Release deed, will, then power of attorney.. Is anything renaming? Just they can make a will in favour of you, thats enough. Also simple way to proceed. Because you both are only legal heirs to your parents.
Querist :
Anonymous
(Querist) 25 May 2011
is only will enough??? how is this possible....How does a will allow you to get a bank loan when there is no name included in the property.. would appreciate if you can brief a little..
Querist :
Anonymous
(Querist) 11 June 2011
can any one advise on this??
R.Ramachandran
(Expert) 11 June 2011
WILL in your favour by your parents cannot be of any help to you for obtaining bank loan. This is because, a WILL would take effect only after the demise of the person(s) making the WILL. Till such time the person(s) making the WILL is/are alive, WILL has no effect. The property will continue to be in their name only. Therefore, the reason why the bank is not ready to grant the loan now would continue to be there in case of a WILL.
