Anis (Asst. Manager - Sales) 14 February 2012

Can a property purchased by me on loan be gifted

I need an urgent advise as I am expecting a false DV Act case.

I have purchased a house on loan. It is on my name. Can I gift or transfer it to my parents so that my name is removed from the property and I continue to pay the EMI of loan.

Also is there a way where I can give them an irrevocable power of attorney over the house to take decisions related to the house.

Please do help me.

Thanks & Regards,

Anis

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2 Replies

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer) 17 February 2012

As regards gifting of the property to another person you will have to get permission of the creditor and it will be subject to the conditions imposed by the creditor. You may be able to assume liabillity to pay the EMI. But then the recipient of the gift and you will jointly and severally be liable to pay the EMI. Also go through the loan agreement in detail. Still it is doubtful that you will be able to escape any claim on the property in any suit. against you, because the other party can allege a nexus between the impending suit and your gifting the property.