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M.V.S. RANGARAJAN (Engineer)     20 March 2010

Mortage Loan on Ancestral Property

Sir, there is a property for which the person 'A' is a legal heir and the house tax been paid by him for more than 20 years, the A's father did not write any ownership on that person or not to any one the property is being enjoyed by 'A' without any documents of the property which looks like a ancestral property because 'A's father also did not have any documents at his life time. Now 'A' wants to take loan on this property i.e., mortage loan. I would be grateful if you please advise me the procedure to get the mortage loan on the property from the nationalised bank without any legal problems.



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 3 Replies

Parthasarathi Loganathan (Advocate)     20 March 2010

Please obtain Encumberence Certificate for the property for a minimum period of 12 years and apply for certified copy of title deeds from the Registration Authority. These are two basic documents required for any mortgage loan.

Shyam Ji Srivastava (Practising Lawyer)     20 March 2010

Dear,

For taking loan the name of the applicant must be recorded in the local Development Authority/Municipality/or In Tehsil (if the property is related with agriculture.

secondly if original document has been lost FIR is necessary and obtain certified copy of the document for TITLE.

Gundlapallis (Advocate)     21 March 2010

In your case, approach the panel advocate of the bank through its manager and act according to his advice.  If there are legal successors to the property, A's acts of paying house tax etc etc will only put him in the position of manager of the joint property.  Those acts by themselves will not create any title in A's favour.


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