Could someone explain as to why property title searchs are conducted for a period of 13 yrs, 15 yrs or 30 yrs prior to extending any credit facility wherein the property is the collateral?
radhika (Asst Manager) 12 November 2010
Could someone explain as to why property title searchs are conducted for a period of 13 yrs, 15 yrs or 30 yrs prior to extending any credit facility wherein the property is the collateral?
Balakumar.S (Self-employed) 12 November 2010
It is safer to obtain Encumbrance for 30 years or more before offering credit under collateral. Since any Usufructuary mortgagee is having right to redeem the said mortgage within 30 years from the date of expiry of the period stated in the said mortgage deed.
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