Transfer of property to sister through settlement deed Tamil Nadu
I intend to buy a property to my sister who is a widower. Initially I intend to avail a bank loan in my name and sister name, register the property jointly. i would like to repay the loan, relinguish my ownership and tranfer the property to my sister name solely by settlement deed, This is in state of tamil nadu. what wlll the stamp duty and whether the transaction is in order. if not what is the way around? Request your guidance.
Asked in Property Law from United Arab Emirates
1) you can purchase property in joint names take bank loan
2) after repayment of bank loan you can transfer or relinquish your interest in the property in favourr of sister by regsitered gift deed or relinquishment deed
3)stamp dutyy is state subject and varies from state to state
4) contact local lawyer
1. If you become a co-owner of the property then you will be able to transfer it to your sister only with the consent of the bank as a charge is created in favour of the mortgagee as long as the mortgage remains in existence.
2. Since the stamp duty is not uniform throughout India only a local lawyer can tell you what it is in TN.
Hi, you can purchase the property in the joint name and after repayment of the loan you can execute gift deed in favour of your sister so that she will become absolute owner of the property.
2. Normally the gift deed will not cost you much it will be with in Rupees 10,000/- apart from professional fee of the advocate.
deed of family settlement can be executed if you so desire
1. The transaction plan is perfectly in order.
2. After the loan is repaid and the mortgage is released, you can register a gift deed duly conveying the title of 50% share of the said property in favour of your sister.
3. The Registration fee and stamp duty depends on the value of the property dealt with and the registration fee also varies from state to state. For registering a gift deed the stamp duty to be paid is just half percent of the value of the property. the Registration fee charged in W.Bengal is 1.1% of the value of the said property.
The maximum stamp duty payable on the instrument of settlement within the family members is Rs. 25,000/- and the registration charges shall be Rs. 4,000/- in Tamilnadu.
You can buy the property in the joint names, can make her a co-applicant for the purpose of loan and after discharge of entire loan, you can execute a registered settlement deed in her favor in respect of your share in the property.