Buying flat from land owner share
Dear Sir, I am planning to buy a flat from land owner share. This apartment had 60% developer share and 40% land owner's share. There are 4 land owners. Two are mother and wife of person I am dealing and other 2 are different, staying in different city.
There is sharing agreement that talk about number of flats owned by land owner and number of flats owned by builder. But separate flat number distribution to these 4 land owners are not mentioned.
There is one memorandum of Agreement which talks about the flat numbers for each land owners. So if I go for agreement, seems to me, this MoA will not work. So my local lawyer asked me to get the PoA from other two land owners(who are in different city) and that has to be registered.
Now problem is - other two land owners from different city cannot come for signing during agreemnt and resgistration. and this PoA would be around 2% stamp duty that would cost around 7-8 lacs. I wanted to know if there is some other alternative or cheaper way so that I can buy this flat. My one land owners(wife and mother) will be here and can sign. Other two land owners can come only for PoA but amount is high.
I need to know if they make - again a new sharing agreement with flat number distribution, and register it, will it again need 2% stamp duty and will that document is helpful ?
Can MoA is also valid because as per local laywer, there should be PoA given by other two land owners from different city to these two wife and mother ?
What kind of problem can occur if I buy a flat based on MoA ?
I know one way, that other two land owners from different city can come and sign but coming everything is not possible for them for all flats.
Please advice. I really need your help or guide me on this..
Asked 9 years ago in Property Law
Religion: Hindu
Hi, Thanks for your reply.
This is for Karnataka State at Bangalore city..
1.Sorry for one confusion. There is no MoA, but it is MoU (Memorandum of Understanding). This is on 2 Rs Stamp Paper (titled as Registration and Stamp Department). MoU is signed by all four land owner's with distribution of flats between all the four land owners. Does MoU work and I can buy flat on this basis ?
2. If we register this MoU in registar office, will that server the purpose. How much cost would be involved in this ? So after this, there is no need for PoA because all four land owner's signed in the Memorandum of Understanding document.
3) Is the development agreement between builder and land owner duly stamped and registered? -> Yes, JD is duly stamped and registered. Builder has already sold all his flats. All banks has approved this property (SBI, Axis,HDFC, LIC). Even my Land Owner( his wife and mother) sold one flat and his loan is approved.
4) As per my local lawyer, MoU cannot be worked because it is not registered in registrar office but as per Land Owner,s Lawyer, it is ok and there is no need for PoA. But my lawyer says, PoA is required. So for PoA, its 2% stamp duty on the guidance value which I calculated , comes around 7 lac rupees.
So any idea how much cost it would be for Bangalore Karanata State ? As you said, it should be nominal value.. if they register it for PoA.
5. For other two land owners from different city, will Memorandum of Understanding work or not,, or we need PoA from them ?
6. Also I came to know, registration for these flats will start from next month for the few people who have bought the flats from Land Owner and Builder.. Please let me know, if I got for agreement after paying 20% and 80% amount on Load, Can this agreement and registration happen on one day so that if I need to call other two land owners from Mangalore, they can come and sign one time and all my work gets done... So in this case, there is no need for PoA if all land owners sign.
My Local land Owner has already shared with me Sharing Agreement which is on eStamp paper with 550Rs Stamp duty..but this doe not talk about individual distribution of flats for all land owners, it just says flat numbers for Builder and for all four land owners.. I can send those document to you on email, if you can check and help so I can ask Land Owner for PoA requirement..
Please advice because my local lawyer gives me different opinion and my land owner lawyer give me different opinion.
Rajneesh Kumar
Asked 9 years ago
