We have been looking to buy a 2 BHK apartment from a builder ABC Pvt Ltd. As per the documents the land owner is the MAnaging director of the ABC Pvt Ltd company and they have entered into a construction agreement wherein they have agreed such that the landowner gives the undivided share and the builder ABC Pvt Ltd gives to superbuilt up area to the purchaser. Subsequently they have made an unregistered sharing document where only 75 out of the 102 flat numbers have been mentioned. In that sharing document the flat no we intend to purchase is missing. The builder says that since the sale deed will be made both by the landowner and the builder ABC Pvt Ltd. There will no legal complications for us. The builder also says that the sharing agreement was made for the loan they had applied . In The memorandum of deposit of title deeds where the property has been mortgaged with one bank, our flat number is missing. The builder claims that SBI loan approvals for their building is available.is it advisable to go for this property? We have obtained a copy of the sale deed from them and there are clauses showing chances of additional development which the builder has assured to remove. However the terrace rights are with the builder. So pls advise if there will be legal complications since our flat no. is not mentioned in the unregistered sharing document. Will removal of the clauses regarding additional development give us a guarantee that our undivided share remain unaffected? Since the sale deed will be made by three parties i.e. the builder the owner and the purchaser, will we be safe?
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Since tripartite agreement is being executed between land owner , builder and you for sale of flat your interests are protected
2) even if builder has terrace rights he cannot carry on additional construction without consent of other flat owners
3) since builder has agreed to remove clause of additional development you can proceed with purchase of flat
Sir in the case first of fall ask from the builder the approved plans of the building that is see number of the approved plans and is the flat received OC or not.
Further if the plan is approved as builder to make an supplementary agreement to already existing agreement and both builder and the land owner shall sign the sale deed.
Further more the builder cannot keep terrace rights, and further development right otherwise based on that UDS in the society shall be changed.
Has the Builder in your case entered into Joint Development Agreement(JDA) with the landowners? It is a very important contract where the division of share between Landowner & Builder is mentioned. You will get to know the details of Land Owners. Generally, a Memorandum of Understanding among the builder & landowners is executed to share among themselves different no. of flats. Your flat needs to fall under someone's share. Your Builder has given a vague reply. If he himself does not know on whose share it will fall how can he sell? What if some owner comes forward tomorrow and challenges the sale deed in your favor. You have to be part of endless litigation.
The legal implication arises in your case is that what if there are multiple owners and In some cases, landowners can go to more than 100 if it's a village/ High Rise Building and you can not make everyone a party in sale deed. Ask your Builder to execute the sharing agreement with all the Land Owners and then buy the flat from the rightful owner. The Law of Property is very clear that a person cannot sell a property that he has not owned.
1. Your flat does not exist in any documents so far made available with you.
2. Unregistered agreements/deeds in connection with real estate have no value legally.
3. Get the development agreement registered incorporating the inclusion of your flat no. and get the share of the vendor and developer specified there itself.
4. If the development agreement was registered earlier, register a supplementary development agreement incorporating the inclusion of your flat no. and get the share of the vendor and developer specified there itself.
5. Once your said flat no. start featuring in the said property documents you should proceed to buy the same.
6. Avoid taking all shot cut steps voiding the legally acceptable steps in this regard.
7. Apply for bank loan for buying the aid property in which case, the Bank lawyer will conduct search and certify whether it is legally safe to provide loan to you or buying the said property or not.
Hello,
I would not advise you to purchase the said property, the property has to be sold by the person to whom the same belongs. If in the mother agreement the flat has not been mentioned then why will the builder sign it.
Might be a case that the said property has already been sold to someone.
Either get in touch with some lawyer and get a title report for the said property.
Regards
1) One should include your flat number in the sale deed and plus all his agreement and all layout and sanctions plan etc
2) While making sale deed do try to mentioned all history of land and you flats built up etc otherwise do not go for agreement.
3) If you require that sale deed agreement to review from us . we provide review services on reasonable rate.
1. builder is right
2. as sale deed is between builder and you and the landowner is joining as confirming party, there wont be any problem
3. just ensure that the flat which you intend to buy is reflecting in the sanctioned plans
Removal of clause provisioning additional development in the existing structures alone will not be sufficient, you must confirm the same from the approved master plan about this. If there is no provision for additional construction in the approved plan, then the terrace rights should not be with the builder or the landlord.
It is common area which belongs to the association/society.
The builder will take advantage over the terrace rights and may try to construct additional floors.
Just because the SBI is giving loan you cannot take them for granted.
You first obtain a legal opinion from an advocate in the local and clarify all your doubts, if it is recommended then you can proceed.
Dear sir,
As the sale deed is being executed by three parties i.e. the builder the owner and the purchaser so there would be no problem. Any way you may include a clause in the sale deed that saying that this particular flat shall be given to the share of the landlord if there is any additional sharing agreement in future.
