Should not pay them any amount upfront before signing the agreement to sell.

The best way to do the transaction is to get a demand draft issued in the name of the seller and the set draft may be given to him, after an agreement to sell has been duly executed by the parties in presence of witnesses.

you can buy property which is under mortgage to bank. If the buyer has sufficient amount to buy the property then seller can close the loan from this amount.

1. It would be illegal for the Seller to sell his property that is already mortgaged to a Bank, unless and until you as the buyer agree to transfer the Bank Loan to you, AFTER proper NOC and documentations with the Bank, by mutual consent between the Bank & the Seller & the Buyer.

2. ANYWAYS, Such deals are always fraught with Fraud, Cheating and various other legal complications. Preferably avoid such deals, since you will be investing your hard earned money.

Keep Smiling .... Hemant Agarwal

1) don’t make may payment before execution of ageeement for sale

2) you ca issue bank draft of Rs 2 lakhs at time of execution of agreement for sale

3) time should be essence of contract

4) it should be provided that seller should obtain bank NOC for sale of property

5) it is better you apply for bank loan from same bank so that loan can be transferred in your name

You can enter into an agreement to sale with the party and mention that amount along with the instrument number in the agreement and agree for the registration of the property and balance payment within certain time limit you can apply for your loan in case required and pay the amount to the seller and get the property registered you can list out all the payment details to the party in your registration deed

1. Sir you can pay the buyer at the time of the agreement the amount and the same can be recorded in the agreement for sale. Based in agreement of sale the buyer can take NOC from the hdfc bank along the documents and can registered the property to your name.

See there is no problem in paying seller and recording the transaction in the agreement.

This is my response to you:

1. Give a cheque of the 2 lakhs amount;

2. Also first enter into an MOU stating that you have made 2 lakhs payment and make terms and conditions in your favour;

3. Also add a clause stating criminal liability on the other person and notarise the MOU;

4. Then he is legally liable;

5. Consult a local lawyer and then only go ahead.

1. pay only against a proper written receipt recording clearly for what amount is paid

2. ok

3. till full payment is made to seller, he has right to keep original documents. Once full payment is made, you should be given original title documents

once seller clears his bank loan, take a foreclosing letter from bank stating that the loan is paid fully and there is no outstanding. Attach this letter to your sale deed

Hi

Since the Resale apartment is already mortgaged to HDFC bank, you should

1) First find out how much money the seller needs to pay to HDFC bank to close the loan and for them to close the mortgage and release the title deed.

2) Once you have the amount required to be paid to HDFC bank to close the loan and release of title deed, then you should enter in to an agreement of sale wherein you clearly mention the following:

a) Outstanding loan amount payable to HDFC bank

b) Advance money payable to the present owner

c) Amount payable to HDFC bank for and on behalf of the present owner for closure of loan and release of title deed.

d) Seller's responsibility to obtain No Objection certificate from HDFC bank

e) Timeline for payment of remainder and

f) Time line for registration.

3) Normally when there is pre-existing mortgage, if the seller is unable to close the loan by himself, we advise buyers to pay the Bank (Mortgagor) directly the pending loan amount at the time of seller registering the property in your name.

4) Banks will hand over the title deeds to the seller and you should ensure to collect it from the seller immediately at the time of registration.

5) Normally, DD for closing the loan, Issue of No objection certificate, registration and collection of original title deeds all happen at the same time (at the time of registration) and these needed to be coordinated.

Hope this information is useful

Hi,

While it is advisable to pay the amount in advance, it is also necessary to keep in mind that the registration can't be completed or done till the seller clears the loan of the property and he gets the papers from bank including NOC.

1. An agreement for sale by an unregistered document is invalid in law.

2. The question is that the property is in mortgage loan hence without discharging the amount in full he canot become the owner to sell the property to you.

3. You can enter into a tripartite agreement with the bank and the seller for this after which you can proceed with the purchase of the property.

1. No this is not the right procedure.

2. First get the agreement to sale signed then only make some payment and make terms of payment clear in the said agreement.

Regards