• No sale deed from builder and no conveyance deed from builder to society

I am trying to buy a resale property from the first owner. The property located in Mumbai. The current owner has the following documents. 

NOC from Society CHS.
Occupation certificate
Agreement for Sale from Builder
Stampduty, Index papers and other fees related to registration documents
Share Certificate from Society(CHS).

----MISSING DOCUMENTS----
Sale deed from Builder to the Current owner for the apartment
Conveyance Deed from Builder to Society (CHS) 

Is that safe to proceed without missing documents? please advise.
Asked 7 years ago in Property Law
Religion: Hindu

4 answers received in 30 minutes.

Lawyers are available now to answer your questions.

29 Answers

Has sale deed been executed by builder in favour of current owner ? Has said document been misplaced ? Has FIR been lodged ? Has public notice been issued ? 

 

Kindly clarify 

Ajay Sethi
Advocate, Mumbai
99779 Answers
8145 Consultations

If builder is refusing to execute conveyance deed society can obtain orders from consumer forum to direct builder to execute conveyance deed 

 

in alternative deemed conveyance can be obtained by society 

Ajay Sethi
Advocate, Mumbai
99779 Answers
8145 Consultations

In case full payment has been made to builder and builder delivers possession to purchaser agreement for sake operates as sale deed 

 

it is necessary to peruse documents cited by you to advice further 

Ajay Sethi
Advocate, Mumbai
99779 Answers
8145 Consultations

if there is no sale deed for flat and conveyance deed for society it is not safe to proceed. As the title wont be clear you will face difficulty while resale. 

Shubham Jhajharia
Advocate, Ahmedabad
25513 Answers
179 Consultations

Sir by a GR now the procedure for deemed conveyance is made easy then before so you(current owner) can apply to the Registrar of Societies with a fee of 2000 and required documents for the deemed conveyance of the flat,

Shubham Jhajharia
Advocate, Ahmedabad
25513 Answers
179 Consultations

No don't proceed without sale deed

Netra Mohanchandra Pant
Advocate, Navi Mumbai
1590 Answers
5 Consultations

Why has he not obtained the registered sale deed?

The registered sale deed is the title document, other documents will supplement and support the sale deed.

You cannot get the property registered on your name without the property being registered on the seller's name.

Why has the builder not given conveyance deed to the society?

How will the society claim its title to the common areas without a proper and registered conveyance deed?

You insist on production of  these documents otherwise you may give a second thought for this purchase.

T Kalaiselvan
Advocate, Vellore
89978 Answers
2492 Consultations

It is the duty of the builder to give conveyance deed to the association and the association has to obtain them mandatorily.

There appears to be some other things hidden involved in this.

You better obtain a proper legal opinion before you venture into this purchase.

T Kalaiselvan
Advocate, Vellore
89978 Answers
2492 Consultations

If there's no registered sale deed executed in the name of the vendor then he has no title to the property hence he cannot sell the property legally to you neither he can execute a registered sale deed in your favor.

Hence you may better keep away or consult your lawyer on all such further issues.

T Kalaiselvan
Advocate, Vellore
89978 Answers
2492 Consultations

No separate sale deed between builder and buyer is required if there is a duly registered agreement for sale between them

You can proceed to buy the flat

Society can make an application to district deputy registrar of co-op societies for grant of unilateral deemed conveyance in favour of society u/s 11 of MOFA

Yusuf Rampurawala
Advocate, Mumbai
7899 Answers
79 Consultations

1. You MUST have the ORIGINAL Sale Deed, in your custody, to ensure safe Title-Ownership of the Flat. IT may be possible that the Original Sale Deed, might be pledged with some Financier. This might be a fraud and cause you huge loss. IF the Society is properly registered, THEN absence of Conveyance Deed is not a problem.

2. IF you are positively sure about the antecedents of the Seller, THEN let the Seller give you Indemnity Bond, indemnifying you against all losses, in the event of any future legal disputes, concerning the property.

Keep Smiling .... Hemant Agarwal

Hemant Agarwal
Advocate, Mumbai
5612 Answers
25 Consultations

  1. As per the information mentioned in the present query, make sit clear that there are some important documents gone missing.
  2. When there is no deed in the favour of the present owner then it is most probably that if any issue raised by the builder about the property then you may be in trouble.
  3. I advice you to not go go for the transaction with respect to the property mentioned above by you.
  4. Tell the present owner to first get the deed in his name then only you would succeed.
  5. Though the limitation period has gone out of the favour of the builder, but still he may create temporary problem even before he court of law also.

Sanjay Baniwal
Advocate, South Delhi
5477 Answers
13 Consultations

If land has been leased to builder he is not owner of land and cannot execute conveyance for transfer of ownership rights in favour of society 

 

2) it is necessary to peruse documents cited by you to advice whether you should purchase the flat or not 

 

3) take search in sub registrar office and obattin copy of lease deed registered in builder favour 

Ajay Sethi
Advocate, Mumbai
99779 Answers
8145 Consultations

I would not advise you to purchase same , though there is no issue in 999 lease but it should have transferred to society further ownership is not transferrable lease can only be transferred.

Shubham Jhajharia
Advocate, Ahmedabad
25513 Answers
179 Consultations

If the builder has failed to execute a conveyance deed to the society then the society may directly move an application to the competent authority along with the copies of the sale agreement the builder entered with the flat owners and the society should enclose the occupation certificate with the application.

The authority may, after hearing both the sides,, issue a certificate stating that it is a fit case for enforcing unilateral conveyance deed conveying the  rights, title and interest of the builder in the building and the land favoring the applicant, as deemed conveyance.

But will the society follow up this action?

Do you still want to buy this property which is ambiguous in the ab initio stage itself.?

In any case you may consult a local lawyer and have his opinion on this before venturing into this purchase.

 

T Kalaiselvan
Advocate, Vellore
89978 Answers
2492 Consultations

1. There is no need for the Conveyance Deed from Builder to Society but without the registration of the Sale deed from Builder to the Current owner, the title of the property has not be established.

 

2. I am uncomfortable with the situation where there is no registered sale deed. 

 

3. It is not possible that without registering the sale deed,the current owner has become the member of the Society.

 

4. May be that he has moertgaged the said flat by depositing the original sale deed with the lending bank and in that case he cxan ot deal with his mortgaged property.

 

5. It is highly unsafe to buy the said flat at the present stage.

Krishna Kishore Ganguly
Advocate, Kolkata
27703 Answers
726 Consultations

In the statd event, you shall have to get a Couret order for treating your matter as deemed registration and direction upon the Registrar to register it accordingly.

Krishna Kishore Ganguly
Advocate, Kolkata
27703 Answers
726 Consultations

1. How are you so sure that there was no sale deed registered in favour of the current buyer?

 

2. However, if it is a fact then an application shall have to be filed before the Court for getting an order for treating your said property as deemed to be registered as suggested above.

Krishna Kishore Ganguly
Advocate, Kolkata
27703 Answers
726 Consultations

1. The builder is the leasee of the land and the he or the developer can lease the flats constructed on the said leased land if such construction of flats on the said leased land is permitted in the lease term.

 

2.  The first leasee can sub-lease the said flat to you for the remaining lease  period.

 

3. There can not be any agreement for sale in connection with the flats constructed on the leased land. 

Krishna Kishore Ganguly
Advocate, Kolkata
27703 Answers
726 Consultations

even if builder cannot do conveyance of land, he can always assign his leasehold rights in the land to the society

for this the lease deed executed between collector and builder will need to be checked

Yusuf Rampurawala
Advocate, Mumbai
7899 Answers
79 Consultations

Maharashtra govt has permitted conversions of leasehold into freehold . It would be permitted for grants to residential societies, and those allotted for agricultural or commercial purposes.

 

2) 

The collector has been appointed as the competent authority to collect premium and carry out the conversion. The law is applicable only to plots given to housing societies, or for commercial purposes. It is not applicable on lands given to charities, hospitals, educational institutions, industry and gymkhanas. Freehold land doesn’t require government permission to be sought for sale, transfer, mortgage, etc.

In case of leasehold plots, if the lease is for less than 99 years, the premium is 50% of the RR rate and if for more than 99 years, the premium is 37.5% of the rate. In case of housing societies to which land is granted on leasehold basis, the premium is 25%. These rates are applicable only for three years. 

Ajay Sethi
Advocate, Mumbai
99779 Answers
8145 Consultations

Please dont rely on newspaper articles

They are only speculative and may also be incorrect

If collector agrees to convert lease into freehold, then the market value of the land will be calculated and will have to be borne by the society

Society will eventually pass on the cost to its members in proportion to their respective flat areas

For authentic information please visit collector's office for inquiry

I dont know if the collector's office will be receptive to your request as most are not receptive to requests from public. But you can give it a try

Yusuf Rampurawala
Advocate, Mumbai
7899 Answers
79 Consultations

You said you have confirmed from local lawyer about the genuineness of the relevant documents.

Now you are struck at conversion.

You may have to approach the revenue department for conversion process and all other details that are required to be complied with.

T Kalaiselvan
Advocate, Vellore
89978 Answers
2492 Consultations

To convert the land 25 percent of the lease land has to be paid not of the flat.

Shubham Jhajharia
Advocate, Ahmedabad
25513 Answers
179 Consultations

MOU can be on Rs 500 stamp paper 

 

2) you dont need affidavits of payment receipts 

 

3) agreement for sale  would mention details of payment received by seller 

 

4) make 50 per cent payment to father and balance only to daughter as both are co owners of flat 

 

5) POA executed by daughter should be attested by indian consulate 

Ajay Sethi
Advocate, Mumbai
99779 Answers
8145 Consultations

The POA the daughter would be executing in favor of het father should be executed in the country if her current residence and it should be notarized by a notary of that country besides registered in the registrar office in India.

The POA should specify the mode of payment, account number, PAN etc and favoring whom.

If the payment is to be made to a NRI then you should deduct tax at appropriate rate.

An MOU can be signed before witness by both in a non judicial stamp paper.

T Kalaiselvan
Advocate, Vellore
89978 Answers
2492 Consultations

A registered MOU can be notarized while the agreement to sale should be registered.

It would be better if you take receipts signed by both as amount is paid in daughter account.

You can mention the sale consideration is paid in this account.

Sale deed can be made and registered .

Shubham Jhajharia
Advocate, Ahmedabad
25513 Answers
179 Consultations

1. POA by daughter to father authorising to sell property has to be compulsorily registered

2. MOU on 100 Rs stamp paper and notorised

3. no need for separate affidavit to record payment receipt by sellers. A receipt can be simply annexed to final sale document

4. yes advisable to mention in sale document that all payments are made to daughter by consent of father

5. registered agreement for sale is sufficient. Actually it is sale deed only. 

Yusuf Rampurawala
Advocate, Mumbai
7899 Answers
79 Consultations

Yes it should be notarised.

Yes you can execute agreement for sale  before sale deed.

Regards.

Swarupananda Neogi
Advocate, Kolkata
2993 Answers
6 Consultations

Ask a Lawyer

Get legal answers from lawyers in 1 hour. It's quick, easy, and anonymous!
  Ask a lawyer