Succession certificate is only for movable debts and securities
2) it is not for immovable property
3) apply for letters of administration from district court in name of legal heirs
4) enclose death certificate of father
My father passed away few months back.We have flat jointly owned by my mother & father.First name is of mother.Now when we want to sell the flat many buyers who want to purchase it are asking for succession certificate as they want to apply for home loan. So is it necessary to have succession certificate for catering this need of banks? Are there any alternatives
Succession certificate is only for movable debts and securities
2) it is not for immovable property
3) apply for letters of administration from district court in name of legal heirs
4) enclose death certificate of father
SC dose not issue for immovable property. Only apply for legal heir certificate, issued by tehsildaar. Short process with minimal fees.
Thanks for the reply. But how can we convince bank to accept alternatives of succession certificate
1. YES. Typically the Buyer party will insist on "succession certificate", more specifically for Bank Loan etc....
2. Alternative would be to that "ALL" the residual legal heirs of Father, should sign the Sale Deed as "Consenting & Confirming parties" and annexing therewith a "indemnity bond" in favor of buyer and funding bank, wherein the Bond will declare the names of all the residual legal heir's of deceased father and will indemnify against any litigation or losses to buyer & bank. This is usually sufficient (we do this in Mumbai), for all legal purposes.
See succession certificate is not required for share of father all his legal heirs can apply for mutation of the property once same is mutated in name of all legal heirs then in that case mother and other legal.heirs can sign sale deed and sale.
Also for property succession certificate is not applicable you have to obtain letter of administration.
The following Sections of Indian Succession Act would clear your query.
371. Court having jurisdiction to grant certificate.-The District Judge within whose jurisdiction the deceased ordinarily resided at the time of his death, or, if at that time had no fixed place of residence, the District Judge, within whose jurisdiction any part of the property of the deceased may be found, may grant a certificate under this Part.
372. Application for certificate.-(1) Application for such a certificate shall be made to the District Judge by a petition signed and verified by or on behalf of the applicant in the manner prescribed by the Code of Civil Procedure, 1908, (5 of 1908.) for the signing and verification of a plaint by or on behalf of a plaintiff, and setting forth the following particulars, namely:--
(a) the time of the death of the deceased;
(b) the ordinary residence of the deceased at the time of his death and, if such residence was not within the local limits of the jurisdiction of the Judge to whom the application is made, then the property of the deceased within those limits;
(c) the family or other near relatives of the deceased and their respective residences;
(d) the right in which the petitioner claims;
(e) the absence of any impediment under section 370 or under any other provision of this Act or any other enactment, to the grant of the certificate or to the validity
thereof if it were granted; and
(f) the debts and securities in respect of which the certificate is applied for.
When SC dose not issue for flat, how will you get from court. It's only LHC through which it will certify who are legal heirs of father who inherited his property.
- A Succession Certificate issued by Court is used as a legal document , wherein a deceased person's debts and securities are known .
- It is also a document that establishes ownership of the property in favour of the holder of the certificate. It means that , a succession Certificate gives the owner ,right to sell the property.
- For getting the said certificate, you will have to file a petition before the court , and after getting no objection from other legal heirs of your father, it can be issued within a period of 6 months.
- The alternative of succession certificate is Legal heirship Certificate , and you can obtain it faster than a succession certificate.
- It is generally issued by the Tahsildar and Talukdars.
If your father had registered will it will also suffice. Otherwise you can execute agreement of sale including all other legal heirs as confirming parties and seek home loan
Hello,
You can make an affidavit by judicial magistrate stating the name of the successor. I think it would suffice.
Regards
Succession Certificate is require for movable property and for immovable property legal heirship.
If you have legal heirship provided by tahsildar that is also sufficient.
The share of your deceased father in this property shall devolve equally on all his legal heirs or successors in interest.
Hence without knowing the details of all the legal heirs and their consent for execution of joint sale deed, the buyer may hesitate to buy the property since the bank may not grant loan in the absence of the required details of all legal heirs of the deceased shareholder.
You may approach the Tehsildar and apply for legal heirship certificate, which will be sufficient instead of succession certificate
The legal heirship certificate issued by the revenue department is not an alternate to the succession certificate.
In fact the succession certificate is not valid for the transactions pertaining to immovable property.
1. Buyers are misconceived. Succession Certificate is required only to realise liquid assets, whereas flat is not a liquid asset.
2. The bank will sanction the loan once it is convinced that title is free and marketable, to this end it requires the death certificate of your father along with the sale deed of the flat.
Dear Sir,
A succession certificate is a mandatory document, but not always sufficient to release the assets. Death certificate will be required, apart from the additional requirements. 2. If the petition is not contested then the court usually issues a succession certificate in five to seven months
In the absence of nomination or will, the heirs to a piece of property or financial assets are required to prove their claims to them. ... For movable property like the provident fund, bank deposits, shares, loans, or other securities, the succession certificate is required
For a movable property like the provident fund, bank deposits, shares and loans the succession certificate is required. For an immovable property like land or jewellery, the letter of administration must be submitted.
You have to transfer the flat to your mother or add the other beneficiaries. Unless you do this you cannot move ahead.
You will need legal heir certificate from tehsildar for transfer of father share on his legal heirs.
But if bank is insisting on succession certificate then you have to file suit for succession certificate in civil court.