Make him a confirming party in the present sale agreement and take indemnity bond from the present seller.
Complications involved in buying property that is not registered with seller
Hi, I’m looking forward to purchase a property. However, the seller (B) I’m buying from doesn’t have the property registered to his name. However, there is a sale agreement between (B) and the previous owner (A) and the property is registered under (A). Seller (A) is ready to present himself as a witness if the transaction happens between (B) & myself. Is this legally a safe transaction? If Yes, what are the key considerations involving this? If not, what are the complications that may arise?
Asked 3 years ago in Property Law
Religion: Hindu
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9 Answers
Registered sale deed has to be executed by A in B favour to co get clear and marketable title to property
2) B does not have clear and marketable title to property and cannot sell the property to you
3) mere A acting as witness would not suffice
4) don’t purchase the property from B
1. Since 'B' is not the registered owner of the property, he will not have selling right over 'A' 's property.
2. Let 'A' and 'B' agree to cancel the Agreement of Sale, which is existing now, which paves way for 'A' to sell the property to you with 'B' as consenting witness.
It is not proper to buy the immovable property from the person who do not have title or proper title to sell the property.
As per you, B has entered into a sale agreement with A but so far he has not purchased the property by a registered sale deed.
Therefore B has no title to sell the property to third person.
Therefore instead of buying the property from B, you may ask A to execute the registered sale deed directly to your name by cancelling the sale agreement he had entered with B.
The sale deed executed by B, if any, will not be legally valid.
Dear Client,
Without registered sale deed B will not have the selling rights of the property.
B does not have any title
The title still vests in A
Even if A signs as a witness, it will not suffice
Here A has to sign as a vendor and B can become a confirming party
The consideration can be paid to B
- Since, B is not having title deed/sale deed registered in his name , then legally he cannot sell the property , even there is an agreement with A .
- Further , A is only having right to sell and transfer the property being the registered owner of the property.
As the registered owner is A, the sale deed has to be executed and registered by him only to be legally valid. The agreement between him and B shall in no way be relevant to the sale of A's property. Insist on A doing so as advised. Otherwise, keep off.
- B is not a not a legal title holder of property as not being holding registered sale deed in his favor.
- A sale by seller whose title is not clear is not entitled to sale the property.
Advice: You can directly purchase property from A taking sing of B a witness making payment to B.
