• Buying unregistered property where original documents are lost

Hi

I am planning to buy a flat in bangalore. The property is unregistered and the owner has lost the original documents. When i checked with the builder, they informed that many people do not register property upfront to avoid paying charges and there is a process in place to get a new set of documents if originals are lost/misplaced like filing an FIR, giving ad in newspaper and affidavit from owner etc.

Is it safe to go ahead with the purchase?

Thanks
Asked 3 years ago in Property Law
Religion: Hindu

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16 Answers

Seller does not have clear and marketable tile to property 

 

2) registered sale deed is must to confer clear and marketable title 

 

3) if seller has lost original documents FIR about loss of originals has to be filed 

 

4) public notice has to be issued and certified copy of sale deed obtained from sub registrar office 

 

5)don’t purchase the property 

Ajay Sethi
Advocate, Mumbai
99776 Answers
8145 Consultations

As you have rightly mentioned that if original documents are lost/misplaced, filing an FIR, public notice published in local and English newspapers, obtaining affidavit to that effect from owner is the correct procedure.

Still show whatever property papers available to any Lawyer, before proceeding further.

Shashidhar S. Sastry
Advocate, Bangalore
5623 Answers
339 Consultations

Dear client I am sorry to hear that but I won't suggest you to go and and by the property because the property was not earlier registered and also the owner have lost the actual document. However if you still want to proceed with it you have to ask the owner to get the you have to ask the owner to get the original somehow

Anik Miu
Advocate, Bangalore
11014 Answers
125 Consultations

If the property is unregistered, as you say, the question of loss of original documents does not arise at all. If you mean the agreement of sale entered into with the builder, receipts for monies paid etc., copies of such documents would suffice. It is advisable to mention the relevant facts in the sale deed to be executed with the present vendor. Let the vendor, to be on the safer side, report the loss of documents and give a newspaper insertion at his/her own cost. You may insist on that. However, please engage a competent lawyer to examine all the documents and offer his/her written opinion on the title, before proceeding with the purchase.

Swaminathan Neelakantan
Advocate, Coimbatore
3070 Answers
20 Consultations

You should not go ahead with this purchase as there is no sale deed.

Without registration, you will not have a lot of issues in selling or transferring the property.

 

Siddharth Jain
Advocate, New Delhi
6617 Answers
102 Consultations

If property is unregistered than how lost papers FIR, advertisement etc will work for it.

 

Kindly do tripartite agreement and show first booking agreement to sale between builder and first owner.

 

Ganesh Kadam
Advocate, Pune
13008 Answers
267 Consultations

This is an illegal procedures adopted by people in a hurry and after that they will face problem in this regard in the long run.

It is not advisable to purchase the property from the seller who do not have title to the property.

Besides the builder may to his convenient may tell any amount of lies for the sake of money by selling the property to multiple buyers.

You first obtain a legal opinion from an experienced lawyer who will guide you to obtain different documents pertaining to this property and proceed only if recommended 

T Kalaiselvan
Advocate, Vellore
89978 Answers
2492 Consultations

Element of risk is there in buying any immovable property more so when originals are not available. But you can minimize by following the procedure by issuing public notice, filing FIR, obtaining certified copies and particularly issuing notices to all banks in the locality informing them of the deal.

Ravi Shinde
Advocate, Hyderabad
5126 Answers
42 Consultations

 

- As per law, without Registration a buyer has no legal right over the property even he has cleared all the dues with the builder, and further cannot sell it to anyone under the Transfer of Property Rights Act.

- Since, you want to purchase the said property from him, then you should approach his builder and request him to make changes in the Builder-Buyer Agreement and transfer the ownership rights in your name.

- As per rule the builder after collecting processing charges, can register the property in your name. This processing fee is charged to change the Builder-Buyer Agreement.

- Further, the FIR and other public notice will not serve the purpose as the property is unregistered. 

Mohammed Shahzad
Advocate, Delhi
15814 Answers
242 Consultations

Without the whereabouts of the original agreement papers it is not advisable to purchase this property. 

The agreement holder may come with a suit for specific performance of contract at a later stage on the basis of original documents which are reported to have been lost now.

The unregistered tripartite agreement is not maintainable nor it is enforceable in case of any dispute in this regard at a later stage 

 

Besides owner is not in the country so he may claim innocence about the proposed current transaction and will resort to extortion with the threats of legal suit at a later stage. 

You were suggested to obtain legal opinion from a local lawyer and this cost would save you lot of money in case of a dispute in future. 

T Kalaiselvan
Advocate, Vellore
89978 Answers
2492 Consultations

Obtain Encumbrance Certificate for the property to find out outstanding loan on the property. 

Shashidhar S. Sastry
Advocate, Bangalore
5623 Answers
339 Consultations

Has owner executed registered POA in favour of his uncle 

 

2) only if registered POA is executed can uncle execute sale deed 

 

3) consult a local lawyer 

Ajay Sethi
Advocate, Mumbai
99776 Answers
8145 Consultations

- Please read above reply 

- That person is not the owner of the property and the ownership is still with the builder 

- However, there can be Triparty agreement between builder , you and the said purchaser who has paid amount .

- Yes, the POA holder can sign the agreement on your behalf. 

Mohammed Shahzad
Advocate, Delhi
15814 Answers
242 Consultations

Yes, when three of you sign documents will become tripartite agreement.

To check for liability or encumbrance against property kindly perform search report.

Kindly perform POA with Indian Consulate or Embassy.

Ganesh Kadam
Advocate, Pune
13008 Answers
267 Consultations

Please be guided by my earlier advice. Besides, check the PoA to ensure it is still in force and has not been cancelled. Verify the identity of the power agent.

Swaminathan Neelakantan
Advocate, Coimbatore
3070 Answers
20 Consultations

You need to seek indemnity bond in addition other than all other documents 

Prashant Nayak
Advocate, Mumbai
34514 Answers
249 Consultations

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