1.A.. property is mortgaged with a bank 2.The mortgage is paid off to bank by the owner of the property A 3.The bank issues a NOC to sell but the original papers yet to hand over 4. Can the owner of property A sell the property and can the buyer of property A register the property on NOC. 5.what are the other formalities the buyer of property A must complete with the bank if the property A can be registered on NOC
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how an agreement to sell can be converted from from a first single buyer to a multiple buyer,having received part payment from first buyer
1) if bank has issued NOC wait fir original documents to be handed over
2) bank generally takes 15 days for return of original documents
3) let the purchaser verify the originals and then sake deed should be executed
4) bank will hand over the originals only to the borrower
5) in property matters never take any risk . Always play safe
1. Yes, NOC is valid document showing that the property is no more charged and is free form encumbrance.
2. The buyer on the basis of NOC can proceed to register the dale deed and expedite for handing over the original papers.
Once NOC is given by the bank the bank can not dispute the sale transaction anymore.
NOC by bank can be considered as a valid document for purchasing the property however until getting back the original document from he bank it may not be safer to venture into the purchase or registration of the property.. Because later on when the bank finds some dues of the past have not been made good, they may cancel the NOC by issuing a letter or notice and shall ot return the original title documents. In that circumstance the buyer will be in a dilemma and may have to abide by extra burden and also to run from pillar to post to retrieve the original documents.
Being a huge investment, never take any decision in haste, take a proper legl opinion from your own lawyer and then decide as per his advise.
1. If the prospective buyer of the property is willing to buy the property on the basis of the NOC issued to the seller by the bank then there are no hurdles in the sale of property, albeit it would be unwise for any buyer to purchase the property if the original title deed is not in the possession of the seller.
2. The buyer must recover the original title deed asap.If bank delays handing over the original title deed then a lawyer's notice to the bank should be issued.
Hi, Before purchasing the property it is better you have to take legal opinion from the advocate and proceed further.
2. Seller of the property can execute agreement of sale in favour of buyer and thereafter he has to execute sale deed in favour of Buyer and it has to be registered before the Sub-Registrar.
A. NOC issued from the bank can used as reliable evidence towards the non encumberance over the property.
B, However, if any register mortgage deed was executed, you can tender request for Redemption of mortgage deed due to avoid encumberance appearing in EC.
C. Based on the NOC, A can enter into Sale Agreement and Sale Deed with the new buyer once the original documents recieved from the bank due to comply your duty under Tranfer of Property Act.
