• Purchase resale flat with no apartments/society formed

Hi all,
First of all thanks to you all for guiding on various property related issue to buyers.

I want to buy a flat in building that has no apartment/society formed even after almost 20 yrs. I need to approach to nationalized banks for seeking loan for the property.

Following are few facts about the said property/Flat:
1. Building construction was completed when the land was under gram-panchayat, thereafter village got included under corporation around 16 yrs back. 
2. Current owner is the third owner,  say C, of the said flat, original copies of sale deed between A->B and B-> C are available, however I don't see any sale deed/registration document between Builder and owner A.
3. Blue prints (one sanctioned by gram-panchayat and the other by corporation later) are available.
4. Builder has provided the NOC for all purchase/sale transaction happened among A, B and C.
5. No OC and CC are available, however the current owner (even previous owner B) has electricity bill in his name.
6. The owner C is also paying all corporation taxes regularly.

Questions/queries:
1. Can the current owner get OC / CC? From whom should he approach to get it ( builder/corporation)?
2. Whats the risk if i buy property without OC/ CC?
3. What would be the role of current builder in case building goes for re-development in future? 
4. Would there be any intervention by builder in case I wish to sell the said flat in future?

Please guide me on this.

Thanks.
Asked 4 months ago in Property Law from Pune, Maharashtra
Religion: Hindu
1) if no society or association formed builder must be managing the show 

2) builder has to obtain OC or completion certificate from corporation 

3) if building was completed when it fell under panchayat jurisdiction completion certificate of panchayat would be required 

4) if building does  not have OC then it would imply that building not completed as per sanctioned plans 

5) you need builder NOC for purchase of flat 

6) for sale also builder NOC woukd be required 
Ajay Sethi
Advocate, Mumbai
23177 Answers
1217 Consultations
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1. The sale deed executed by the builder in favour of the first buyer i.e A is the core document of the chain of title. If it is not available then a certified copy of the same can be obtained from the office of sub-registrar for inspection.

2. To buy a property which does not have OC is an invitation to disaster as the civic authorities may demolish or seal it. So it is not advisable to purchase such a property. 
Ashish Davessar
Advocate, Jaipur
18088 Answers
447 Consultations
5.0 on 5.0
1. Can the current owner get OC / CC? From whom should he approach to get it ( builder/corporation)?

OC/CC at this stage after 20 years is not possible.



2. Whats the risk if i buy property without OC/ CC?

No risk , because it pertains to very old age, hence you cannot get OCCC at this stage.




3. What would be the role of current builder in case building goes for re-development in future? 

The current builder is not having any role in the redevelopment.






4. Would there be any intervention by builder in case I wish to sell the said flat in future?

No, he should not entertained
T Kalaiselvan
Advocate, Vellore
13969 Answers
127 Consultations
5.0 on 5.0
1. OC is issued after verifying that the construction has been completed as per sanctioned building plan.  Generally Gram Panchayats do not issue OC and after so many years of completion of construction, it is not possible to get the OC by you,

2. Since the construction was completed before 2 years, there will be hardly any risk of interference by legal authorities seeking OC from you,

3. The present builder will enter in to fresh development agreement with all of you jointly mentioning everybody's name since you have no Association for the flat owners,

4.If the property has been registered  in your name, you can transfer its title in favour of the buyer by registering the sale deed in his favour. However, the fact that the flat was not registered in favour of the 1st owner is a grey area which is needed to be taken care of.
Krishna Kishore Ganguly
Advocate, Kolkata
12088 Answers
229 Consultations
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