Can a orignal owner sell the complete property through Conveyance deed even though he has sold out a floor from that by means of sale deed? Also what kind of documentation can be done in this case while buying a floor from the property in Delhi, where the seller still holds the Conveyance deed for complete property?
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1) original owner has already sold one floor by sale deed in favour of third party
2) he can only sell balance property to third party
3) for buying floor check whether OC is issued by Municipal corporation
4) check whether sufficient parking space is provided for the purchaser of floor
5) check whether title is clear and marketable
After the Supreme Court’s judgment on 27 February 2013, the illegal flats in the Campa Cola Compound in Worli, Mumbai, are scheduled to be demolished beginning 20 June.Though the builders had permission to build only five floors, some of the buildings have 17 and 20 floors.All floors above the fifth have been declared illegal. Resident said his parents were not aware of the irregularities when they bought the house in 1991. With illegal constructions mushrooming in all cities, how will you find out whether the property you are buying is legal? There are some checks you should run, with the help of experts if required, to ensure you are getting a fair deal.
when you buy a property, the proof that it is legal can be seen in the agreement papers. Documentation is the first check point.“Vigilance is the key. If relevant documents are not available with the seller, registered documents relating to the same construction are available at the relevant sub-registrar’s office.
It is also important to ensure that the house you are buying is exactly as per the approved layout; even small changes are not acceptable—you can be hauled up for changes like adding a roof to your garden space. All residential projects needs approval for every sq. ft that is used for occupancy. Floor area ratio (FAR) or floor space index (according to the development plans and zoning laws of individual states) denotes how much area you are allowed to construct on a given plot size
for buying floor check whether OC is issued by Municipal corporation
If you are getting a project below the market value, it’s a definite red flag. “You should ask questions such as why is a builder being so kind to you? Why is the quoted price below the market price?
If a financial institution refuses you a loan, this, too, is a red flag indicating that the house you are planning to buy is illegal. “Banks or housing finance companies are very cautious in giving home loans and hence, do a certain amount of due diligence. They generally verify the title search documents and the approval papers to ensure that the project is legal.
Apart from the threat of a legal battle, you also compromise on safety. “Illegal construction continues to mushroom in unplanned areas of our cities to accommodate the growing population. There is no homogeneity in terms of plot sizes, street widths, height, and gross built area in these locations. Old buildings that collapse are ones that have been built without proper permits and lack structural safety standards,”
You must remember that if the government decides to evict you from your house, which is proven to be illegal, you have no choice but to vacate.
Yups all the documents are intact and every permission is available and valid. I am getting the property financed from bank. 1. A is owner of complete property and has conveyance deed on his name. 2. A sold a floor from this property to party B through sales deed. 3. Now i am buying that floor from party B. But according to bank, since A is still having the conveyance deed of complete property, he can sell the complete property or get loan against it without any consent from me or party B. How can I ensure in the documentation while registering in registrar office to prevent any such foul play?
1)if floor is sold to you by regd sale deed you are absolute owner of floor . how can A sell the property to third party without your consent
2) it is necessary to peruse sale deed executed by original owner in favour of B to advice
3) contact a local lawyer .
1.When a floor of a building has already been sold out, the owner of the said building can not sell or convey title of the entire property through a conveyance deed. since he is no longer the owner of the entire property.
2. In the above case, the said conveyance deed is illegal and invalid since no body can convey a better title that what he has. In the instant case, the owner does not have to title of the entire property.
3. First of all you should have the correct conveyance deed of the properties your are buying.
4. After ascertaining the title of the property being sold to you you can go for registering the same in your name by registering the sale deed in your favour.
1. If the owner has the title deed of the entire property executed and registered in his name before the 1st floor was sold by him, then you can buy the balance floors of the said property from the owner.
2. If the ground floor has been sold before the owner got the deed of conveyance conveying the entire property in his name then the said deed is faulty for which you should not go for the said property.
If your bank is insisting production of conveyance deed, you could have put pressure on your vendor about this.
As a matter of fact if you have purchased the property by a registered sale deed, then the conveyance deed is not necessary.
Actually a conveyance deed is a contractual document that includes legally valid terms, and is enforceable in a court of law. It is mandatory that a deed should be in writing, and that both parties involved must sign the document.
A ‘conveyance deed’ or ‘sale deed’ implies that the seller signs a document stating that all authority and ownership of the property in question has been transferred to the buyer.
Once the registration is done, the transfer moves into the public domain. The Government obtains its revenue in the form of Stamp Duty and Registration Fees, and at this point the process of conveyance is officially over.
Therefore it is ridiculous to say that the original owner can sell the entire property on the basis of conveyance deed in his possession while the other floors have been sold by executing a registered sale deed in the name of buyer.
But according to bank, since A is still having the conveyance deed of complete property, he can sell the complete property or get loan against it without any consent from me or party B.
How can I ensure in the documentation while registering in registrar office to prevent any such foul play?
The bank should not insist on the conveyance deed if ther is a clear title to the seller of this property you propose to buy now and if the sale deed is by a registered document.
Conveyance deed or sale deed are one and the same.
If you think that the original owner can sell the entire property on the basis of the conveyance deed in his possession it is your immaturity.
He will be in trouble if he sells the property which has already been sold for the offences of cheating, breach of trust and other offences for fraudulent activities.