Property - mortgage - procedure

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This discussion explores the process of obtaining a mortgage for property demolition and new construction. It clarifies that property papers can be held by the bank as security for a loan, even if the mortgage is in a parent's name. The conversation also touches upon registered mortgages, explaining that a mortgage deed is executed and registered with the sub-registrar, with the property's record updated accordingly.

Lowrence

Lowrence (Querist)

19 February 2020 Hi All,
Can I keep property papers of the house we are living in now in the Bank, like mortgage , which is on my dad's name. And can we get loan sanctioned on the property so that we can demolish the house and construct a new one properly, with 3 floors.
Could you please let me know how is the loan amount sanctioned and other details like tenure of loan repayment, etc.

Thanks in advance.

Amol S Joglekar

Amol S Joglekar (Expert)

19 February 2020 in the case of equitable mortgage, the property papers are lodged with bank. Now a days, banks do NOT entertain such a mortgage. You can go for registered mortgage.

Lowrence

Lowrence (Querist)

20 February 2020 Registered mortgage sir.
What is this could you explain this please

Amol S Joglekar

Amol S Joglekar (Expert)

20 February 2020 mortgage deed is executed between the property owner and bank financier on the requisite stamp paper and duly registered in the office of sub registrar. The P.R.Card Or 7/12 extract, as the case may be, bears this entry that the property is mortgaged with so and so bank.

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