Auction property - legality

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Is Buying Bank Auction Flats are legal and documents provided by bank are valid.

What  all documents, we need to collect from Bank.

What will happen to chain of agreements if they are not available. In this case, what is the solution.

After buying auction property, is that owner or any other institution or any other person can claim any rights on the flat.

If I want sell this flat lateron, is that any other bank will provide home loan to new buyer. 

Please note that this auction flat is through bank through DRT and with proper public notice for 15 days.

Please raise any other issues not mentioned above. Please guide.

Replies (1)

You need to demand the following documents:

1.Search report of the property in the records of the Revenue authorities of the jurisdiction which gives the history of Title to property.

2.Non-encumbrance certificate of the property from the records of Registrar of Lands etc for a period of atleast 14 years before the purchase which gives an idea of various encumrances on the property during the last 14 years.

3.Link documents of Title to property fror last 30 years i.e.who purchased and sold during last 30 years.

4.Discharge Letter from bank that the property is released from various charges/encumbrances/mortgages etc.

5.Registration  to you by bank of the property through a proper Sale-deed along with all the link documents.

6.Permission letter obtained by earlier owners for conversion of land from agricultural land to residential land,if applicable.

7.Certificate under Urban Land Cieling act,if appliacable.

8.Permissions obtained under various laws applicable for construction of Flats.

9.If there is some succession problem in between proper papers for succession.

These are some of my personal experiences.

kkm

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