Tuesday, 23 August 2016

Qustion and Answers

                                                     Q and A


1. One of my friend said that there is a concession in Stamp Duty and Registration if gift is made to the family members spouse, sons, daughters, daughters-in-law and grandchildren. Kindly clarify whether this concession is applicable to “gift of immovable property form brother to sisters and also from sisters to brother”. I would seek your kind clarification at the earliest.

- Y. Shivarudrappa, Bangalore

Concession in Stamp Duty and Registration charges is available to gifts made by family members such as “spouse, sons, daughters, daughters-in-law, grandchildren, Brother and Sister

2. What is procedure to construct a house in agricultural land? My father is having six brothers and they want to divide; we have very small house in the village. It is not possible for the six to stay in the small house. Please help me.

-Ananth Kumar, Bangalore

If your property is falling within the residential zone as per the Zonal Regulations, you have to obtain the residential conversion order from the DC. After obtaining the same you have to get the partition and also obtain sanction plan and license from the concerned authorities.

3. I want to purchase a flat from a Promoter. The Promoter swears that his title to the property is good; encumbered, clear, marketable and has produced a title certificate from his Advocate. Whether can I rely on title certificate?

-Nagendra Prasad, Hoodi Circle

The Promoters Builders obtain title certificate from their Advocate on production of title documents. Generally, Purchasers will rely on such title certificates, which is not correct. As per the Karnataka Apartment Ownership Flats Act 1972, the title certificate should be by an Advocate having minimum seven years standing.

You should have the title verified independently from your own Advocate. Promoter is bound to provide photocopies of related documents, plans; encumbrance certificate. You may independently obtain upto date encumbrance certificates, are verify in Jurisdictional Courts for any pending cases.

Importantly verify, whether the Promoters has the property mortgaged to any Financial Institution, the terms of such mortgage and whether any No Objection Certificate is required.

4. I would like to state that I bought a site in BSK VI Stage. I am desired to know more about the area and the progress that is being taken place. By what time the area will be fully developed to proceed on constructing a house. And what are the documents other than Sale Deed, Khatha, and Tax paid receipt required to avail loan from the Banks? The Encumbrance Certificate to be made if the allotment is made by the BDA directly?

-Rakesh, Bidarahalli

You have not informed how you got the site, whether by allotment from BDA or by direct purchase, Banks require title document, which establishes the Ownership of Borrowers. In case of direct purchase, apart from your Sale Deed, Khatha certificate and tax paid receipts in your name, the title documents and revenue documents of the property establishing the right, title, interest of the person who sold the property to you are required. It is necessary to trace how the Seller acquired the property and its origin atleast for forty years. In case of the property is allotted by BDA, the allotment letter, possession certificate, amount paid receipts are required in addition to Sale Deed, Khatha and tax paid receipts. Encumbrance Certificates is essential for the required period. If you are going for construction, approved plan is also required. Though this column is not for forecasting the future development of any area the area in which your site is situated may develop within a couple of years.

5. I own a flat in Bangalore but staying in Baroda, on account of my job. The flat Owner’s Society for which I am member is charging me for common expenses, though I am not using any common amenities. Can I refuse to pay?

-Maithreyi, Baroda

Every flat Owner is bound to pay his share of common expenses, irrespective of the fact, whether he uses it or not. This is because the flat Owner holds the undivided interest in common areas. You cannot refuse to pay your share of common expenses.

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