Buy shares of my siblings and register the house in my name
Mageshwaran
(Querist) 05 January 2015
This query is : Resolved
Dear Sir/Madam - Greetings for the day!
My father is no more with us after 2001. For his self-earned property (individual house @ Chennai Zone), we total my mother + 3 sons + 4 sisters are legal heirs (8).
I would like to buy shares of my siblings and register the house in my name. And also I would like to go for Bank Home Loan...
Kindly advise me on the legal procedures. Thanks!
Devajyoti Barman
(Expert) 06 January 2015
Get a deed of gift registered in your name by all other legal heirs transferring their respective share in the property in your favour.
Guest
(Expert) 06 January 2015
A Settlement Deed Could Minimise your Cost.Consult a Local Good Advocate.
Anirudh
(Expert) 06 January 2015
If there is a Gift Deed by your mother and other siblings in your favour, then you cannot get HOME LOAN.
If there is settlement, again you cannot get HOME LOAN.
Only by getting a Sale Deed from your mother and other siblings you will be in a position to avail Home Loan from any Bank.
You have to get a sale deed from your mother and your siblings selling their respective shares to you at an agreed consideration. The consideration cannot be less than the Guideline value/Circle rate applicable for the area in which your house is situated.
It can be on one Sale Deed and your mother and all the siblings can sign.
In case the sale consideration payable to any one is Rs. 50 lakhs or more, then While making the payment of consideration to that person, you have to deduct 1% Tax at Source and remit it to the Government.
For the purpose of obtaining Home Loan from any of the Banks, (i) first consult the bank whether they are ready to give loan to you. (ii) If the bank agrees, then you have to enter into Agreement to Sell with your mother and each of your siblings. Even this agreement to sell can be a single document where all can sign.
On the basis of this, you can apply and get the home loan, the bank will make the payment directly to each of your relatives who sell their respective portions.
Your mother and siblings will be liable to pay Capital Gains Tax. Of course there are prescribed methods by adopting which capital gains tax can be saved by them.
Guest
(Expert) 06 January 2015
A Gift Deed Or A Settlement Deed Not Eligible For Bank Or Housing Loan The Statement of Anonymous The Height of Ignorance.
Rajendra K Goyal
(Expert) 06 January 2015
Purchase the share of your siblings. Agree with the expert Anirudh.
Bank may agree to give loan but for equitable mortgage title deeds through sale deed are preferred.
Mageshwaran
(Querist) 06 January 2015
Thank you so much Mr.Devajyoti/Mr.Rajkumar/Mr.Rajendra/Mr.Aniruth for your quick response.
Mr. Aniruth,
I've one more query. If my mother or any of my siblings is not considering(amount) anything, still can they sign Sale Deed favor to me?
Mageshwaran
(Querist) 06 January 2015
Thank you so much Mr.Devajyoti/Mr.Rajkumar/Mr.Rajendra/Mr.Aniruth for your quick response.
Mr. Aniruth,
I've one more query. If my mother or any of my siblings is not considering(amount) anything, still can they sign Sale Deed favor to me?
Anirudh
(Expert) 06 January 2015
Dear Mageswaran,
Pl. note, if your mother / brothers/sisters give you the property without taking any consideration, it cannot be called a 'Sale'. For any sale, there is to be a consideration.
Now, if your mother/brothers/sisters give you the property without taking consideration, it can only be by way of GIFT or registered relinquishment Deed. In both the cases, they will go without any capital gains tax. BUT, YOU WILL NOT BE ABLE TO GET ANY HOME LOAN.
ONCE THE PROPERTY BECOMES IN YOUR NAME, YOU CAN GET LOAN AGAINST THAT PROPERTY for which the rate of interest will be higher.
Guest
(Expert) 06 January 2015
Once you Justify your Repayment Capacity the Banks will Not hesitate in Sanctioning your Loan whether it is before or after Registration.In Settlement Deed the Cost of Registration Will be Very Minimum Less than Rs50000/- all inclusive Irrespective of Property Value the Option Provided by Govt for the Transaction between Family Members.Consult your Registrar Office and Bankers Confirm and Proceed.
ajay sethi
(Expert) 06 January 2015
agree with Mr Anirudh
Mageshwaran
(Querist) 06 January 2015
Okay. I got your points.
Thank you all for your supports.
Anirudh
(Expert) 06 January 2015
Dear Mr. Mageswaran,
I am happy that even you understood the points even from this ignorant person.
Guest
(Expert) 06 January 2015
Self Pity is the worst Possible emotion any one can have and the Most destructive.It is,to slightly para phase what Wilde said about hatred and I think actually hatred's subset of self pity and not the other way around.It destroys every thing around it except It Self.
Anirudh
(Expert) 06 January 2015
It is not self pity rather a slap on your face. Whom you considered as ignorant, his view has been understood by the queriest! That speaks about my so called Ignorance!!
Guest
(Expert) 06 January 2015
Facts and True Face Already Exposed A Self Appreciation Another Psychological Disorder.
Anirudh
(Expert) 06 January 2015
It is you who always 'welcomes' any thanks given by the querist even if it was meant for others. I am not one of the kinds. I throw an open challenge to you - show me one piece of my thanks - except the present one - which I consciously and deliberately did to point out that my answer was not that of an ignorant person!
You thoroughly misguided the querist by saying that he can get home loan (without even understanding the difference between home loan and loan against house property!) by having a settlement deed. So much for your legal knowledge!
Guest
(Expert) 06 January 2015
Further Act of Self Pity.
Anirudh
(Expert) 06 January 2015
Please do not open your mouth - because whatever that I am exposing may get into it.
Guest
(Expert) 06 January 2015
Yes Miss/Sir
Anirudh
(Expert) 06 January 2015
WHICHEVER YOU LIKE - IT IS YOUR CHOICE - I DO NOT MIND SO LONG AS I AM EXPOSING MYSELF!
Dr J C Vashista
(Expert) 06 January 2015
Very well advised by expert Sh. Anirudh, I agree and appreciate except unnecessary /unexpected brick-batting, which is in a bad taste, please restrain.
Anirudh
(Expert) 06 January 2015
Dear Dr. Vashista,
Thanks for your concern.
But, even in this very post, please see who started abusing.
But experts like you should take active part and stop this sort of abuse right at the beginning.
In one such instance, I even brought to another Expert in this Forum through private message seeking his reaction. But conveniently, for the reasons best known to him, he kept quiet and did not take notice of the abusive post.
Then what can be done. I have decided to react strongly. Kindly excuse me, I will not be able to restrain in case the abuse does not stop once and for all. It cannot be selective.
Advocate. Arunagiri
(Expert) 06 January 2015
I go with Mr.Anirudh.
Mr.Rajkumar is damaging the reputation of this LCI by commenting on the other experts.
We have to speak in their languages.
They do not know the value of silence.
I trust, that atleast from tomorrow, Mr.Rajkumar will mind his business alone, instead of poking his nose in others business.
If he continues to insult Mr.Anirudh, I will also raise my voice.
Guest
(Expert) 07 January 2015
Self Pity is the Worst possible emotion any one can have and it is most destructive.It is, to Slightly Para Phase what Wilde said about hatred and I think Hatred,s Subset of Self Pity and not the other way around. It destroys every thing around except It self.
Anirudh
(Expert) 07 January 2015
This B does not have anything worthwhile to say. He is bankrupt of thinking process so repeating whatever he had said earlier without any substance! He does not have anything to say himself - he borrows and quotes from somebody that too out of context and out of place!
Guest
(Expert) 07 January 2015
The Immediate Reply establishes the Soundness of the Quote with the Concerned person's Guilty.Mission completed.
Anirudh
(Expert) 07 January 2015
Dont credit yourself with so many things as Vision - mission etc., which you do not have at all.
In fact whatever that you are saying here are a completely a diversionary tactics to escape from inconvenient position that you are in.
Guest
(Expert) 07 January 2015
Funny Anonymous M.to be Ignored about their Early Morning Blabbers.Sorry no time to Laugh.
Anirudh
(Expert) 07 January 2015
I know, as per your false and fradulent profile you are travelling between Mumbai and Hyderabad etc., therefore you would not have time to laugh. Sooner you will not have time even to cry!
Guest
(Expert) 07 January 2015
For my safety I keep this statement of Anirudh whether He/She on Record Please.
Anirudh
(Expert) 07 January 2015
YES. BETTER PRESERVE IT. YOU MAY NEED IT. YOU ARE ALREADY KEEPING MANY OF MY THINGS AS I HAVE BEEN THOROUGHLY EXPOSING!
Guest
(Expert) 07 January 2015
Anonymous also a Mixture of Vulgarity I Prefer to Ignore Further and Just allow them to Continue with more Exposures about Them selves.Bye Bye madam.
Anirudh
(Expert) 07 January 2015
YES, IT WAS YOU WHO TOLD THAT I AM EXPOSED!
I ACCEPT THAT I AM EXPOSED AND EXPOSING!!
YOU STARTED IT ALL TODAY AND YOU CANNOT ESCAPE SO EASILY AFTER HAVING DONE ALL THAT YOU HAVE DONE HERE!!!
Mageshwaran
(Querist) 07 January 2015
I REQUEST EVERYONE TO STOP COMMENTING ON MY QUERY. MY INBOX GETTING FILLED. PLS.
V R SHROFF
(Expert) 07 January 2015
y not register release deed of all other legal heirs??
All LCI members, especially Shri Raj,
Pl understand , this is a public platform, and pl restrict your reply to the Query.
Let our collogues expert reply whatever they like. ; We need not comment on the other expert's reply, whether it is right or wrong. We must say what we want to say about the Query, not about other's reply, howsoever misguiding or false it may be.
PL OBSERVE STRICT DISCIPLINE.
we will have 3L members in short time, and to improve it's image further, do not indulge into tarnishing activity.
IT IS IN BENEFIT OF ALL: EXPERTS: LCI: MEMBERS: READERS WHO WANT TO KNOW LEGAL FORMALITIES..
PL MAINTAIN RESPECT FOR ALL.
T. Kalaiselvan, Advocate
(Expert) 09 January 2015
I stand by the observation and instructions given by expert Mr. Shroff, let the experts realise that they are being watched by people, so let them not let down their dignity in public. It is better to not to pay any heed to the provocations, the sound will subside automatically when it finds no response. Let us share our knowledge among ourselves and not anger and spats.
malipeddi jaggarao
(Expert) 12 January 2015
Answer to the query:
Requirements: 1. Death Certificate.
2. Legal Heir Certificate.
3. Registered Gift-deed by other co-heirs in your favour.
4. Mother Document and other link documents.
5. Non-encumbrance certificate.
There is no need for registered sale deed by co-heirs in your favour for availing Bank loan. The effect of regd.gift deed and regd.sale deed is one and same, but gift deed will save the expenses towards registration, as the stamp duty is less when compare with the sale deed.
And you being the author, should not interfere with the altercations among the experts by saying do not post any reply - all experts do not deserve such treatment from author's side. Mind it, some of the experts are too eminent and they are sparing their valuable time to mitigate the misery of people who do not know law and who can not afford fee for legal advice. It is a social platform - all types of people from both sides - querists and experts will be there. Please exercise restraint while making such comments.
P. Venu
(Expert) 17 January 2015
Learned Expert Anirudh's opinion that gift deed may not qualify for bank loan has been a revelation; it defies logic why should have such norms - it is really discriminatory if at all banks follow such norms. It may be that, in practice, banks more careful while scrutinizing gift deed etc. vis-a-vis a sale deed so that future complications could be avoided.
Anirudh
(Expert) 17 January 2015
Dear Mr. Venu,
Let me explain. If I am wrong, please correct me and I shall stand corrected.
Who will take the Home loan - a person who wants to buy a home but do not have the funds to do so. In such a case, based on the Sale Deed (which the bank will take as equitable mortgage) the banks will lend the loan at the agreed % of interest.
In the case of Gift, as the property is coming free to the donee, where is the need for seeking home loan and why would any bank give loan when the person would not require loan at all!
That's why I said that gift deed may not qualify for home loan (I did not say bank loan).
However, I had also said that in case the person who has got the property by way of Gift, still wants to avail any loan against the property then he can get it. That is not called home loan but loan against property. The rate of interest in such cases will be slightly higher than that applicable to home loans.
I think I have made myself clear.
Anirudh
(Expert) 19 January 2015
Dear Mr. Venu,
You have to come back on this.
P. Venu
(Expert) 19 January 2015
It is not necessary that Home loan is only for the purpose of buying a house; it could also be for the purpose constructing a house in the land already under occupation. It may be true that in major cities and urban places, Home loan is availed of invariably for buying a Home. But in other places, esp.in Kerala, Home loan is availed for constructing the house or even for renovating an existent one. In the latter case what matters is the title to the property. And in this context whether the land was acquired by inheritance or by sale or by gift or by relinquishment or by family arrangement. What is material is title to the property and it being free of encumbrance.
Anirudh
(Expert) 19 January 2015
Dear Mr. Venu,
I would have been happy if you had framed your answer in the factual matrix of the query - it is for acquiring the portions currently owned by mother and siblings and to get the entire registered in the name of the Querist. It is not for the purpose of any construction. My answer is purely on that consideration. I stand by my view.
