Legal points for purchase of flat under construction
PrnBCRBant
(Querist) 23 April 2010
This query is : Resolved
Dear Sir,
My Client is purchaser of a flat which is under construction & the builder is financed by a Public sector Bank & the land & Building under construction has been mortgaged to the above bank. Now as i am also a panel member of the same bank & above said, my client wants to purchase a flat in the said apratment. what all points to be noted while issuing a legal opinion so that purchaser of the flat under construction can obtain a loan for purchase of the said flat.
if possible give me a format of such legal opinions.
Thanks in advance.
R.R. KRISHNAA
(Expert) 23 April 2010
I suggest you to first call upon the client to produce the title documents, link documents and revenue records and encumbrance certificate and all other relevant documents pertaining to the property.
Start tracing the title of the property carefully and check for any errors or flaws in the title or documents and analyse how far such flaws would affect the title of the builder/owner. If you find that the building under construction carries a good title and the purchaser will acquire a valid title then frame a legal opinion and submit it to your bank.
There is no standard/prescribed format for any legal opinion.
Raj Kumar Makkad
(Expert) 23 April 2010
When land and building is already under mortgaged by builder, how the same property can be mortgaged without getting it redeemed? I suggest you to get first release from already mortgage through builder and then after obtaining all relevant documents, issue legal opinion otherwise you shall also come in trouble.
