Question: How do I sell my mortgaged property in India?

Can mortgaged property be sold?

While the property is mortgaged, one may want to sell it. Since all the original property documents are in the custody of the lending institution until the loan is closed, one can sell a mortgaged property with the process stated below.

How do you sell a mortgaged property?

Once the terms and conditions are negotiated and finalized, the prospective seller needs to obtain no objection certificate from the bank stating that the bank has no objection in the sale of the mortgaged property and the housing loan shall be transferred in the name of the prospective buyer once the transaction is …

What Cannot be transferred?

Stipends related to Military, Naval, Air Forces, Civil Prisoners, government pensions, etc are personal rights and cannot be transferred. … There is no prohibition in law that ownership in a property cannot be gifted without its possession and right of enjoyment.

Who is the legal owner of a mortgaged property?

A mortgage is a temporary transfer of property in order to secure a loan of money. The person who owns the land is the ‘mortgagor’. The person lending the money is the ‘mortgagee’.

What happens if you buy a mortgaged property?

When the buyer avails a home loan to purchase a mortgaged property. Paying off the initial loan– In the event that the buyer considers taking a home loan to fund the purchase of a mortgaged property, the seller will have to first pay off the home loan. … The entire loan process is repeated just like taking a fresh loan.

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How do I transfer a mortgaged property?

The mortgaged property can be transferred/inherited only with the written consent of the lender. This means that if a person passes away while the home loan was still running on the property that has to be bequeathed, the beneficiary (spouse, or children of the deceased) will have to pay the outstanding loan.

Can same property be mortgaged twice?

So he can mortgage the same property with another bank to borrow the amount needed. The second bank therefore takes a second mortgage loan on its books. Normally a second mortgage means that the first lender has a priority over the asset mortgaged. … However, a second mortgage can also be taken as a pari passu mortgage.

What kind of properties Cannot be transferred?

All interest in property restricted in its employment to the owner personally cannot be transferred by him. Even a right to future maintenance, in whatever manner arising, secured or determined cannot be transferred. A mere right to sue cannot be transferred.

How a person can transfer property to himself?

The transfer of property as defined under Section 5, is an act between two living persons. … The word “living person” includes corporations and other association of person. A transfer can be made by a person to himself, as for instance when a person vests property in trust and himself becomes the whole trustee.