Buying a plot of land?

Plot of land
photo by demibrooke

Buy land. They’ve stopped making it. – Mark Twain.

Banks and housing finance companies (HFCs) in India provide loans for purchase of plots (land). Usually, the banks/HFCs insist that the plot of land is purchased from a recognized authority like a development authority, from a society, or from a recognized developer. Financing purchase of plots is a bit risky because of difficulty in documentation.

The main requirement is that the land should be developed and clearly demarcated, and should have been approved for residential purposes. In addition to the general documentation, some additional documents are required to avail land loans. The site should not be categorized as an agricultural site as per the land records. In case it is so, permission to convert land from agricultural use to non-agricultural use should be obtained.

Documents needed to get a loan include:

  • No encumbrance certificate from the registrar’s office certifying that the land is not already mortgaged.

  • Layout and drawing (as approved by the city development or planning authority) of the location where the plot of land is, giving details of the precise location and its surrounding areas.

  • No objection certificate (NOC) from the society for sale and transfer of land.

  • Revenue receipts confirming payment of land dues to the government and tax receipts for taxes paid by the owner of the land.

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Author: Austin Comments: 2 comments Date: 13 Sep 2008
Categories: Loan Tags: , , , ,

There are 2 comments. Leave a comment!

  • ¬ riathareja
    #288 September 15th, 2008 at 3:49 am

    Goa government has recently stated that no lands within the industrial estates owned by Goa Industrial Development Corporation (GIDC) should be allotted or leased for establishing special economic zones (SEZs). In a written reply tabled on the floor of the house, chief minister Digamber Kamat said that if any land has been leased, the lease should be immediately revoked or cancelled. The state-government run GIDC had earlier issued show cause notice to revoke lands to seven SEZ promoters, which were later revoked forcing the state developers to approach the High Court.The GIDC has issued notices to meditab specialities (pharma), Peninsula Pharma Research Centre Private Limited (Bio-tech), K Raheja Corp Pvt Ltd (service), Paradigm Logistics and distribution pvt ltd (IT), Inox Mercantile co. pvt ltd (Bio-tech), Planetview Mercantile Co Pvt Ltd (Gem and Jewelry) and Maxgrow Finlease Pvt Ltd (IT). The chief minister stated that the six companies have already moved to the high court challenging the show cause notice. The court has granted status quo to the petitioners.For more view- realtydigest.blogspot.com

  • ¬ Denver lofts
    #7194 September 1st, 2010 at 4:57 pm

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