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I am planning to purchase an independent house near Devanahalli. The property papers are not with the owner and I suspect there may be a loan on the property. How do I cross-verify this?
asked Aug 30, 2017 in Legal Matters by Pretty Rastogi (13 points) | 198 views

1 Answer

+1 vote
Yes, there is a way to find that out. You will have to apply for an Encumbrance Certificate for the property. If there are any pending loans on the property that have been registered in the sub registrar’s office those will be captured in the Encumbrance Certificate. However, you need to be careful about hand loans. Hand loans are unregistered and will not reflect in an EC. In the case of hand loans also, the vendor deposits the original documents with the loan provider.
answered Sep 1, 2017 by Prosenjit Dutta (44 points)
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