Loan

Can a house be sold without the possession letter?

Question asked by Mr. Odell Aguiar from India:
I bought a house in 2006. I have a bank loan on the house and have paid it off in full and received all the original documents as of Aug’ 2010 However, the builder has not given me a copy of the possession letter and is demanding more money. Can I sell my house without the possession letter?
Thanks
Odell Aguiar

Veena Answers:
We are of the view that in the event all your loan documents are cleared and you are in possession of the original documents, you can convey the property to third parties even in the absence of a possession letter from the builder. Only if the property is allotted by a society, allotment letter and possession letter are mandatory.
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