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New Delhi: There may be trouble finding a lender if you are scouting for a house in Noida Extension or even Greater Noida. Concerns over title of land are forcing banks such as State Bank of India (SBI) to hold back fresh sanctions.
A senior SBI executive told TOI that they were not providing any loans to projects in Noida Extension as maps for several projects were unavailable.
In case of Greater Noida, the problem is different. The executive said some builders had lobbied with the Greater Noida Authority and got an extension for paying the amount they owed the government agency. “Now, you are staring at a situation where apartment owners would get possession in 2013 or 2014 on a plot of land for which the builder will get the rights in 2018 or 2020. If we have to enforce the security, we will face a problem. So, we stopped lending,” the executive said.
Some SBI associate banks such as State Bank of Travancore, builders said, are, however, still providing loans.
The sales representative of a builder who had set up a stall for the second phase on an under-construction project said lenders such as HDFC, the country’s largest mortgage player, had suspended sanctioning loans recently. “They are verifying the title deeds and doing their own investigation. They may resume lending soon,” the sales executive said when asked about funding options.
An email sent to an HDFC spokesperson in Mumbai late on Thursday afternoon remained unanswered.
An IDBI Bank executive said the bank was still providing loans and was using the Right to Information (RTI) Act to get details of title
deeds. “That is the best way to find out the status. Wherever the Noida Authority or the Greater Noida Authority is telling us that the land is free of encumbrances, we are sanctioning loans,” the executive in the bank’s home loan department said. Other lenders such ICICI Bank refused to comment, saying they were studying the verdict.
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  • Accha hae loan na miley...jitna kam paesa doobey utna accha
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  • LChand ji...

    As you said....
    "Now, you are staring at a situation where apartment owners would get possession in 2013 or 2014 on a plot of land for which the builder will get the rights in 2018 or 2020"...

    in this case when would the lease be effective...2013/14....2018/20 or the time the land was given to the builder...or the date of registry.

    Please clarify!!
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