By Arosh John | Founder – John Real Estate (MahaRERA Registered) | Editor-in-Chief – Thane Real Estate News
Why This Is Important
The process of loan disbursement in resale property in Thane and Mumbai works differently from many other Indian cities. Sellers from outside Mumbai often expect funds to be released once the agreement is signed. But here, banks release money only after registration, submission of original title documents, and receipt of required NOCs.
This isn’t a delay tactic — it’s the law and a safeguard for all parties.
How Loan Disbursement in Resale Property Works in Thane & Mumbai
- Registration of Sale Deed / Agreement for Sale
In Maharashtra, the sale deed must be registered with the Sub-Registrar before banks disburse resale loan funds. - Submission of Original Title Documents
Lenders require custody of all original title papers before releasing the loan. - Required NOCs
- No Dues Certificate – from society/developer before registration, confirming no pending charges.
- Bank-Format NOC – issued by society/developer on their letterhead in the bank’s format, only after the registered agreement and required documents are received.
📌 In Thane & Mumbai, registration + originals + NOCs = disbursement.
Why This Rule Exists (Legal & Regulatory Reasons)
- Registration Act, 1908 – only a registered deed is legally enforceable.
- Notice of Intimation (NOI) – mandatory filing links mortgages with registration.
- RBI & NHB Guidelines – banks can release loans only after title and legal checks.
- CERSAI Registry – prevents double mortgages by requiring registered title documents.
Risk Alert: Why Registered Agreement Verification Matters for the Bank NOC
If societies/developers issue the bank-format NOC without verifying the registered agreement, risks include:
- Title fraud through forged agreements
- Double encumbrances on the same property
- Banks disbursing on defective NOCs, later challenged
Comparison: Other Cities
Outside Maharashtra, many banks release funds on an unregistered Agreement to Sell, with registration later. That’s why sellers from other cities are surprised at Mumbai’s stricter safeguards.
Recommendations for Sellers
- Fix registration only after the buyer’s loan is sanctioned
- Obtain both NOCs (No Dues & Bank-Format)
- Submit originals carefully with an acknowledgement
- Plan timelines with bank compliance in mind
Call to Action
💬 Selling in Thane or Mumbai? Don’t navigate the loan disbursement process alone.
Book a consultation with Arosh John to secure your transaction.
👉 Connect with Arosh John
About the Author
Arosh John, a leading realtor in Thane with over a decade of experience in resale, premium, and luxury properties across the Mumbai Metropolitan Region (MMR), is the Founder of John Real Estate and the Editor-in-Chief of Thane Real Estate News. His expertise helps sellers, buyers, and investors navigate property transactions with clarity and security.
Disclaimer
This article is for informational purposes. Loan disbursement timelines vary across banks, societies, and developers. Always verify with your lender, society, and legal advisor. Thane Real Estate News does not accept liability for financial or legal decisions made solely on this article, but aims to provide a comprehensive understanding of the loan disbursement process.
