Resale properties without Title Deeds
February 18, 2009
2 | Resale properties without
Title Deeds
It is possible to sell/buy a property in
the absence of the separate Title
Deeds having been issued. A buyer
may be purchasing a property from a
seller who has bought a property and
who has had his/her contract lodged
at the L.R.O. but who has still has not
received his/her separate Title Deeds.
In such a case, it will be necessary to
request the original vendor i.e. the
owner of the land upon which the
property has been constructed to
sign the necessary resale documentation
/contracts so as to enable the
new purchaser’s contract to be
successfully lodged at the L.R.O. for
Specific Performance purposes.
The original vendor will also need to sign Cancellation
documents to cancel the first contract to enable this to be
withdrawn from the L.R.O. so as the new contract with the
new buyer can be lodged at the L.R.O. in its place.
This method of a resale where a separate Title Deed has
not yet been issued, is the preferred method to be
adopted. It ensures that the buyer remains ‘first in line’ to
receive the title deeds as and when these are ready.
However, sometimes the method referred to above
cannot be followed because the original
vendor/developer refuses to sign the cancellation
documents and a fresh direct contract with the new buyer.
Such refusal though does not prevent the sale of the
property. The property may be sold by a contract which is
quite valid. However, if the contract cannot be filed at the
L.R.O., possession and use must be given in any event. The
problem in such a case is that when deeds are issued they
must pass firstly to the first purchaser and then the first
purchaser must transfer the deeds to the person he or she
resold to.
FOTOS PITTADJIS