No NOC Required for Selling Flats on Government or Civic Agency Land
The department of stamps and registration has issued a circular clarifying that no-objection certificates (NOCs) are not required from agencies like MHADA, MIDC, and CIDCO for the sale of flats built on their land. This move aims to streamline the property registration process and reduce delays.
PropertyReal EstateMumbaiNoobjection CertificateRegistration ActReal Estate MumbaiJul 26, 2025
In a clarification issued on Thursday, the department stated that builders do not require a no-objection certificate (NOC) from agencies such as the Maharashtra Housing Area and Development Authority (MHADA), City and Industrial Development Corporation (CIDCO), Maharashtra Industrial Development Corporation (MIDC), or municipalities, to sell or transfer flats built on land belonging to these agencies. The clarification was issued by Dharmdev Mainkar, deputy inspector general of stamps and registration.
Confusion had arisen in April, after the department amended Article 18 (a)(1) (b) of the Registration Act. The amendment was ambiguous, and officials had interpreted it in a way that required an NOC from MHADA, SRA, MIDC, and CIDCO for the sale and transfer of every flat built on their property, explained Hitesh Thakkar, an expert on property registration.
This led to procedural and other delays, which ultimately led to a 70% fall in the registration of such properties. Some buyers also sought a refund of stamp duty as it was not possible to get NOCs in time, he said.
The July 24 circular, however, clarifies that the provisions of section 18 (a) (1) (b) of the Registration Act will not be applicable to the sale or resale of residential and/or non-residential units in buildings developed by private developers on land leased by municipalities, local self-government bodies, and authorities such as MHADA, CIDCO, and MIDC. They will, however, apply to documents in the form of final purchase deed / assignment deed in the form of land and construction in the interest of the organization or company in respect of such property, the clarification said.
Raju Dhote, deputy inspector general, stamps and registration department, said the clarification had been issued after consulting the state revenue department and law and judiciary department. They had also informed the state inspector general of stamps and registration, Ravindra Binwade, about the delays and losses in revenue.
A senior officer in the state finance department said, “The finances of the state are strained because of the Ladki Bahin and other welfare schemes. Most revenue comes from urban areas and we realised that our revenue from stamps and registration in urban areas was falling. Hence, we asked the Stamps and registration department to issue the clarification.”
Frequently Asked Questions
What is the new clarification issued by the department of stamps and registration?
The department has clarified that no-objection certificates (NOCs) are not required from agencies like MHADA, MIDC, and CIDCO for the sale of flats built on their land.
Why was there confusion in April regarding the Registration Act?
The amendment to Article 18 (a)(1) (b) of the Registration Act was ambiguous, leading to the interpretation that an NOC was required from MHADA, SRA, MIDC, and CIDCO for the sale and transfer of every flat built on their property.
What impact did the confusion have on property registration?
The confusion led to procedural delays and a 70% fall in the registration of such properties. Some buyers even sought refunds of stamp duty.
Who issued the clarification and what is their position?
The clarification was issued by Dharmdev Mainkar, deputy inspector general of stamps and registration.
Why did the state finance department request the clarification?
The state finances are strained due to welfare schemes, and most revenue comes from urban areas. The department realized that revenue from stamps and registration in urban areas was falling, leading to the request for clarification.
Related News Articles
Elevating Civil Aviation: Mohol's Pioneering Role in Pune
Discover how Mohol is driving growth in Pune's civil aviation sector, with insights from Hemant Rasne, former Mayor and BJP leader.
Budget 2024: A Boost to Sustainable Growth in Real Estate
The Union Budget 2024 focuses on MSMEs, employment, skilling, youth, and middle-class, with indirect benefits to the real estate sector through job creation, infrastructure, and urban redevelopment.
Dubai Real Estate Market Sets AED 141.9 Billion Quarterly Sales Record in Q3 2024
Dubai’s real estate market achieved a significant milestone in Q3 2024, with total sales reaching AED 141.9 billion, marking a new all-time high for a single quarter. This achievement surpassed the previous record of AED 124.07 billion set in Q2 2024, ref
Elan Group Gets a Boost with Rs 1200 Crore from Kotak Real Estate Fund
The investment will serve as growth capital, helping Elan Group cement its position in the thriving real estate market of Gurugram. This strategic move is expected to accelerate the company's expansion and development projects in the region.
Delhi-NCR: The Metro City Witnessing a Massive Surge in Housing Prices
The report suggests that the price appreciation in Delhi-NCR is attributed to rising demand for high-end properties. Read more to know the details.
Radisson Resort Khopoli Launches as a Luxurious Getaway Near Mumbai and Pune
Radisson Hotel Group has expanded its footprint in Maharashtra with the opening of Radisson Resort Khopoli, offering a premium retreat for travelers near Mumbai and Pune.