If you are buying a property through a home loan in Karnataka, you generally need to register both the Sale Deed and the Memorandum of Deposit of Title Deeds (MODT).
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In a typical transaction, the process is as follows:
- Register the Sale Deed at Sub-Registrar Office.
- e-Khata to be automatically transferred from the seller's name to the buyer's name (usually around 15 days).
- Register the MODT after the e-Khata is updated.
- Submit the registered Sale Deed, registered MODT and other original property documents to the bank.
- The bank releases the home loan amount to the seller.
In most cases, this entire process—from Sale Deed registration to e-Khata transfer, MODT registration and bank payment—can take around a month
The Practical Problem
This raises an important question:
Will a seller take a risk of waiting for a month to receive the sale consideration after signing and registering the Sale Deed?
In most transactions, the answer is No.
Once the seller signs the Sale Deed, most sellers does not even wait for a day for the bank to release the payment. This becomes an even bigger concern when the loan amount is substantial.
Our Real Case Study
We recently handled a property transaction where we encountered exactly this challenge.
Property Details
- Property: 3 BHK Apartment in Bengaluru
- Seller: Mr. Shomik
- Buyer: Mr. Anurag
- Sale Consideration: ₹2.96 Crore
- Home Loan Amount: ₹2.30 Crore
Since the bank was financing a large portion of the buying price, the seller was not willing to wait for the e-Khata transfer before the bank released the payment.
Therefore, we explored whether both the Sale Deed and the MODT could be registered on the same day, even though the e-Khata was still in the seller's name.
How We Registered the Sale Deed and MODT Together
To avoid any delay in the seller receiving the payment, we adopted the following approach.
- We submitted the Sale Deed application using the existing e-Khata, which was still in the seller's name.
- We also submitted the MODT application using the same e-Khata.
While preparing the MODT application in Kaveri Online Services, we found that the applicant's name could be changed from the seller to the buyer without changing the e-Khata details.
As a result, the MODT was prepared in the buyer's name while referring to the seller's existing e-Khata.
This enabled us to complete both registrations on the same day.
Registration Timeline
Both documents were registered back-to-back at the same Sub-Registrar Office.
- Sale Deed Registered: 10 July 2026
- MODT Registered: 10 July 2026
The MODT was registered immediately after the Sale Deed without waiting for the e-Khata transfer.
The registration dates shown below confirm that both documents were registered on the same day.
Below is 1st page of sale deed
Highlighted Registration Date in Sale Deed
MODT first page image
Highlighted Registration Date in MODT
Encumbrance Certificate (EC) Verification
After registration, we downloaded the latest Encumbrance Certificate (EC).
The EC correctly reflected:
- Column 5: Buyer's Name
- Column 6: Bank's Name
This confirmed that the ownership had been transferred to the buyer and the mortgage in favour of the bank had also been recorded correctly.
Bank Released the Payment Immediately
After registration, we submitted the following documents to the bank:
- Registered Sale Deed
- Registered MODT
- Updated Encumbrance Certificate (EC)
After verifying the documents, the bank immediately released the home loan amount, enabling the seller to receive the sale consideration immediately
Conclusion
- The Seller avoided the risk of non-payment and lengthy delay
- The bank released the payment immediately after sale deed & MODT registration.
- We did not face any objection from either the Sub-Registrar Office or the bank for registering the MODT using the seller's existing e-Khata.
Need Assistance with Property Registration?
Whether you're buying or selling a property through a home loan, PGN Property can assist you with end-to-end documentation and registration services, including:
- Sale Deed Registration
- MODT Registration
- e-Khata Services
- Encumbrance Certificate (EC)
Email: pgnproperties@gmail.com
Phone: +91-9742479020