Why is a ‘No Objection Certificate Required’?
Why is an NOC required from the building or society?
In states like Maharashtra, the flat owner and the owner of the land on which the flat stands are not the same. The flat owner is given a property by virtue of his being a member of the society or the land being allotted (and not transferred) by a development authority in his favour or the developer selling a flat built on his land.
Hence the NOC is required to safeguard the interest of the Bank from the repercussions of the five clauses mentioned above.