Loan against Lal Dora property

loan against lal dora property“Lal Dora” villages are integral part of Delhi’s landscape. Huge constructions have taken place on “Lal Dora” villages in recent times. These constructions have resulted in large demand for Home Loans and Loan against Lal Dora Property in these areas. But, usually there is a lack of understanding among general people for “Lal Dora” Land. To solve all your queries regarding “Lal Dora” land, LoanKuber has prepared a set of FAQs on “Lal Dora” land.

Q1. What do you mean by “Lal Dora” Land?

Ans. The term “LAL DORA” was used for the first time in the year 1908. In older days, That part of the village land which was part of the village “Abadi” (Habitation) was classified as “Lal Dora”. Interestingly, “Lal Dora” land is supposed to be used for non faq1agricultural purpose only. It is that part of the land of village which was an extension of the village habitation, wherein the villagers used to have their support systems, livestock etc. In older days, Red Thread (Lal Dora in Hindi) was used to mark these areas by revenue department, to make a boundary and to distinguish it from the agricultural land.

Q2. How many villages are under “Lal Dora” in Delhi?

Ans. In all, there are 360 villages in Delhi out of which 135 are classified as urban villages and 225 as rural villages. Prominent example of “Lal Dora” villages in Delhi includes Basant gaon, Munirika, Khirki, Yusuf Sarai, Mahipalpur, Chatarpur, Lado Sarai, Mehrauli, Najafgarh etc.

faq4Q3. What are some of the problems associated with “Lal Dora” areas?

Ans. Currently, “Lal Dora” areas are facing large number of  problems like rampant illegal construction , gross commercialization, bad infrastructure, over population and unemployment . Though meant for only residential construction, rampant construction & development are part of the daily routine in these villages. Some of the common violations are construction beyond permissible limit and illegal addition of a number of floors. And this is one reason why getting a loan against Lal Dora properties are difficult.

Q4. Do I have to pay house tax on my “Lal Dora” property?

Ans. Currently, there is no house tax up to 200 sq meters plots.

Q5. Are building by laws applicable to “Lal Dora” land?faq3

Ans. Properties in “Lal Dora” lands were exempted from the building by laws, and construction norms and related regulations under Delhi Municipal Act dated 1963. This is a reason why many banks and NBFC’s avoid giving loan against Lal Dora property.

Q6. What is “Lal Dora” certificate?

Ans. This certificate is used to establish that a individual is the legal owner of a particular property/land in the “Abadi” area of a village ( i.e. area demarcated for habitation). This certificate is one of the most important document  for the purpose of getting water/power connections in a village.

loan against lal dora propertyQ7. Where I can get “Lal Dora” certificate?

Ans. To get “Lal Dora” certificate, one can visit the office of Sub-Divisional Magistrate in whose jurisdiction one resides.

Q8. What are the necessary documents to get “Lal Dora” certificate?

Ans. Documents required to get the certificate are

  •         Complete application form duly filed by the applicant
  •         Form containing complete details of land, Khasra No. and owner name.
  •         Affidavit stating details of land, Khasra No of Land,  name of the  land owner ROIand purpose for requesting for Lal Dora Certificate
  •         Aksh Sizra of the land.
  •         Xerox Copy of Ration Card
  •         Xerox Copy of Khatoni.

Q9. Do Banks and NBFC’s provides Home Loan or Loan against Property for “Lal Dora” areas?

Ans. Usually most of the Banks and NBFC’s don’t provide financing to properties in “Lal Dora” areas. We at LoanKuber can help you in getting your dream fulfill of getting a Home Loan or Loan against Lal Dora property.