Does Your Housing Society Need to Give an NOC Before You Sell or Rent Your Flat?

Renting: intimation, not permission

Under the model bye-laws, a member renting out a flat must inform the society, at least eight days before the tenant moves in, with the details the society asks for. That is an intimation, not an approval.

What a society can legitimately ask for

• A copy of the registered leave and licence agreement.
• Proof of police verification. See tenant police verification.
• Non-occupancy charges, within the cap of 10% of service charges.
• Clearance of the owner's dues.

Selling

For a sale, the buyer applies for membership and the society processes the transfer. Buyers and banks often ask for a "no dues" letter. That confirms dues are paid, and a society should not use it to block the sale.

If the committee refuses

• Write to the committee citing the bye-law, and keep proof.
• Escalate to the deputy registrar of co-operative societies for your ward.
• See where to take a society dispute.

Frequently asked questions

Do I need an NOC from my housing society to rent out my flat in Mumbai?

No. Maharashtra has said no NOC is required. The bye-laws require you to inform the society before the tenant moves in.

Can a society charge extra when I rent out my flat?

Yes, non-occupancy charges, but they are capped at 10% of service charges.

Sources

• Madhyamam, 12 April 2022: No NOC needed from housing society to sell or rent flats in Mumbai
• ADDA: Do you need an NOC from your society to sublet?

This is general information, not legal or tax advice. Rules change, so check your own case with a lawyer or CA.

Own a flat in Mumbai, Thane or Navi Mumbai? Book a call and tell me what you are dealing with.

Warmly,
Yanik