In bank auctions, properties are often found 10–30% cheaper than the market rate, hence they are considered attractive and relatively secure investments.

But there are many hidden risks in these deals. Many times the title of the property is not clear or there are legal disputes going on with the old owner.

Liabilities like municipal tax, water, electricity and society dues may also have to be paid by the new buyer. The biggest risk is that of possession, because it may take a lot of time and legal process to get physical possession.

Sale Certificate, mutation and full physical possession are very important for resale.