What is Sale Deed ?
In a property transaction, a sale deed Registration is required to prove that the property has been sold and is being transferred from a seller to a buyer. It is also known as a conveyance deed. Immovable property can also be proven to be owned with it.
State governments set a predetermined value for the sale deed registration in India. Stamp duty and registration charges must be paid by the buyer. Before the sale deed is signed off, all property dues, such as loans, taxes, and bills, need to be paid. The terms and conditions of the sale deed registration must be agreed to by both parties before the property can be officially transferred.
What is the proper way to write a sale deed?
Details to be included in a sale deed
- Deed type
- Both parties’ basic details such as name, age, and address
- An outline of the property, including the date of construction, number of rooms, and area occupied by the property
- In the sales agreement, the seller agrees to transfer ownership and legal rights to the buyer, and also specifies the terms of payment, advance payments, etc.
- The seller’s considerations refer to the requirements for possession and delivery of the property together with the original documents, the specifics of the transactions in figures and numbers, and the receipt for the transaction.
- The seller provides an indemnity clause guaranteeing payment to the buyer for monetary losses incurred due to ownership disputes.
- Default clauses in sale deeds impose penalties on the defaulting party to prevent the terms and conditions of the sale from being violated.
How a sale deed is drafted
- Finding a lawyer, understanding the process and evaluating your needs
- Accordingly, the lawyer will prepare a draft for evaluation based on the requirements
- An approved draft needs to be printed on a non-judicial stamp paper after it has been properly evaluated and approved
- Submission and registration of documents with the sub-registrars under whose jurisdiction the property is located.
- Two witnesses must sign the documents at the sub-registrar’s office and the registration fees as well as stamp duty must be paid in order to obtain the registered deed.
- Dispatch deed, title deed, conveyance deed
- The power of attorney
- A statutory authority has sanctioned the building plan
- Letters of allocation and NOCs from the housing board/apartment association
- Latest paid tax receipts, electricity bills, etc
- Documents related to real estate, such as loans, mortgages, and contracts, as well as a copy of all previous registered agreements.
- Documents that prove ownership of a property
- Agreement of sale
What is the process of getting a certified copy of a sale deed?
A sale deed is an important document for the sale or purchase of a fixed property. The registrar’s office or sub registrar’s office can provide a true and certified copy of the sale deed in case it gets lost, stolen or damaged. An FIR must be filed at the police station if the papers are lost or stolen.
A certified copy of the sale deed can be obtained by visiting the Sub registrar’s office in the state where the property is registered and submitting the application along with affidavits and essential documents. A copy of the sale deed will be issued by the Sub-Registrar office within a few days after verification. Charges vary from state to state.
Sale Agreement vs Sale Deed
|Sale Agreement||Sale Deed|
|Property ownership can be transferred only on the promise of a future transfer||Transferring ownership of real estate|
|The sale deed details the terms and conditions both parties must follow.||Names and addresses of the buyer and seller (both)|
|It precedes the sale deed and is signed by both the buyer and seller for its execution. It grants the buyer the right to purchase upon the fulfillment of certain conditions.||In exchange for stamp duty and registration fees, the buyer obtains the rights to the property.|
What are the benefits of having a Sale Deed?
- In the case of a dispute, it serves as evidence of the transfer of property
- Describes the rights and obligations of both parties
- Legal risks and ambiguities can be avoided with a well-drafted deed
- Determines how big the property is that is being purchased
- Streamlines and stabilizes the transfer process
Sales agreements: what you need to know
An important document to have is a sale agreement, for instance, because it serves as a legal proof of property transfer. In addition to assisting in the application for a home loan, it ensures that all of the terms and conditions outlined in the sale deed are followed by both parties. Without a sale agreement, the bank might not accept the application. parties. By the wish of the other party, any party who flouts the rules will be taken to court.