The sale deed is a legal document that contains details of transfer of property ownership from a Seller(vendor) to a Buyer(Purchaser). This is one of the most valuable legal documents while purchasing or selling a property. It is executed at the time of actual transfer of property ownership at a sub-registrar’s office. This document needs to be registered mandatorily and is governed by the Registration Act.
It is usually drafted as a continuation of the sale agreement. All the terms and conditions mentioned in the former would be fulfilled and observed in a deed of sale. A sale deed is also otherwise known as conveyance deed. It is also a proof that the buyer is the absolute owner of the said property.
What are the typical clauses one must have in a sale deed draft?
It contains the followings,
- Date on which sale deed is being executed
- Name, Father/Husband’s Name, Age, Address and PAN card details of the Vendor(s) and Purchaser(s)
- Schedule of the property
- Title flow of the property
- Total sale consideration i.e. total sale value
- Payment schedule & mode of payment
- Vendor obligations and declarations
- Indemnification by vendor
- Non-solicitation by Vendor
- TDS details
Previous Absolute Sale Deed
Khatha certificate & Khatha extract for current year
Tax paid receipt for current year
What happens on the day of registration?
Once you decide the jurisdiction of the property and the sub-registrar an appointment at the sub-registrar office. On the day of the registration along with three Demand Drafts (DDs) you must bring original and photocopies of the following documents:
- Current year tax paid receipt
- Present year’s khatha certificate and khatha extract standing in the names of the seller(s).
- Vendor(seller) sale deed i.e. previous sale deed
- Executed sale agreement along with its stamp duty paid receipt
Both seller, buyer and two witnesses (above 22 years) should appear with I.D documents on the registration date. Everyone should carry a photocopy of the I.D.