What is Sales Deed?

A Sales Deed is a deed by which a seller transfers his right on the property to the other, who acquires absolute ownership of the property. The buyer should ensure the title of the seller before the execution of the Sales Deed. Thus it is governed by registration Act and is an important document for both the buyer or the transferee and the seller or transfer or.

Advantages of Sales Deed

Avoids ambiguity: A Sales Deed clearly defines the acts, rights and obligations of the parties thereby reducing the ambiguity among the parties to the contract.

Provides legal protection: There is always a requirement of a legal document if the value of asset involved is high. Therefore it serves as a legal protection in the form of rental agreement.

Difference between Sale Agreement and Sale Deed

A sale agreement is an agreement in which the terms and conditions of a prospective contract of sale are listed along with the proposed consideration and details of payment. A deed of sale comes after the sale agreement and is a document which transfers all rights associated with the property from one person to another.

Steps in Sale Deed Registration

  • Sale deed of land is prepared by property documentation lawyers on behalf of their clients in accordance with the sale agreement.
  • The stamp paper on which the sale deed is registered, is purchased according to the applicable rate that varies in every state on the basis of location of the property and gender of the buyer.
  • The sale deed must mention the date on which it is registered in office of the Sub-Registrar.
  • The registration fee fixed by the government must be paid. Registration fee is dependent on the amount that the buyer is paying for the property.
  • The buyer and seller have to be physically present along with two witnesses in office of the Sub-Registrar on the date of registration.
  • If the buyer or seller are unable to appear before the Sub-Registrar, a Power of Attorney can be made to allow another person to appear on their behalf.
  • The documents required for sale deed registration include to two passport size photographs copy of Aadhar card as a form of identification of buyer and seller and ID proof of the witnesses.
  • The registered sale deed can be collected from office of the Sub-Registrar after one week is completed from the date of sale deed registration.