Sales Deed of the Property: When a property changes owners through a transaction, a sale deed is used as proof of the sale and transfer of ownership. This legal document is the primary means of transferring ownership and can also be referred to as the final or conveyance deed.
Sales Deed of the Property
A sale deed contains important information such as the name, age, and address of both the seller and buyer, as well as the property details, including its total area, address, and construction details. The document also specifies the final price of the property, including any advance payment paid and the mode of payment. It also includes a timeframe for the transfer of ownership to the buyer, along with all the original property documents.
Furthermore, a sale deed contains an indemnity clause, where the seller promises to pay the buyer for any damages resulting in monetary losses to the buyer in case of ownership disputes. Additionally, a default clause is included, which outlines the penalty to be paid by the defaulting party in case of any breaches.
Before a sale deed can be legalized, certain details must be included, such as the type of deed (whether it is a deed of sale or mortgage), details of the parties involved (including name, residential address, and age), and property description, including location, plot area, construction area, number of rooms, and number of balconies.
Once the sale deed is signed, the buyer gains complete ownership with all the legal rights to the property. This document is a valid proof of ownership of an immovable property, created on a non-judicial stamp paper of requisite value as set by the state government. The stamp duty and registration charges must be paid by the buyer. Before signing the sale deed, the seller must ensure that all dues related to the property, including property tax, loan on property, water, and electricity bills are paid.
The advantages of a sale deed include legal recognition of the sale transaction, clear specification of the buyer and seller’s rights and obligations, and description of the property. In case of any disputes, a registered sale deed can be used as evidence.