A sale deed, also referred to as a conveyance deed, is a crucial document in property transactions, serving as a legal document and evidence that the sale of a property has been executed in favor of the buyer from the seller. This document provides proof that the buyer is the absolute owner of the said property. The sale deed is typically executed after the agreement to sell has been signed, and all terms and conditions outlined in the agreement have been complied with.

Preparation of the Sale Deed

The draft sale deed is prepared on a non-judicial stamp paper, in accordance with the Stamp Act of the state concerned. This document outlines the terms and conditions of the sale, including the details of the parties, the property, the sale amount, the advance payment, the dates, the mode of payment, the time for handing over the original documents, and the possession of the property. Both parties must sign the contract, which includes their complete details.

Specifications of the Property

The sale deed contains detailed specifications of the property, including the identification number, total area of the plot, details of construction, and the total amount to be paid. The document also outlines the instruments through which the transactions will be made. Additionally, the buyer’s payment of earnest money is noted in the agreement.

Seller’s Obligations

The seller is required to provide a detailed list of documents executed in favor of the buyer and certify that the property under sale is free from any encumbrance. Subject to an agreement between the parties, the seller is responsible for paying property tax, water charges, electricity charges, society maintenance charges, and other relevant payments before the execution of the sale deed.

Execution of the Sale Deed

Once all terms and conditions have been agreed upon, the sale deed is prepared. This document serves as the main instrument for the transfer of ownership of property and is executed by all parties. All pages of the document must be signed, and it is mandatory for the deed to be signed by at least two witnesses, who must provide their full names and addresses.

Registration of the Sale Deed

Under the Registration Act, the sale deed must be registered at the sub-registrar’s office, where both parties must be present, along with the original documents. If the buyer is unable to attend, they may grant a power of attorney to their agent to act on their behalf. The sale deed must be presented for registration within four months from the date of execution, and if this deadline is not met, a grace period of another four months is allowed, subject to the payment of a fine.

Responsibility for Stamp Duty and Registration Charges

Generally, the buyer is responsible for paying the stamp duty and registration charges. However, this may be negotiated between the parties and outlined in the agreement.

In conclusion, the sale deed is a critical document in property transactions, providing evidence of the sale and transfer of ownership. It is essential to ensure that the document is prepared and executed correctly, with all parties signing and witnessing the agreement. Registration of the sale deed is also crucial, and parties must comply with the relevant laws and regulations to avoid any disputes or complications.