What Is Sale Deed | The Details | Sale Deed Parts | Sale Agreement | How To Get Certified Copy | Things To Remember | FAQ

Are you looking to transfer your property and thereby change the ownership title? In such cases, you will need the sale deed. Several other documents serve a similar purpose like the mortgage deed and even the exchange deed. They are a part of the conveyance deed.

Whenever you are looking to sell a property, all these documents will come in handy for your use.

While each of the documents has an important role to play, the importance of the sale deed is undisputed. It is mandatory to register the sale deed as per the Indian registration act. If you don’t do this, the sale of the property will not be legal and the ownership papers will not be considered legally transferred.

So, if you are not aware of the particulars of the sale deed, here are the details you will have to be acquainted with. We will share all the key particulars with regards to what is the sale deed, the format of the document, and the meaning and related aspects.

What Is A Sale Deed?

A sale deed is a legal document whose key purpose is to ensure that the seller of the property will be able to transfer the ownership rights in the name of the buyer. The document has to be registered at the local sub-registrar’s office after the initial draft has been done. The registering of a sale deed is one of the important and compulsory steps. As long as this deed isn’t duly registered, the buyer will not become the lawful owner of the property and he will not be deemed as the owner in the eyes of the law.

The Details Of The Sale Deed

In the sale deed, the seller is referred to as the vendor, the buyer will be called the vendee. When making a sale deed, there are several things that one needs to take care of. A plethora of parameters and a lot of rules have to be followed for the sake of drafting the sales deed aptly.

 It needs to adhere to the Transfer of Property Act and there are different clauses written in it and the sale deed needs to follow all of them. Always remember to follow the different protocols and the details when you are making the sale deed. You should check these details for the sake of ensuring that your drafted sale deed will be accurate enough for your use.

Along with this, you will also need a lot of different documents when you are drafting the sale deed. Make sure that you have noted all these aspects diligently as it is only then that you will be able to get the right answer to all your problems. When your draft is complete and you are sure that you have added all clauses, you then need to register it at the local sub-registrar’s office. Along with this, you will also need to pay the stamp duty charges as well. The actual rate of stamp duty is going to vary from one state to another. So, make sure you check the amount you need to pay and then pay it accordingly.

The Parts Of A Sale Deed 

Now that we have given you a basic introduction of what the sale deed is, let us get into further details. We want you to know the different parts of the sale deed. This information will better prepare you into knowing what the deed should comprise and the type of details that it should have.

 So let us take a look at the different components and then make sure that you take these details into account when drafting the sale deed.

 Party details

Make sure to have full details of the name of both the parties involved along with the age and contact number. In the sale deed draft that you make, always double-check that you have recorded complete details of both the buyer and seller of the property.

The property details

As the purpose of this document is to talk about the ownership of the property, you have to be sure that you are incorporating the complete details of the property in it. You should enclose the details of the full address of the property along with the dimension, the construction area, and the other related details as well.

The indemnity clause 

This clause is added to the property to ensure that sellers can free the buyers from all previous liabilities about the property. This ensures that sellers will pay off the mortgages and loans before they decide to finally sell off the property to the buyer.

 The payment terms 

It is important to list the price at which the property is being sold. The sale deed shouldn’t just have the details of the sale price of the property but it should also cover details like the amount of advance payment that was made and the instalment amount, frequency, and period along with the interest charged. In short, the complete details of the payment terms should be listed well.

 Payment Mode 

There are different modes by which payment can be made. One can pay for the property using cash, cheque, bank transfer, and other supported methods as well. The sale deed should mention the different payment modes you will be opting for.

 The Property Possession 

The sale deed should mention the date when the buyer will be able to get possession of the property.

 Property Witness

As many as two witnesses are mandatory for the sake of completing the process of the deed. One witness should be present from either side for the sake of signing the deed. The witnesses should be able to share the complete details of their contact information.

These are the different components of the deed. When you are drafting the sale deed, you should ensure that all the above components are present in it. The absence of any of the above aspects will lead to an erroneous format or incomplete sale deed.

You should offer complete detail of any defects that may be present with regard to disputes, choice of material, liabilities and more. The property should have complete tax clearance and there shouldn’t be any pending overhead on it. If anything of this like is present, the details should be listed in the sale deed.

What Is The Difference Between A Sale Deed And A Sale Agreement?

Sometimes people tend to confuse the sale deed and the sale agreement. Here, we will dissect the details so you know what the terms denote.

Sale Agreement

 A sale agreement is a document which is indicative of the sale of the property at some time in future. Until and unless the property is sold, the risk and responsibility will be borne by the seller. The sale deed on the other hand links the responsibility and risk to the buyer. 

Therefore, the sale agreement is a document that will be executed somewhere in the future. A sale deed has already been executed. An important point of difference to be noted is that the sale deed has to be registered mandatorily. But the sale agreement may or may not be registered. It is not mandatory to be registered and depends on the discretion of the buyer and seller. 

The sale deed is a much more detailed agreement that outlines several aspects and covers too many details. The sale agreement on the other hand only outlines the terms and conditions. Based on these, the property sale will be executed. 

So, these are the details of the sale agreement and the key differences with the sale deed.

How To Get A Certified Copy Of Sale Deed? 

It is one of the most important documents and should be well maintained and kept properly. However, in case the deed is lost, the owner needs to file a complaint at the closest police station.

sale deed
Source: Ragma Images / Shutterstock

 Here is the next set of steps that you need to follow.

  • First of all, you need to file the FIR
  • Now, the owner will get a non-traceable certificate
  • The next step is to publish the loss of deed in the newspaper. Make sure to include all the important details in the advertisement
  • Now you must file an affidavit and the application to the sub-registrar office. They will give you a certified copy of the sale deed

Make sure that when you reach the sub-registrar office, you have all the important documents ready with you. The affidavit should have the attached signed undertaking. It should state that the submitted details and facts are all genuine and accurate.

You will also need to pay a fee to get a certified copy of the deed. When the whole process is done, the deed is issued in a period of 2 to 4 weeks.

The Things To Remember

When you are executing this deed, you have to understand that it is a very vital document. Here are some important things that you must remember. Here are the salient tips.

  • The deed must have a clause that clearly states that the ownership rights will be transferred to the buyer the moment the purchase gets completed
  • You must ensure that the title of the property is free of all sorts of encumbrances
  • When you head to the registrar’s office, he needs to verify the encumbrance status and confirm it. The last thing any buyer wants is to take liabilities along with a property that he didn’t opt for.
  • Always check that all kinds of utility bills including water, electricity, and even the property tax has been duly paid. There should be no unwanted dues left
  • Also, check out for the payment of maintenance charges and any other dues that may be present
  • The sale deed should underline the terms and conditions that were followed when the property was sold
  • The sale deed should never be confused with the sale agreement as they are two entirely different things and serve different purposes. One cannot be substituted for the other and each one has its role to play.

So, these are some of the important things that you must remember for the sake of being sure that you are performing and executing the sale deed in the right manner.


Why do you need the sale deed?

The sale deed is an important document and it helps in listing down the terms and conditions of the sale of property in a clear manner. It is the document that usually succeeds the sale agreement. While it is mandatory to have it registered, the sale agreement may or may not be registered. The deed is an absolutely must document to have whenever property buying or selling is involved. There are several other documents too like the completion certificate, sale agreement, and more.

Do you need to register the sale agreement?

You can choose to register the sale agreement at the sub registrar’s office but it is not compulsory to do so. It is advised to do the registration as it will help you verify that there are no encumbrances or dues of other kinds on the property.

Can you buy a property that comes without the deed?

While you can buy a property without a deed, it is never advised to do so. Doing so can be risky because there is a lot of vital information that is contained in the document. This is why you should ensure that you check the details of these documents well.

Is this document executed at the time of making?

Yes, the sale deed is executed at the time of making. The sale agreement is to be executed sometime in the future. It outlines the details of terms and conditions and the agreement gets valid as soon as the purchase is made final.