Requirements Of A Sale Deed

Sale deed

A sale deed is a legal document that transfers the ownership of a property from the seller to the buyer. It is an important document that should be drafted with care to ensure that all the necessary requirements are met. Here are the key requirements of a sale deed in India:

  1. Property Details: The sale deed should include the details of the property being sold, such as the location, plot or survey number, area, and boundaries.
  2. Names and Details of Parties: The sale deed should include the names and details of both the buyer and the seller, including their addresses, contact numbers, and PAN or Aadhaar numbers.
  3. Consideration or Sale Price: The sale deed should specify the consideration or the sale price of the property being sold. This includes any advance payment made by the buyer to the seller.
  4. Payment Terms: The payment terms should be clearly stated in the sale deed, including the mode of payment, payment schedule, and any penalties for defaulting on payments.
  5. Transfer of Title and Possession: The sale deed should specify the date on which the transfer of title and possession of the property will take place.
  6. Encumbrances and Liabilities: The sale deed should mention if there are any encumbrances or liabilities on the property, such as mortgages, loans, or liens, and the seller must ensure that all such encumbrances are cleared before the transfer of ownership.
  7. Representations and Warranties: The sale deed should include representations and warranties by the seller, such as that they have clear title to the property, that there are no legal disputes or litigations, and that the property is not subject to any easements, etc.
  8. Signatures and Witnesses: The sale deed must be signed by both the buyer and the seller in the presence of two independent witnesses. The witnesses’ details, including their names and addresses, should be mentioned in the sale deed.
  9. Registration of Sale Deed: A sale deed is a legal document that must be registered to make it enforceable in a court of law. The registration process requires both the buyer and the seller to be present, along with two witnesses. The registration fees for a sale deed may vary based on the value of the property.
  10. Stamp Duty: Stamp duty is a tax that must be paid by the buyer to the government at the time of registration of the sale deed. The stamp duty rates may vary from state to state, and they are calculated based on the market value or sale price of the property.
  11. Execution of Sale Deed: The sale deed should be executed as per the rules and regulations of the state in which the property is located. The execution of the sale deed should be done in the presence of the registrar or sub-registrar.
  12. Possession Certificate: Once the sale deed is registered and the transfer of title is complete, the buyer should obtain a possession certificate from the registrar’s office. This certificate serves as proof of ownership and can be used to transfer utility services to the buyer’s name.


A sale deed is a crucial document in a property transaction that must be drafted with care and registered to ensure that the transfer of ownership is legally enforceable. By including all the necessary requirements, such as property details, names and details of parties, sale price and payment terms, transfer of title and possession, encumbrances and liabilities, representations and warranties, signatures and witnesses, and stamp duty and execution, the sale deed can be drafted effectively to protect the interests of both parties.

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