Agreement of Sale and Sale Deed Difference
Agreement Sale of sale is a contract between seller and purchaser. In ordinary agreement of sale in which one party promises to sell the landed property or building to another and the other person agrees to buy it. It contains terms in which one/more persons will promise to sell and the purchaser or purchaser acceptance to buy. Normally the agreement of sale need not to be registered. It is better to register the an agreement of sale before concerned sub-registrar’s office by paying stamp duty. The agreement of sale should be in 100 Rupees stamp paper.
An Agreement of sale is valid for 3 years from the date of its signing if there are no conditions in the agreement. Basically A sale Agreement shall be an undertaking from either side to execute a Sale Deed.
A sale Deed is different from Agreement of sale. In a Sale Deed, the title of the property will be transferred and along with the possession. A Sale Deed is to be registered with the Sub-Registrar at his office, within the jurisdiction where the property actually situates and has to pay stamp duty as each state.
Unilaterally a Sale Deed cannot be cancelled whereas a Agreement of sale can be terminated for the reasons set forth in the Agreement after giving noitce. Before purchasing the property it is necessary for verification of documents along with link documents with attorney and obtain legal opinion.
Commercial Land or Proertry.
Commercial properties fall into many categories and includes industrial properties, shopping centers, farms, offices, office buildings, industrial property, medical centers, hotels, malls,retail stores, farm land, multifamily housing buildings, warehouses, and garages. The land or property will used for commercial purpose. A land or property which is used for the purposes of carrying out commercial (profit making) activity or business.
For to purchase commercial land or property you required due diligence before purchasing property or entering into joint ventures.
Documents from Revenue Department
If you are purchasing an agricultural property it necessary to get documents of title and revenue records from the revenue officer concern. An encumbrance certificate is an important document that helps to ascertain whether the property is free from all claims such as, mortgages, leases, unpaid debts etc. Encumbrance certificate can be obtained from Sub-Registrar’s office. The encumbrance certificate should at least from last 30 years..
Contact our lawyers for knowing more details about documents from Revenue Department.
Documents from Municipal corporation or urban development authority.
Before purchasing any property or entering joint ventures obtain the land use certificate from urban development authority or concern authority. This documents gives nature of the land I;e weather the land is in water body, recreation zone, agricultural land, government land, Industrial or private land. If it is agricultural land it as to be converted from agriculture to non-agriculture. The agricultural land shall be used for agriculture purpose only. If it is water body the land vest with government and it cannot used. If it is in recreation zone one cannot construct multiple complexes, ther land cannot be developed.
When you need a legal assistance of a lawyer for protection of your rights Aequitasjuris Real Estate Legal Services is here to help