The Changes in Agreement to Sell
Feb 18, 2019 Real Estate News
When a buyer thinks of taking a plunge in the property market and investing in real estate, most of the time they are clueless about the terms used in the agreement of in general the sales of the property. For instance, most of us have an impression that sales deed and agreement to sell is the same thing. But in reality, they are very different.
The agreement of sell lists down all the terms and conditions that are required to complete the sales of the property. While the sales deed is the document that specifies that the sale is complete.
One thing to note is that the India constitution does not mention anything about the written sales agreement. It needs to be duly registered under Indian contract Act, 1872. In case you failed to do the same, the contract may be deemed invalid as it has no legal validity.
The new age sales agreement makes a difference. There is no limit to the clause that you can have in the agreement, it depends on the buyer and the seller to add in the agreement.
Initially, the sales agreement only held details like the buyer and seller’s name, address, PAN, number of parties involved, mode of payment, the time within which the transaction must be complete. The buyers and sellers are now willing to add further information in the sales deed to avoid any confusion in the future.
The agreement of sell lists down all the terms and conditions that are required to complete the sales of the property. While the sales deed is the document that specifies that the sale is complete.
One thing to note is that the India constitution does not mention anything about the written sales agreement. It needs to be duly registered under Indian contract Act, 1872. In case you failed to do the same, the contract may be deemed invalid as it has no legal validity.
The new age sales agreement makes a difference. There is no limit to the clause that you can have in the agreement, it depends on the buyer and the seller to add in the agreement.
Initially, the sales agreement only held details like the buyer and seller’s name, address, PAN, number of parties involved, mode of payment, the time within which the transaction must be complete. The buyers and sellers are now willing to add further information in the sales deed to avoid any confusion in the future.
Home loan
Since the cost of the properties is rising, it has become impossible for a common man to buy the property without taking a home loan. The buyers and sellers put the home loan information in the agreement of sales to be aware of the nature of the payment. Form the amount of loan taken, to the bank paying the loan amount, all the details are mentioned in the agreement of sales.Utilities
The housing societies now offer variety of utilities to the home owners given they pay the annual fees of the same. When the buyer purchases the resale property, they mention it in the clause that they have already covered the membership and utilities charges in the sales and are not liable to pay more for the same.Stamp duty
States have different stamp duties. Some even offer lower stamp duty rates if the buyer is a woman. However, the buyer is not legally bound to pay for the stamp duty. The buyer and the seller can share the stamp duty charges or the seller can offer to pay for the same. The details of the stamp duty are now mentioned in the agreement of the sales.Looking for property portal?
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