Sale Deed - Explained in Hindi - YouTube

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Namaskar, my name is Mukul

And you are welcome to the Asset Yogi

Where we unlock the knowledge of real estate and finance

Whenever you buy or sell any property

Then the sale deed is the most important document

To transfer the ownership

In this video, I am going to talk to you in detail about what a sale deed is.

And what are its legal requirements?

How should you execute the sale deed? What are the important clauses?

What are the things that you should keep in mind before executing the sale deed?

What is the correct process of executing the sale deed and registering it?

So please watch the video from the start till the end

So that you will not miss any important point

Let's go straight towards the blackboard

So in this video, we will learn

What is a sale deed?

What are its important clauses?

What are the things that you should keep in mind while you are executing the sale deed?

And how the sale deeds are executed?

And what is its process?

So if we want to know about the sale deed

That what is a sale deed

Then for that, firstly we need to understand that what is the exact

process of buying the property? So assume this is a property

And you want to buy it. Then what you have to do is

First of all, you have to negotiate the price with the seller

So once you have negotiated the price

And you have agreed to the price as a buyer

After that, you have to pay an advance

Generally, the advance is

10% of the sale price.

So assume you have decided the advance

And you've paid it to the seller

After that, you will sign an agreement to sell

With the seller

The terms and conditions of sale are written

in this agreement to sale

So how will you make the payment?

And what will be the schedule for the rest of the payment?

Generally, the payment schedule is

You get 2 to 3 months for the final payment

So assume you have got 3 months for the final payment

So once you have made the full payment

After that only the sale deed will be signed

So I will tell you some more about this agreement to sell

The agreement to sell is not the sale deed

All the terms and conditions are written in this that how the payment will be done

And assume if the buyer does default then in that case what damages are to be paid.

And assume if the seller does default then

What damages should be paid by him to the buyer?

So the sale deed is the final document

Under which, your ownership rights gets transferred

The ownership right

is transferred from the seller to the buyer

So if you are a buyer and

If you have done your sale deed then you will be its complete owner.

And your complete ownership is considered legally

Only when you get it registered

At the registrar's office.

So this registration is very important to prove your ownership rights

So we will do a recap

The sale deed establishes your ownership rights

The ownership is transferred

From the seller to the buyer but on the payment of consideration

So we have seen here

That you will make payment as per the scheduled payment

Then whatever the payment consideration is, it is written in the sale deed

And once the sale deed is executed

After that, all the rights are transferred to you as a buyer.

Right to use the property

You can use that property in any way. You can lease out that property.

This means you can give it on rent.

You can mortgage that property.

You can take a loan against that property.

And you can also sell that property

A sale deed is a form of Conveyance Deed

It is not exactly a conveyance deed

But it is a conveyance deed in a way

Because conveyance can be of other types also

Like gift deed, will, lease deed, mortgage deed

So, the sale deed is that type of conveyance deed through which

Ownership rights are transferred.

And the other conveyance deed I have given example about

A different type of right is conveyed by them.

For example, if I talk about the lease deed

Then in that, you give your house on rent to someone

So the right is transferred for him to live there

The ownership right is not transferred. So I think that the concept of the sale deed is clear to you.

Now I will talk about some important clauses in the sale deed

So now we will see some essential elements of the sale deed

Firstly, you have to enter the details of parties in the sale deed

The details of buyers and sellers come in that

Name, age, father's name, and address

The details of both the buyer and sellers come in the sale deed

After that, the schedule of property comes

What is the meaning of the schedule of property?

Where is the property located and what is its address

What is its description assume what is the orientation of the plot?

Or what is the orientation of the flat?

Or how much is its area?

Or what are the details of its construction?

After that, the payment details come under the sale deed

What is the agreed sale price between the buyer and the seller?

How much was paid in advance?

And on which date, what payment was made?

The details of the cheque come under that.

If the payment was done online

Then those details come under that

After that, the time at which the original property papers will be handed over

Those details come. And when will they get possession?

When will the seller give the possession to the buyer? The exact date is written on that.

And you have to ensure one very important thing in the sale deed

A clause is written in that

That there is no encumbrance or liens against the property

This means that the seller is ensuring you that he has no loans

If the home loan is going on then he has paid off the loan. Or there are no dues of

the property tax or there is no maintenance due. So there shouldn't be any tax

or any type of liabilities in that. After that, an indemnity clause is put

The seller indemnify you that if there is some damage

caused to you because of him then he will pay you.

So these are the important elements in the sale deed

to which you should pay attention

Now we will see that

What extra precautions you should take

When you buy a property or you go to execute any sale deed

So what are the things that you should keep in mind?

Firstly, you should ensure that the title of the property is clear

It doesn't have any liabilities.

It doesn't have any encumbrances. It doesn't have any liens

And you have to take a complete chain of title

And let's say you find out the history of 20 to 30 years

How was it transferred?

Sometimes in some properties, there occurs some litigation

Then the third party can also claim the charge.

Assume there is a legal heir in some property

And he didn't get his share

He can make a claim.

So if there is this type of claim

Then you should have a judgment in his support

So you must ensure these things.

Otherwise, you can be stuck in litigation

And if you buy a disputed property then it will be a big problem.

The second precaution is

No encumbrances and liens. So as I have talked about it earlier too

There shouldn't be any loan or liability on that property.

Assume a tax is due or there's some property tax due.

Society maintenance is due. Or there's a loan due

Then all these should be paid off

Along with that, the seller has to indemnify you that if there's some claim

in the future then he will clear that and he will be responsible for that.

Once you've ensured that there is no charges or liabilities from any third party

Then you have to pay attention to one more thing

You have to see that there shouldn't be any ambiguities in the sale deed.

Like there shouldn't be any conditional clause.

Basically, no conditions.

Sometimes what happens if someone put these types of clauses

Assume this sale deed is subjected to XYZ. Then it becomes a conditional sale deed.

Then the absolute title is not transferred to you.

So you have to keep this thing in mind that there shouldn't be any conditions.

There should be an absolute title transfer

from the seller to the buyer.

So this was about the things that you should keep in mind

when you execute the sale deed

Now we will learn what is the exact process of executing the sale deed?

So how the sale deed is executed.

First of all, you get the draft sale deed prepared

from any legal expert, lawyer, or advocate

And both the buyer and the seller agree to the terms and the conditions.

After that, the stamp duty is paid generally by the buyer.

So this stamp duty

is generally 4 to 10% of the property value.

This varies in every state.

This varies from 4 to 10% of the property value in the Indian states

So whatever the value is in your state,

you have to pay for that.

After that, signatures of the buyer and seller are done

So this is executed with the signatures of the buyer and the seller

Thumbprints are taken

Generally, there are two witnesses

And this is preferable that there should be one witness of the buyer

And there should be one witness of the seller

After that, the sale deed is registered

in the registrar's office

And when the registration is done at the office of the sub-registrar

The seller has to present the original documents in front of the sub-registrar

After that, assume if the buyer is not present due to some reasons

If there is some personal emergency

Then he can give power of attorney to someone

So the power of attorney will bring the documents and present them to the registrar office

That is also legally valid.

Other than that, the sale deed should be registered within 4 months

from the date of signing the sale deed

And the stamp duty and registration charges are to be bear by the buyer

And the seller doesn't bear them. And all these clauses are also written in the agreement to sale

So I think after watching the video you have got the idea of what is a sale deed

What is the registration process of the property?

And what are the things that you should keep in mind

when you go to execute the sale deed or you go to buy any property

So that's all for this video

If you want to suggest any topic related to finance and investment

Then please comment below

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Till then keep learning, keep earning

And be happy as always.