Sale deed vs agreement to sell — what you're signing
In a property deal, two documents get mentioned that sound almost the same: an "agreement to sell" and a "sale deed". People sign them without being sure which does what. The difference is not a technicality. One is a promise. The other actually transfers the property. Knowing which one you are signing tells you exactly where you stand.
Agreement to sell: the promise
An agreement to sell is a contract saying a sale will happen on agreed terms. It sets the price, the timeline, and the conditions to be met — clearing a loan, or getting approvals. It sets out the deal, but by itself it does not make you the owner. It is the commitment stage, often with an advance paid, and it is what you rely on if the other side later tries to back out.
Sale deed: the actual transfer
The sale deed is the document that transfers ownership to you. It is executed when the terms are met. It is signed, stamped and registered, and it is what makes you the legal owner. Until the sale deed is registered, you have a promise, not the property.
Paying on an agreement does not make you the owner
People sometimes pay large amounts on an agreement to sell and assume they own the place. They do not, yet. Knowing which stage you are at tells you what protection you have and what still has to happen. Registration and stamp duty attach to the sale deed, and getting that step right is essential.
When to bring in a lawyer
For anything beyond a simple, clear deal, a lawyer should read these documents before you sign, because the wording decides your rights. Tell Miss Lucy Lite what you have been given and she will explain which document it is and what it means.
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