Document background
The Agreement of Sale of Immovable Property is a fundamental document in Indian real estate transactions, essential for both residential and commercial property transfers. It is used when parties have agreed to the sale and purchase of immovable property but need to formalize the terms before executing the final sale deed. The agreement must comply with the Transfer of Property Act, 1882, Registration Act, 1908, and state-specific property laws. It typically includes comprehensive details about the property, parties involved, consideration amount, payment schedule, possession terms, and various warranties and representations. This document is particularly important as it creates a contractual obligation for the future transfer of the property and, when registered, provides certain legal rights to the purchaser. It serves as the foundation for the subsequent sale deed and is often required by financial institutions for property financing.
