Agreement for Sale of a House (Long Form) (India) by OLL
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Agreement for Sale of a House
This Agreement of sale made at .................. on this .............. day of ................... 20___, between A son of ..................... resident of .................. hereinafter called the vendor of the ONE PART and B son of ............................... resident of .............................. hereinafter called the purchaser of the OTHER PART.
WHEREAS the vendor is absolutely seized and possessed of or well and
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This is a detailed legal template for the sale of residential property between a seller and a buyer. It outlines key terms including the purchase price, earnest money deposit, title investigation procedures, and the timeline for completion of the sale.
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About this template
What is this template?
This document is an agreement to sell, which establishes the intent and terms of a property transfer before the final deed. It contains specific timelines for advocate-led title searches and mandates a Section 230A Income Tax clearance, which a standard sale deed does not contain.
When should you use it?
Use this when you have agreed on a price and paid earnest money but need time for title verification before the final transfer. Use a Sale Deed instead once the title is cleared and the full price is ready to be paid.
What's inside
| Clause | Name | What it does |
|---|---|---|
| 1 | Purchase Price and Encumbrances | The vendor agrees to sell the house for a specified sum of Rupees free from all encumbrances. |
| 2 | Earnest Money | The purchaser pays a sum of Rupees as earnest money, with the balance due upon execution of the conveyance deed. |
| 3 | Completion Period | The sale must be completed within a specified number of months, establishing time as the essence of the contract. |
| 4 | Title Investigation | The vendor must deliver title deeds to the purchaser's advocate within one week for investigation. |
| 5 | Refund of Earnest Money | The vendor must refund the earnest money within a specific period if the advocate finds the title is not clear. |
| 7 | Vacant Possession | The vendor agrees to hand over vacant possession of the property upon registration of the conveyance deed. |
| 8 | Breach by Purchaser | The vendor is entitled to forfeit the earnest money and resell the property if the purchaser commits a breach. |
| 11 | Tax Clearance | The vendor must obtain a clearance certificate under Section 230A of the Income Tax Act 1961 at their own cost. |
Who it's for
- a property owner in India selling a house to an individual purchaser
- an Indian real estate transaction requiring a formal period for title investigation before final conveyance
How long it runs and how it's signed
Law it's drafted under
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