INDIAN LEGAL DOCUMENT DRAFTS

Agreement to Sell Format – Property Sale Agreement India (Free Draft)

Draft an agreement to sell with advance amount, balance payment timeline, title checks, default and refund terms, and the right to specific performance. The balance amount is calculated and written in words for you.

Last reviewed: 30 October 2026 · LawLine Editorial Team

Property & TenancyStatute: Indian Contract Act, 1872; Transfer of Property Act, 1882 (Sections 53A, 54); Specific Relief Act, 1963 (Section 10); Registration Act, 1908 (Section 17(1A)); Limitation Act, 1963 (Article 54)

An agreement to sell records the price and conditions on which the seller will later execute a sale deed. It does not transfer ownership (Section 54 TPA). It gives the buyer a contractual right that can be enforced in court through a suit for specific performance.

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Seller Full NameParties

Seller Age, Parent/Spouse Name & AddressParties

Buyer Full NameParties

Buyer Age, Parent/Spouse Name & AddressParties

Property Description with BoundariesProperty Schedule

Total Sale Price (₹)Commercial & Financial

Advance / Earnest Money Paid Today (₹)Commercial & Financial

How the Advance Was PaidCommercial & Financial

Days to Pay Balance & Register Sale DeedTerms & Execution

Amount Forfeited if Buyer Defaults (% of price)Terms & Execution

Place of ExecutionTerms & Execution

Key clauses and fields

Parties and description of property

Total price, advance (earnest money) and balance

Date by which the sale deed will be executed

Seller duties: title documents, encumbrance certificate, NOCs, loan closure

Consequences of default by buyer or seller

Specific performance and dispute resolution

State Stamp Duty & Registration Guide

State Stamp Acts

Stamp Paper Denomination:Agreement rate per State schedule; conveyance rate (Article 25) may apply if possession is given

Registration Requirement:Optional, but compulsory to claim Section 53A protection where possession is handed over

Note: Ready reckoner value applies; verify on IGR Maharashtra

Advocate Customization & Sub-Registrar Filing

Need tailored clauses or help with execution? Obtain advice from an appropriately qualified professional and independently verify their credentials and fees.

Draft for reviewIndian Contract Act, 1872; Transfer of Property Act, 1882 (Sections 53A, 54); Specific Relief Act, 1963 (Section 10); Registration Act, 1908 (Section 17(1A)); Limitation Act, 1963 (Article 54)

Print on:Stamp / e-stamp paperPlain paper (review draft)SizeBlank top space for stampmmSignature line on every page

Click into the document to change any word. Stamp mode leaves the top of page 1 blank for the printed stamp, uses a wide left margin and numbers every page. Buy the correct stamp value for your state before printing.

ILLUSTRATIVE DOCUMENT PREVIEW

NOT A GOVERNMENT CERTIFICATE OR PAID STAMP

Obtain any required stamp from an authorised channel

AGREEMENT TO SELL

This Agreement to Sell is made at Jaipur on this ____ day of ____________, 20____ between:

Anil Sharma, aged about 52 years, son of Mr. R. K. Sharma, residing at B-12, Shastri Nagar, Jaipur, Rajasthan – 302016 (hereinafter the "SELLER", including heirs, legal representatives and assigns) of the FIRST PART;

AND

Kavita Joshi, aged about 38 years, wife of Mr. Manoj Joshi, residing at 45, Vaishali Nagar, Jaipur, Rajasthan – 302021 (hereinafter the "BUYER", including heirs, legal representatives and assigns) of the SECOND PART.

WHEREAS the Seller is the absolute owner of the property described in the Schedule ("Property") and has agreed to sell it to the Buyer, and the Buyer has agreed to buy it, on the terms below.

NOW IT IS AGREED AS FOLLOWS:

1. PRICE
The total sale price is ₹60,00,000 (Rupees Sixty Lakh only).

2. ADVANCE
The Buyer has paid ₹6,00,000 (Rupees Six Lakh only) as advance and earnest money by NEFT (UTR SBIN0000987654) dated the date of this agreement, which the Seller acknowledges.

3. BALANCE AND COMPLETION
3.1 The balance of ₹54,00,000 (Rupees Fifty Four Lakh only) shall be paid on or before the expiry of 90 days from the date of this Agreement, against execution and registration of the sale deed in favour of the Buyer or the Buyer's nominee.
3.2 Time is of the essence for the completion date, which may be extended only by written agreement of both parties.
3.3 Where the price or stamp duty value is ₹50,00,000 or more, the Buyer shall deduct TDS at 1% from the balance and deposit it in the Seller's PAN as required by law.

4. SELLER'S OBLIGATIONS
Within 15 days of this Agreement the Seller shall provide copies of all title deeds, the encumbrance certificate, latest tax receipts and approved plans. Before the sale deed is registered the Seller shall, at the Seller's cost:
(a) clear any mortgage or loan on the Property and obtain the original documents;
(b) obtain any NOC required from the society, development authority or other body;
(c) pay all taxes and dues up to the date of the sale deed.

5. BUYER'S RIGHT TO VERIFY TITLE
If the Buyer's advocate finds a defect in title that the Seller does not cure within 30 days of written notice, the Buyer may cancel this Agreement and the Seller shall refund the full advance within 15 days, failing which it shall carry interest at 12% per annum.

6. DEFAULT
6.1 If the Buyer fails to pay the balance within the agreed time despite the Seller being ready and willing to perform, the Seller may cancel this Agreement by written notice, forfeit ₹3,00,000 (Rupees Three Lakh only) (5% of the price, limited to the advance) as reasonable pre-estimated damages, and refund the remaining advance within 15 days.
6.2 If the Seller fails or refuses to execute the sale deed, the Buyer may (a) sue for specific performance under the Specific Relief Act, 1963, or (b) cancel and recover the advance with interest at 12% per annum and any damages allowed by law.

7. POSSESSION
Vacant physical possession shall be delivered on registration of the sale deed. Until then the Seller remains responsible for the Property.

8. NO FURTHER DEALINGS
While this Agreement is in force, the Seller shall not sell, mortgage, lease or otherwise deal with the Property or enter into any agreement with anyone else for it.

9. COSTS
Stamp duty and registration charges for the sale deed shall be borne by the Buyer. Each party bears its own advocate fees.

10. DISPUTES
Courts at Jaipur have jurisdiction. The parties may also refer disputes to mediation before filing suit.

SCHEDULE OF PROPERTY
Residential house on Plot No. 87, Malviya Nagar Sector 6, Jaipur – 302017, plot area 200 sq. yards, with ground and first floor construction. Bounded — North: 30 ft. road; South: Plot No. 92; East: Plot No. 86; West: Plot No. 88.

IN WITNESS WHEREOF the parties have signed this Agreement on the date and place first written above.

SELLER                                     BUYER
_______________________                    _______________________
Anil Sharma                            Kavita Joshi

WITNESSES:
1. Name & address: ____________________   Signature: __________
2. Name & address: ____________________   Signature: __________

Draft ID: LAWLINE-AGREEMENT-TO-SELLDraft for review by an advocate; an agreement to sell does not transfer ownership

What an agreement to sell does — and does not do

It fixes the price, advance and timeline, and binds both parties. It does not make the buyer the owner. Ownership passes only through a registered sale deed (Section 54 TPA).

If the seller backs out, the buyer can file a suit for specific performance. After the 2018 amendment to Section 10 of the Specific Relief Act, courts grant specific performance as a rule rather than at their discretion, subject to the limits in the Act. The suit must be filed within three years (Article 54, Limitation Act).

Advance and forfeiture

Keep the advance reasonable, often 5–10% of the price, and pay it through a bank. Courts generally allow forfeiture of a genuine earnest-money deposit. A large advance labelled as earnest money may be treated as part payment, and the seller may be allowed to keep only actual loss (Kailash Nath Associates v. DDA, 2015).

Registration and Section 53A

If the buyer takes possession before the sale deed, the agreement must be registered for the buyer to claim protection under Section 53A TPA (part performance). Without registration, that protection is lost.

Check the stamp duty for agreements in your State; some charge the full conveyance rate if possession is given.
Note the agreement in the Buyer's bank loan file; lenders usually need it.

Frequently asked questions

Does an agreement to sell make me the owner?

No. Ownership passes only through a registered sale deed. The agreement gives you a right to sue for specific performance.

Is it compulsory to register an agreement to sell?

Generally optional, but it must be registered if you take possession and want protection under Section 53A of the Transfer of Property Act.

How long do I have to sue if the seller backs out?

Three years from the date fixed for performance, or from when the seller refuses if no date was fixed (Article 54, Limitation Act).

Can the seller keep my whole advance if I default?

Only a reasonable earnest-money amount. Courts may order refund of an excessive forfeiture beyond actual loss.

Related formats

Official sources

This page gives general information, not legal advice. Forms, fees and timelines are set by each State and can change — confirm on your State portal before applying.

Not sure where your issue fits? Start with the basics. You can find a verified advocate, compare options through our ask a lawyer a free question, or go straight to free legal document formats. Always cross-check rules on the India Code for official Bare Acts and the e-Courts case status services before you act.