what would be the clauses in the sale agreement
Querist :
Anonymous
(Querist) 03 August 2010
This query is : Resolved
My dad possess a 10 cents(=500sq.yrds) of open land in the main town of srikakulam dt.beside to it his cousins who are 3 in number, are living there since 1980.The youngest of the 3,plans to construct apartments with the help of his friends 2 in number who in the past has been involve in real estate business.It can only be possible if my dad sells the land,as aftr which both land would measured to 1000 sqyrds.he is agreed to pay Rs.40lac to my dad.The real conflict lies in the mode of payment.The purchaser wants to pay rs.5lac as an advance and later amt they wanted to pay by the end of october,2011,i.e. aftr their completion of project.My dad personally feels it would be incorrect to wait for more than 1 yr.
so kindly do tel me what would be the legal procedure to this matter.Legally by which period should realtors must pay the complete amount to the land owner.
My dad is very much interested in selling the land as with that amount he would be able to marry his 2 daughters.but he wish to know the legal procedure in selling of land to a builder.
S. Bharath
(Expert) 03 August 2010
There is no "legal procedure" as such..it all depends on what your father wants, based on which you may strike a suitable deal. Two basic options are [1] outright sale and [2] Joint Development. While your father gets the full sale price in an outright sale, he has to necessarily wait for the progress of the project to keep receiving the benefits in the event of joint development. The stages of payment, quantum and form of benefits etc vary from case to case. Please consult a good adviser, who can be your lawyer as well.
Uma parameswaran
(Expert) 03 August 2010
Generally there is no time limit for payment.Complete payment should be collect at the time of execution of sale deed .If it is part payment , the agreement should be precise about the payment and the execution of the sale deed.
