Kiran Kiran (TL) 10 April 2012

Agp vs saledeed

Hi,

Case 1: I am planning to buy a property/flat by cash without any loan. then AGP is good or Saledeed is better? why. my assumtion is, here we can save registration amount.

Case 2: If i am going for a loan then definetely i need to make a saledeed of that flat to get loan from the bank. why the bank will not accept the AGP. here we need to pay complete registration amount. which will be higher.

What is the difference between AGP and Saledeed.

Please suggest which one would be best if we pay by cash.

Thanks in advance.

Kiran

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4 Replies

Adv.R.P.Chugh (Advocate/Legal Consultant (rpchughadvocatesupremecourt@hotmail.com)) 10 April 2012

Dear Querist,

AGP is not a valid mode of transfer of property after Oct.2011 - Supreme Court judgment in Suraj Lamp Case. Agreement to Sell/GPA would not not vest any right in you. Cash or no cash go in for Sale Deed otherwise you may lose out on your investment.

1 Like

N.K.Assumi (Advocate) 10 April 2012

Go for Deed of Conveyance. please note the recent pronouncement of the Supreme Court where the Court has deperceated the conveyance of property by Agreement for sale/GPA / Will.

1 Like

AMIT KARIA (AUTHOR & LAW OFFICER) 10 April 2012

GPA cannot replace Sale Deed.
Not executing the sale deed may seem to be a better option as it saves money, but this can have serious repurcussions in the long run.

Execute a Sale Deed, pay the applicable stamp duty and registration amount, which will help in establishing and proving your clear and free title...

Gorimaa..B (Law Student) 11 April 2012

yes Go for sale Deed and pay the applicable stamp duty and registration amount. otherwise , in future you cannt mortgage your property neither you can sell your property .