13/06/2025
๐ DEED OF SALE, CONDITIONAL SALE, OR CONTRACT TO SELL? Know the Difference!
When buying or selling property, the kind of document you use matters. Hereโs a quick guide to help you understand which document fits your transaction best:
๐น DEED OF ABSOLUTE SALE
This is used when the sale is final and full payment has been made. Ownership is transferred to the buyer right away.
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Best for: Cash sales or when full payment has already been settled.
๐น DEED OF CONDITIONAL SALE
This is used when ownership is transferred immediately, but with certain conditions (e.g., balance payment in installments). If the buyer fails to meet the condition, the seller may rescind the contract.
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Best for: Sales where the seller allows the buyer to take ownership early, subject to conditions.
๐น CONTRACT TO SELL
Here, the seller retains ownership until the buyer completes payment or meets agreed conditions. No ownership transfer until obligations are fulfilled.
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Best for: Installment payments or financingโprotects the seller until full payment is made.
โ๏ธ REMEMBER:
Choosing the right document helps protect both buyer and seller. Donโt sign anything without understanding its legal effect.
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