What is the Difference Between Sale Deed and Title Deed?

What Is Difference Between Sale Deed and Title Deed

Confused between a sale deed and a title deed? Let us help you know the difference between them.

While going through the property hunt and registration process, a question arises: what is the difference between sale deed and title deed? No such thing as a deed of title exists as a paper, and a deed is not a document, despite its appearance. With a title deed, the seller transfers ownership of a specific property to the buyer. A title deed can include the following rights: title, enjoyment, control, exclusion, and disposition.

On the other hand, a sale deed is a tangible document containing a legal notification transferring ownership to the owner. After agreeing, the buyer and seller will construct a real estate deal to formalize the ownership conversion process. A document of sale is necessary for this situation. An example document from the seller granting you ownership of the subject property will be sent to you upon completing the registration process and purchasing the property.

What is Sale Deed?

An official document known as a “sale deed” transfers property ownership from one person to another. When a buyer and a seller contend in a property transaction, they must formalize the procedure to show that the specific property will change hands. A “deed of sale” must be prepared and include all information relevant to the transaction.

  • The sale deed has to be legally registered.
  • This deed of sale, once registered, serves as the buyer’s official proof of ownership transfer.
  • A bill of sale turns into a deed of title at this moment. Once it demonstrates the buyer’s ownership, this document automatically becomes proof of ownership.
  • This document also implies the transfer of ownership of this property.
  • The sale deed, which grants the buyer ownership of the subject property, is delivered to the buyer as a paper.
  • Following the registration of the property, the sale deed takes place. A deed of sale is a formal document that transfers property ownership to the new owner.
  • The registered deed of sale is a document that transfers ownership of the subject property to the purchaser.
  • The moment the deed of sale is recorded, it transforms into a title deed.

Securities also have a connection to deeds of sale. As a result, a sales invoice for a new listing is created using all the data about an asset. The ultimate goal of a sale deed is to declare that title to a certain property has been granted to the new owner or that specific property has been transferred to that person. The parties must prove prior ownership and transfer title to the property at the time of registration. Deeds of sale and deeds of title are so distinct from one another.

What is Title Deed?

There is no actual document that defines a title as a deed; it is only an idea. It is only a claim; there is no consensus here. It only shows who is legally in charge of a certain property. The title deed also describes the owner’s rights, responsibilities, and obligations regarding the mortgage.

The title is the formal way of claiming ownership of the property and its ability to use it. You may access the property and make changes since you have rights to it, whether in full or in part. A title deed only declares one’s legal ownership of a specific property.

Through a formal procedure called registration, the buyer of a property obtains legal ownership of the asset. This registration transfers property ownership to a person, and the legal document through which ownership is transferred is referred to as the “sale deed.

Title Deed Follows Sale Deed

The seller of the property must produce all relevant paperwork when registering the property. A deed of sale is created using prior property records. The chain of papers serves as evidence, enables the identification of the property’s original owner, and ensures that the owner has changed. The selling deed finally assumes the shape of a title deed and joins the chain.

Invoice of sale with title and title information, clear title confirmed by the buyer, pricing information, mention of the sale and transfer of interest agreement, and rights, claims, and property claims. A summary of the benefits, remedies, rights, and facilities is also included, along with the release of assets.

What is the Difference Between Sale Deed and Title Deed?

A deed of title only relates to a notion, unlike a deed of sale, which refers to a tangible document. According to the terms and circumstances, the seller and the buyer alter who owns the property during the legalizing procedure. When a title is transferred, a document called the deed of sale, which contains all the specifics of the real estate deal, is created.

Document registration is crucial under the Registration Act of 1908 for real estate transactions to be legally binding. Following are the differences between these two.

  • The deed of sale immediately transforms into a deed of title upon registration and acts as the buyer’s official documentation of the transfer of title. Therefore, upon registration, a sale deed changes into a title deed.
  • The fundamental document that conveys title to a specific buyer is known as the deed of sale and grants title to the buyer. The sale deed will serve as ownership documentation if the buyer decides to sell the property later. It will enable the buyer to move forward with the transaction.

Making real estate deals effective requires understanding what a deed and title are and how they vary. Even though most people misunderstand crucial real estate terminology like sale deed and deed of title, knowing what each one means might aid in a successful real estate purchase. Knowing the fundamental ideas is crucial whether you’re interested in buying or selling real estate.

You may notice the distinction between a sale agreement and a deed of sale in addition to a deed of sale and title deed. Even though most of the concepts appear to be identical, they are all unique and have unique meanings. Understanding each of these phrases is crucial to avoid any misinterpretation. Owning real estate necessitates careful attention to detail in real estate transactions since it is a significant investment.

Understanding closely linked real estate phrases may help you better manage the process of purchasing or selling a home, whether you are the buyer or the seller. Clarity on diverse real estate topics is demonstrated by the capacity to precisely specify sale deeds and title deeds.


A deed of sale is a deed of accession to sell the property to a buyer in legal terms. At least two parties participate in the action—at least one buyer and one seller—as representatives of all discussions. Because of this, this document analyses the specifics of both parts. For the same reason, at the moment of title, the buyer and seller must agree to terms on a specified page of the bill of sale.

A deed is a statement rather than an agreement. It only displays the character’s legitimate owner on the relevant characteristic. The title deed also covers the owner’s ownership rights, duties, and liabilities in addition to the title. Remember that the moment the deed of sale is shown, ownership transfers. A valid bill of sale is evidence that a new owner of a distinct property is in place. Now that you know what is difference between sale deed and title deed, it will be easier for you to invest in real estate.


Is it possible to sell a piece of land without the original deed?

If considering buying a home without the actual sale deed, buyers should proceed with care. Considering that the sale deed is a crucial document, buying a property like this might have many hazards.

Is a property sale deed required to obtain a mortgage?

A sale deed is necessary; thus, obtaining a mortgage calls for it. The property owner must give the bank the original house sale deed when applying for a mortgage, and the lender provides the owner with the deed of sale once the loan balance has been repaid.

What benefits can title deeds offer?

Purchasing real estate requires title certificates, which is true for residential residences, business structures, and other things. Title deeds are significant since they are regarded as legal papers.

What is the difference between sale deed and title deed?

The property seller must provide all relevant documents to register the property, including the sale deed. A documentary proof chain should trace an asset’s initial ownership and all subsequent changes in ownership. The final link in the chain is the deed of sale, which takes the form of a title deed.

Is it required to check the title deed's legitimacy?

Another crucial concern is the legitimacy of the title document. Most real estate con artists defraud people using forged documents, particularly property deeds. The title search procedure can be used to confirm the legitimacy of these papers.