General Sales Contract For (Real Estate) Template for Saudi Arabia

The General Sales Contract For (Real Estate) is a fundamental legal instrument used in Saudi Arabia for property transactions between buyers and sellers. This document is essential when transferring ownership of any real estate property within the Kingdom, whether residential, commercial, or industrial. It must comply with Saudi Arabian law, including the Real Estate Ownership Law of 2002, relevant Royal Decrees, and Sharia principles. The contract is designed to protect both parties' interests by clearly defining the property details, purchase price, payment terms, warranties, and completion procedures. It is particularly important given Saudi Arabia's strict property registration requirements and specific regulations regarding foreign ownership. The document serves as the primary reference for the transaction and is required for official property registration with relevant authorities.

1. Parties: Identification of seller and buyer, including full legal names, addresses, and commercial registration numbers if applicable

2. Background: Context of the sale, brief description of the property, and intention of the parties to enter into the transaction

3. Definitions: Key terms used throughout the agreement, including Property, Completion Date, Purchase Price, and other relevant terminology

4. Property Description: Detailed description of the real estate, including location, dimensions, deed number, and any included fixtures or fittings

5. Purchase Price and Payment Terms: Agreed price, payment schedule, deposit requirements, and method of payment in compliance with Sharia principles

6. Conditions Precedent: Prerequisites that must be satisfied before completion, including regulatory approvals and documentation requirements

7. Completion Process: Steps for transfer of ownership, registration procedures, and timeline for completion

8. Seller's Warranties: Representations regarding property ownership, absence of encumbrances, and compliance with regulations

9. Buyer's Warranties: Representations regarding legal capacity and financial ability to complete the purchase

10. Risk and Insurance: Transfer of risk and responsibility for insurance of the property

11. Default and Termination: Consequences of breach and circumstances allowing termination

12. Governing Law and Dispute Resolution: Confirmation of Saudi law application and dispute resolution mechanism