Fatemeh Rakideh
trainee lawyer at the Iranian Central Bar Association
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Iranian real-estate contracts

Iranian real-estate contracts

A real estate contract is not just an agreement on price and delivery. The status of the document, The exact specifications of the property, The timing of payment and transfer, Guarantees, agreed contractual penalty and the responsibility for removing registration obstacles must be clear for the contract to be enforceable.

A large part of Iranian property disputes is created from ready-made texts and vague terms. The contract should be tailored to the type of property,, the registration status, of the parties and the purpose of the transaction, and copying public samples without checking is avoided.

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What are real-estate contracts?

According to Articles 10, 190, 219 and 220 Iranian Civil Code («قانون مدنی»),, private contracts are valid and binding if the essential conditions of the transaction are met, and the parties are bound by the customary and legal consequences of the contract in addition to the express provisions,. In Iranian real-estate contracts, the registration regulations and specific laws must also be observed.

Statutory basis: Article 22 of the Law on Registration of Registered Real Estate, establishes the official owner as the criterion for identification; therefore, it is necessary to check the document and the position of the seller.

Key contractual clauses

Complete specifications of the property and the parties, price and payment method, time of delivery and preparation of the document, mortgage and arrest status, debts, agreed contractual penalty, right of termination, arbitration or dispute resolution authority and the assignment of documents must be written accurately.

Iranian real-estate contracts

Usual stages of review and follow-up

Reviewing the property’s status

The , document of use of the , mortgage, arrest and permits are reviewed.

Defining the parties’ obligations

Payment, Delivery, release of mortgage and official transfer are scheduled.

Designing enforcement provisions

agreed contractual penalty, The right of termination and practical guarantees are foreseen.

Signing and retaining documents

Copies, attachments and payment receipts are regularly kept.

Template or custom contract

The sample contract can only be a preliminary checklist. The actual contract must be adapted to the situation of the case; Because the difference in joint ownership, power of attorney, mortgage, pre-sale or participation in construction creates completely different legal effects.

Related topics

Iranian property disputes

Return to the comprehensive property-law services page

action to compel execution of an official title deed

Official transfer of property and removal of registration obstacles

action to recover possession based on established ownership (khalʿ-e yad)

Ending unauthorized possession on the basis of established ownership

mandatory registration of immovable-property transactions in Iran

Official registration of the transaction and the legal effects of private instruments.

  • Iranian Civil Code («قانون مدنی»)

  • mandatory registration of immovable-property transactions in Iran

  • Iranian Registration of Deeds and Properties Act («قانون ثبت اسناد و املاک»)

This list, shows the main provisions related to the subject of the page. The governing law and subsequent amendments must be adapted to the time of occurrence, of the subject and the situation of each case.

The official text and latest amendments of the laws are available at National Information Database of Laws and Regulations of the Country is available to view.

Frequently asked questions

claimant must prove its ownership in an acceptable way. In registered properties, official or authentic instrument under Iranian law ownership plays a central role.
action to recover possession based on established ownership (khalʿ-e yad) It is brought against an occupant who is in possession of the property without permission; eviction is usually when the occupation was initially authorized by a contract such as a lease and then continued without permission.
In action to recover possession based on established ownership (khalʿ-e yad), the main focus is on proving ownership; in unlawful dispossession legal,, pre-possession claimant and the right to possess civil defendant and its aggression are important.
Partner seizure in co-owned property has special rules. The possibility of filing a lawsuit and the method of executing the judgment must be examined according to the common share, permission of other partners and the type of seizure.
If the conditions exist, the claim for reasonable compensation for use possession days can be raised together or separately, and usually its assessment requires an expert.
Since the dispute is related to immovable property,, in principle, court the place of occurrence of the property is the competent court; the exact jurisdiction is examined according to the situation and demands of the case.
The seller's document and ownership, The exact characteristics of the property, Amount and method of payment, Time of delivery and transfer of the document, Mortgage or arrest, Guarantees and guarantees for the implementation of the violation must be clear.
The characteristics of the parties and the property, the price and time of payment, delivery, the formal transfer of the document, preliminary obligations, agreed contractual penalty, the conditions for termination and the method of dispute resolution are important clauses that can be examined.

Methods of contact

Contact us for advice and follow-up of the case through the following ways

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