If a buyer defaults on a property sale agreement in Delhi, the seller has several legal remedies available:

• Retain the Earnest Money Deposit: The seller can keep the earnest money, which is typically a percentage of the property’s purchase price, held in an escrow account. This deposit acts as a security for the seller and is forfeited if the buyer defaults, compensating the seller for the time and effort spent on the transaction​​.
• File a Lawsuit for Damages: If the earnest money is insufficient to cover the seller’s losses, the seller can file a lawsuit to claim damages. The damages may include the actual financial loss incurred and any difference between the agreed sale price and the property’s current market value​.
• Specific Performance: In some cases, the seller can sue for specific performance, which is a legal action to compel the buyer to complete the purchase as per the property sale agreement Delhi. This option is generally pursued if the property is unique or if monetary compensation is inadequate​​.
• Reclaim the Property: If the property was handed over to the buyer before the default, the seller might reclaim the property. This typically involves obtaining a court order to recover possession and any unpaid balance​.

To protect against buyer defaults, it is advisable to include a clear liquidated damages clause in the sale agreement, specifying the penalties for default. Consulting with a real estate attorney before drafting and signing the property sale agreement Delhi can ensure that all necessary protections are in place and legal recourse is clearly defined​.