| A real estate purchase and sale agreement is a | | | | and sale agreement lays out the financial terms of |
| relatively short and straightforward contract that | | | | the agreement. There will be spaces to show the |
| you can expect to sign if you are either buying or | | | | amount of the initial deposit put on the piece of |
| selling a piece of property. While corporate level | | | | property, the amount of cash that is changing |
| versions of this contract can be quite laborious, | | | | hands at the time of the contract signing, any |
| ones designed for individual home sales from one | | | | existing costs or fees associated with the |
| private citizen to another are usually only a few | | | | property that is being bought, like liens or any |
| pages in length. Let's take a look at what one of | | | | debt, any new loans being taken out by the |
| these agreements looks like so that when you | | | | buyer and then finally the total purchase price of |
| are asked to sign one, you'll know your way | | | | the property. |
| around. | | | | The rest of the contract spells out the monetary |
| The first part of the typical real estate purchase | | | | figures listed above. For instance, section one of |
| and sale agreement outlines the names of the | | | | the agreement will talk about the deposit amount, |
| buyers and sellers and usually identifies them by | | | | how much it was, when it was paid and how |
| social security number. This section also states, in | | | | much of it figures towards the final cost of the |
| plain language, the intent of the parties involved to | | | | property. The next section will talk about the |
| buy and sell particular pieces of property and then | | | | balance due to the seller and how that balance will |
| the address of the piece of property is then | | | | be paid (cash, cheque, etc). |
| listed. A legal description of that piece of property | | | | There are often additional sections added on to |
| (single resident home, apartment building, etc) is | | | | these types of agreements that outline the official |
| then listed to clarify exactly what type of | | | | closing date of the property and when the official |
| property is changing hands. There is almost | | | | title transfer will occur, as well as any damage to |
| always a section that is used to outline any | | | | the property or any sort of catastrophic damage |
| personal property, like furnishings, that are being | | | | that might have happened to the property over |
| included in the sale. It is very important that if | | | | time, such as a fire or a flood. |
| you are buying or selling a furnished piece of | | | | While the real estate business is absolutely |
| property that you list every single personal | | | | drowning in overwrought forms and legal |
| belonging here, even if it is something small so | | | | agreements, the real estate purchase and sale |
| there are no legal questions later on. | | | | agreement is one of the most simplistic and easy |
| The next part of the typical real estate purchase | | | | to follow legal forms you'll ever see. |