Taking the giant step into home ownership is certainly a multi-faceted one. Typically the largest single purchase that most adults will ever commit to, it is a good idea to be well versed in all aspects of what such a transaction entails. Following is a brief explanation of what makes up a purchase and sale agreement in a real estate contract. Please note that this is just a general overview and that actual components vary state by state for what this official document entails.
After both the buyer and seller have accepted an offer stating the final sale price, the terms of the agreement are considered. The following items are the usual items that must be agreed upon:
- The final sale price
- How much earnest money the prospective buyer is responsible for submitting, along with specific details such as the time frame, deposit instructions and what are the acceptable forms of payment [Read more...]