Finalizing the Purchase & Sale Agreement
The purchase and sale contract is the final agreement overriding the initial offer contract. While there are no standard purchase and sale contracts, each state's real estate board may have their own form. Click here or view a sample in the Free Tools section of a standard purchase and sale agreement from the Greater Boston Real Estate Board of MA. Listed below are generally the most important items included in a purchase and sale agreement.
- Date of agreement
- Names and address of the buyer and seller
- Property Description - street address, building, lot size
- Personal Property / Fixtures - items not physically attached such as refrigerators
- Title Deed Quality - deed should be good and clear without issues
- Plans - if deed refers to a plan necessary to be recorded, seller must provide plan
- Registered Land - if title is registered, deed will need to be in a form to entitle buyer to a Certificate of Title and seller will deliver all items to entitle that buyer
- Purchase Price, deposits paid and remaining amounts
- Closing and Delivery of Deed date and time
- Property Condition - condition to be the same at closing as it currently stands
- Extension to Perfect Title or Make Premises Conform - Extension for Seller only by written notice , otherwise buyer receives all deposits back
- Failure to Perfect Title or Make Premises Conform - Buyer receives all deposits paid if seller fails to deliver perfect title or make repairs as stated in the contract
- Buyers Election to Accept Title
- Acceptance of Deed
- Use of Money to Clear Title
- Insurance - Seller provides proof that property has sufficient insurance coverage until closing date and will deliver certificate of insurance to Buyer
- Adjustments - collected rents, taxes, other items that will be adjusted by Buyer to pay
- Broker Fee - Usually due from seller
- Mortgage Contingency Clause - Buyer agrees to apply for a mortgage for agreed upon amount and must notify seller within specified date should buyer be unable to obtain financing in order to have seller refund any deposits made by buyer
- Lead Law Paint
- Smoke / Carbon Monoxide Detector Certificate from the fire department
