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Residential real estate purchase and sale agreement 21 Form: What You Should Know

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Instructions and Help about Residential real estate purchase and sale agreement form 21

Hi and welcome to real estate FAQ with Russ Brad Chulas from Keller Williams Realty and a real estate with Russ calm. Today we're talking about purchase and sale agreements and what exactly is a purchase and sale agreement. Well, the easy and quick answer is it's the contract that is used to convey real property. It obligates the buyer to buy and the seller to sell a particular piece of real estate. But it also has a lot more information in it than just that. It will have information about the deposits, where the deposits go, how much they are, and all of the information about earnest money. It will discuss contingencies for inspection contingency or a financing contingency and also any other conditions of the sale. Maybe something like the seller, if the sale is subject to the seller finding suitable housing. Any terms and conditions of the sale are going to be included in the purchase and sale agreement. Lastly, timelines will be there as well, as far as when deposits are due, when the contingencies are, and lastly, when do we close? It's a question that everybody wants to know. So, the purchase and sale contract is absolutely vital. It's the only way that properties get conveyed. And a couple of points to remember about them: first, whenever entering into any kind of legally binding contract, make sure you consult competent legal advice to make sure your interests are protected. And lastly, different states handle contracts differently. For example, in Massachusetts, we start with an offer form and then we move to a purchase and sale agreement that replaces that offer, whereas in the state of Florida, you go right to a contract. So, talk to your attorney, talk to your title company, and definitely talk to your...