The Real Estate Sales Contract serves as the primary legal instrument for transferring property ownership in the United States. This document is essential whenever real property is bought or sold, whether residential or commercial. It includes critical information such as property details, purchase price, contingencies, and closing requirements. The contract must adhere to both federal regulations (such as RESPA and TILA) and state-specific real estate laws. The document provides protection for both parties and creates a clear framework for the transaction's completion.
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1. Parties: Identification of buyer and seller with full legal names and addresses
2. Background: Brief context of the transaction and property identification
3. Definitions: Key terms used throughout the contract
4. Property Description: Detailed legal description of the property being sold
5. Purchase Price: Amount and payment terms including deposit details
6. Closing Date: Specified date and conditions for closing
7. Title Transfer: Terms of conveying title and type of deed
8. Representations and Warranties: Standard seller and buyer warranties
1. Financing Contingency: Terms related to buyer's ability to obtain financing when mortgage financing is required
2. Inspection Contingency: Terms related to property inspection rights when buyer wants to inspect the property
3. Sale Contingency: Condition that buyer must sell existing property, used when buyer needs to sell current property first
4. HOA Provisions: Terms related to homeowners association when property is part of an HOA
1. Property Disclosure Statement: Seller's disclosure of property condition and known defects
2. Inventory of Fixtures and Fittings: List of items included/excluded from sale
3. Title Documents: Copy of title report and related documents
4. Environmental Reports: Any environmental assessments or reports
5. Survey Documents: Property survey and related documentation
6. Lead-Based Paint Disclosure: Required for properties built before 1978
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