Contract Agreement to Purchase

Agreement to purchase is a legally binding agreement in real estate deals. If you face any difficulty to understand this agreement, you should look for legal assistance.

Agreement to purchase is an agreement between the buyer and/or his assignees and the seller. It basically shows the mutual consent of the buyer to buy and the seller to sell a particular property according to specific stipulations mentioned in the agreement.

Important Information That Needs To Be Furnished In an Agreement to Purchase

The following information has to be furnished in an agreement to purchase:

• Property purchased: Name of the property, name of the city, name of the county and name of the state where the property is located.
• Price and terms: Details about the agreed sum of money, earnest money and down payment.
• Holder of mortgage and address: Monthly payment, amount due, balloon if any, years left, tax/insurance account and interest rate.
• Evidence of title
• Seller’s certification
• Inspection
• Conveyance and closing
• Prorations
• Condition of improvements
• Default
• Sole contract
• Lead warning statement
• Expiration: The offer would become invalid if a copy of the contract along with the written approval of the seller is not sent to the buyer or his agent on or prior to a particular date and time.
• Approval: Signatures of the buyer and witnesses, time and date and the address of the buyer.

In addition, there is one section known as acceptance, which contains the signatures of the seller and witnesses, the time and date and the address of the seller. Prior to accepting the offer, the seller confirms that all the details furnished are accurate.