Most real estate purchase contracts contain details such as the purchase price, the date of the sale and all the contingencies on which the sale depends – such as controlling the estate or valuation at a value high enough to justify a mortgage, according to the buyer`s lender. The sales contract can describe in detail all items that must be included or excluded from the sale of the property. The items outlined should include not only structures, but also features related to these structures, including the following: in some states and municipalities, significant tax reductions are planned when they are classified as houses. As such, the intention of the farm is outlined in the sale agreement. A property is not qualified for the classification of the farm, unless it is inhabited by its owner or by a qualified relative. A property may also be eligible for farm classification when used for farms, but separated by a road. Neighbouring land, mainly used for gardening or storing the owner`s vehicles in a garage, could be considered, for example.B. The simultaneous signing and execution of a deal (in which the parties sign the SPA and close the sale on the same day) is the easiest and easiest way to close a deal. However, a lag between signature and completion is sometimes necessary to meet certain final conditions that are still outstanding.
These are known as “conditions of precedent” and generally include the authorizations of the tax authorities, the authorization of merger by the public authorities and the agreement of third parties (. B, for example, if a change in the control provision is sold in an essential contract of the company). Start your agreement with the basics of the agreement, who participates and what is sold. Include the full name of the buyer and seller and the address of the company concerned. In addition to the physical address, the purchase and sale contract should include all items contained in the sale, such as devices, inventory, equipment and others. If there are periphery items that fall within the jurisdiction of the company`s name, for example. B company cars or mobile phones, they must be included or not included. The idea is to give a clear explanation of what is purchased, so that there will be no more questions after. Buyers should decide whether they want to act together as common tenants or tenants and include this information in the sales contract. Common tenants have the right to survive; When one tenant dies, the property immediately passes to the other without being an estate. Some states ask sellers to disclose the location and status of wells on the land – or if the seller is not aware of existing wells. If the seller is known to the wells, the sales contract indications must contain a map that outlines the exact location of each well.
The seller must also indicate whether the well is sealed or in use. Most buyers put some of the real estate value down after closing and get the rest of the financing needed through mortgage financing.