Real Estate Purchase Agreement Generator

What is a Real Estate Purchase Agreement?

A Real Estate Purchase Agreement is a legally binding contract between a buyer and seller that outlines the terms and conditions for the purchase and sale of real property. The agreement defines the purchase price, earnest money deposit, financing terms, contingencies, closing date, and other essential aspects of the real estate transaction.

Key Sections Typically Included:

• Property Description and Address
• Purchase Price and Financing Terms
• Earnest Money Deposit and Escrow Details
• Contingencies (Financing, Inspection, Appraisal)
• Title Search and Insurance
• Property Condition and Disclosures
• Closing Date and Possession Terms
• Property Included/Excluded from Sale
• Allocation of Closing Costs
• Default and Remedies
• Agency Disclosures
• Prorations of Taxes and Other Expenses

Why Use Our Generator?

Our Real Estate Purchase Agreement generator helps you create a comprehensive document that clearly establishes all aspects of your property transaction. By defining purchase terms, contingencies, and responsibilities upfront, both the buyer and seller can protect their interests and ensure a smooth closing process.

Frequently Asked Questions

• Q: What contingencies should be included in a real estate purchase agreement?
  • A: Common contingencies include financing (buyer's ability to secure a mortgage), home inspection (satisfactory results of property condition), appraisal (property value matching purchase price), title (clear title without defects), and sometimes the sale of another property. Each contingency should include a specific timeframe and resolution process.
• Q: What is earnest money and how is it handled?
  • A: Earnest money is a deposit made by the buyer to demonstrate serious intent to purchase. The agreement should specify the amount, when it's due, who holds it (typically in escrow), conditions under which it may be forfeited, and how it will be applied to the purchase price at closing.
• Q: Who typically pays for closing costs?
  • A: The allocation of closing costs varies by location and can be negotiated. The agreement should clearly specify which party is responsible for specific costs such as title insurance, transfer taxes, recording fees, escrow fees, and loan origination fees. In some markets, certain allocations are customary but still negotiable.