If you’re buying or selling a house, the real estate sales agreement is a crucial document you’ll need to sign. These legally binding agreements often consist of dozens of pages filled with complex legal language, which can be intimidating. However, because the sales agreement protects all parties, it’s essential to know what is included in these documents.

4 Elements of a Real Estate Sales Agreement

1. Identifying the Property, Buyers, & Sellers

Before outlining the terms of the sale, the agreement must specify the property being transferred. Both buyers and sellers must also be identified, and buyers should decide whether they want to own the home as joint tenants or tenants in common.

2. Contingencies

A contingency makes the transfer dependent on some other factor and gives either party a chance to back out if those conditions aren’t met. Making the sale contingent on the results of the home inspection and the buyers’ ability to secure financing are standard features of most real estate sales agreements.

3. The Price & Terms

The agreement also includes the price negotiated by the buyer and seller, along with the amount of earnest money required. Remember that sales agreements have the force of a legally binding contract, so check to ensure the figures are accurate before signing the document.

4. The Closing Date

The closing date is when the transaction is executed and the buyers legally take possession of the property. A real estate sales agreement should specify a date for closing and list the costs each party will be responsible for.

Whether you’re buying or selling a home, having a skilled attorney on your side can streamline the process and ensure your interests are protected. The attorneys at Bernardini Law P.C. have over a decade of experience serving buyers and sellers throughout Essex County, MA. They will handle every step, from the real estate sales agreement to closing. Visit their website for an overview of their services or call (978) 794-5525 to consult with an attorney.