Property Thought - What Is Required For A Valid Sales Agreement For A House Or An Apartment

Whenever you buy or sell a house you will encounter the sale agreement, which is also called an “offer to purchase”. This is a contract between a buyer and seller and covers the terms and conditions governing the sale of the property. Buying or selling a house can be stressful and sometimes confusing, however, the sale agreement doesn’t have to be. 

An agreement of sale is a written agreement signed by both the buyer and the seller (and also by the seller’s spouse if he’s married or subject to the laws of a foreign country), whereas an offer to purchase may be either oral or written. If it’s in writing and signed by the buyer and accepted by the seller, an offer to purchase constitutes a binding agreement of sale, whereas an oral offer is not binding. 

What should a sales agreement for a residential property include? 

·         The names, identity numbers and marital status of all the parties. 

·         The buyer’s address. 

·         Description and size of the property as detailed in your deed of transfer. 

·         The selling price and whether a deposit will be payable. If so, the deposit money will be held in the trust account by the transferring attorney. 

·         A provision that the buyer pays all transfer and bond costs. 

·         The name of the attorney handling the transfer. 

·         The date of taking possession and occupation. 

·         The provision that the buyer is responsible for all taxes and other municipal charges from the day of taking possession.