The Offer To Purchase Form is a fundamental document in Canadian real estate transactions, serving as the initial legal framework for property acquisitions. It is used when a prospective buyer wishes to formalize their intent to purchase a property and specify the terms under which they are willing to proceed with the transaction. The document must comply with various provincial real estate regulations and federal laws, including the Real Estate and Business Brokers Act where applicable. The form typically includes essential elements such as property details, purchase price, deposit amount, closing date, and any conditions precedent to the sale. This document is particularly important as it forms the basis for the final purchase agreement and, once accepted by the seller, creates legally binding obligations for both parties.
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1. Parties: Identification of the buyer(s) and seller(s) including full legal names and current addresses
2. Property Details: Complete legal description of the property, including address, lot number, plan number, and property identification number
3. Purchase Price: The total amount offered for the property and how it will be paid
4. Deposit: Amount, form, and timing of the deposit, and details of how it will be held
5. Terms of Payment: Payment structure, including deposit, balance due, and any special financing arrangements
6. Closing Date: Proposed date for completing the transaction and transferring ownership
7. Conditions Precedent: Conditions that must be satisfied before the agreement becomes firm and binding
8. Inclusions and Exclusions: Specific items included or excluded from the sale
9. Representations and Warranties: Statements of fact about the property's condition and legal status
10. Inspection Rights: Buyer's rights to inspect the property and timeline for inspections
11. Title Search Period: Timeline and conditions for conducting title searches
12. Default and Remedies: Consequences if either party fails to fulfill their obligations
13. Notices: How and where formal communications between parties should be delivered
14. Execution: Signature blocks and witness requirements
1. Tenant Rights: Required when the property is currently tenanted, describing existing lease agreements and tenant rights
2. Renovation Clause: Used when buyer plans specific renovations that need seller approval or acknowledgment
3. Financing Condition: Added when purchase is contingent on buyer obtaining specific financing
4. Sale of Buyer's Property: Included when purchase is conditional on buyer selling their existing property
5. Environmental Conditions: Required for properties with known or suspected environmental issues
6. HST/GST Declaration: Needed for new construction or commercial properties subject to HST/GST
7. Foreign Buyer Declaration: Required when buyer needs to confirm compliance with foreign buyer regulations
8. Multiple Offer Process: Used in competitive bidding situations to outline the process
9. Chattels Rental: Required when certain equipment (e.g., water heater, HVAC) is rented rather than owned
1. Schedule A - Property Details: Detailed legal description of the property and land survey information
2. Schedule B - Financial Terms: Detailed breakdown of purchase price, deposit structure, and payment terms
3. Schedule C - Included Items: Comprehensive list of all fixtures and chattels included in the purchase
4. Schedule D - Excluded Items: List of items specifically excluded from the sale
5. Schedule E - Conditions: Detailed description of all conditions and their fulfillment requirements
6. Schedule F - Property Disclosure: Seller's disclosure of known issues or defects with the property
7. Appendix 1 - Property Inspection Report: Format for recording property inspection results
8. Appendix 2 - Title Search Results: Template for documenting title search findings
9. Appendix 3 - Deposit Receipt: Form acknowledging receipt of deposit funds
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