The Residential Contract For Sale And Purchase is a fundamental document in U.S. residential real estate transactions, designed to protect both buyers' and sellers' interests. It is used when an individual or entity wishes to purchase residential property from another party. The contract includes crucial elements such as property description, purchase price, financing terms, inspection rights, and closing requirements. It must comply with both federal regulations and state-specific real estate laws, making it a comprehensive legal instrument for residential property transfers.
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1. Parties: Identification of buyer and seller with full legal names and addresses
2. Background: Brief context of the transaction and property identification
3. Definitions: Key terms used throughout the contract
4. Property Description: Detailed legal description of the property being sold
5. Purchase Price: Amount and payment terms including deposits
6. Closing and Possession: Closing date, location, and possession terms
7. Title and Survey: Requirements for clear title and survey provisions
8. Property Condition: As-is provisions and disclosure requirements
9. Default and Remedies: Consequences of default by either party
1. Financing Contingency: Optional section covering terms for buyer's loan approval, typically included when buyer requires mortgage financing
2. Inspection Contingency: Optional section detailing terms for property inspection and buyer's rights to terminate based on inspection results
3. Sale of Buyer's Property: Optional contingency section for when buyer needs to sell their current property before completing this purchase
4. HOA Provisions: Optional section covering homeowners association terms and requirements, included when property is part of an HOA
5. Lead-Based Paint Disclosure: Optional section meeting federal lead paint disclosure requirements for properties built before 1978
1. Property Disclosure Statement: Schedule detailing seller's disclosure of property condition and known defects
2. Personal Property Inventory: Schedule listing all included and excluded personal items in the sale
3. HOA Documents: Schedule containing association rules, regulations, and financial statements
4. Survey: Schedule containing property survey and plot plan
5. Title Commitment: Schedule containing preliminary title report and requirements
6. Environmental Reports: Schedule containing any required environmental assessments or reports
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