Home Purchase Agreement Signing

A sales contract becomes unconditional if all the conditions are met. This means that a seller can simply refuse to negotiate repairs with you, which essentially forces you to decide whether the contract should be terminated. If you terminate the agreement in these circumstances, your serious money deposit would normally be refunded to you, and the seller could run freely. In some states, home inspections are conducted prior to the performance of a final sales contract, so an inspection is not mentioned as an emergency. The sales contract should include the offer price accepted by the seller as well as the means with which it is supplied. Common methods are full payment in cash, with a deposit and a new mortgage, or with an agreement that includes an existing mortgage. This information may be detailed in the sales contract or additional financing may be included in order to clearly describe the buyer`s accounting and credit situation. Many potential buyers have to sell the home they currently own before they can buy a new one, which means they couldn`t afford to buy otherwise. This is the reason why, in real estate purchase contracts, it is common to include a contingency to ensure that an old house is sold before the agreement is concluded. If your contract should be terminated for a reason other than the failure of the property or the seller to fulfill a contingency, the seller can normally withhold your serious money deposit as compensation for its time, in accordance with the contractual conditions. Losing your serious money deposit (usually about 3% of the purchase price of the home) can bring you a considerable amount depending on the value of the home…