A real estate purchase agreement includes the names of the parties involved in the transaction, the address and legal description of the property, the purchase price, and the signatures of the people buying the property, according to FindLaw. The agreement also includes a guarantee that the seller owns the property, the date the buyer can take possession of the real estate, and a clause that allows the buyer to inspect the property.Continue Reading
In addition to the primary parts of the real estate agreement, the contract also includes contingencies that allow the buyer to back out of the agreement if certain circumstances emerge, notes the Home Buying Institute. A property inspection contingency gives a buyer the legal right to dissolve the contract if he is unhappy with the results of an inspection.
A real estate purchase agreement may contain a liquidated damages clause that obliges the seller to compensate the buyer for every day that the buyer is delayed from moving to the purchased property, states FindLaw.com. The agreement contains a clause that mandates the seller to repair damages or deal with pest infestations. The agreement may also contain a financing contingency that allows the buyer to void the contract if he is unable to secure financing by the closing date.Learn more about Real Estate