Contract Review
Sales contracts may differ significantly yet all should clearly set forth the responsibilities and privileges of all the parties involved. It is a legally binding document that protects each party. Carefully review the terms of the contract. The sales contract should include the following:
• Legal description of the property and the exact street address
• Selling price of the property
• Amount of earnest money and who is holding it - Often it is held in an escrow account by a third neutral party.
• Amount due at settlement
• Specifics of the mortgage (amount, rate and terms)
• Title or Escrow company - Either a title company, escrow company, or attorney must be agreed upon by buyer and seller
• Details of the closing - when and where
• Home inspection - Recommended to ensure against structural and unknown defects, and must be completed by a specific date set forth in the contract and completed by a certified home inspector
• Inclusions and exclusions - Examples would include washers, dryers, drapes, etc.
• Pest Inspection - Who is responsible if there is damage or an infestation
• Warranties - Get the description of any that are included with the house
• Repairs - Unless you are accepting as-is, state who is responsible for repairs, with a date for a walk-through inspection
• Well and septic - They must past a test, if applicable
• Date of possession - When you take possession of the property
• Acceptance date - Either an acceptance or counter offer must occur by a specified date
Processing the Sale
Once the contract is signed, your REALTOR® will continue to be your advocate and ensure that your best interests are served. Some of the details they will be available to handle are:
• Assist with scheduling all necessary pre-closing inspections
• Check finances are deposited according the contract specifications
• Keep you informed of any unseen problems that may arise and offer solutions
• Present a list of utility companies available for service
• Schedule and attend the pre-closing walk through
• Prepare for and attend the closing
