| Congratulations! You have chosen your | | | | what these clauses and addendums are. |
| favorite home in your home buying adventure. | | | | |
| Now, you can write up the contract or head | | | | - For situations that don't have Standard |
| back to the office. The following really | | | | Clauses or Standard addendums, then it can be |
| depends on the area so check with local | | | | advisable to rely on the experience and |
| professionals deemed by local (sometimes | | | | expertise of a good lawyer and sometimes a |
| national) governments to be the appropriate | | | | good realtor, when as typically allowable in |
| professionals for consulting and doing real | | | | many states. Be cautioned that a realtor is |
| estate transactions, including disclosure for | | | | often not trained specifically in contract |
| appropriate professionals in all areas of | | | | writing and will often if not always be |
| expertise. | | | | trained to disclose this fact and of |
| | | | disclosure to seek the appropriate |
| In most cases, you will need what is called | | | | professionals in each field of expertise |
| Earnest Money. A personal check, cashiers | | | | along the way that you might need. |
| check or cash, typically in the amount of 1% | | | | |
| of the purchase price (depends upon the | | | | - A lawyer or in areas where admissible, a |
| area), which is deposited into the brokerage | | | | realtor or local deemed professional can help |
| trust account or a title company (depends | | | | in writing a contract and in negotiating |
| upon the area), and credited to your purchase | | | | offers. The right professional will make |
| (may depend upon the area) upon successful | | | | sure you are represented on paper well... |
| closing of this transaction. | | | | this is the hallmark of good representation. |
| | | | The hallmark comes from the historically |
| Standard Real Estate Purchase Contract | | | | supported law adopted by almost all the |
| | | | states taken from England called the statutes |
| Several elements can be included during your | | | | of frauds. This grand maxim says that "if it |
| written contract. One good piece of advice | | | | is not in writing it does not exist". As |
| would be to use the standard Real Estate | | | | such, it should be noted that a good lawyer |
| Purchase Contract that is used for your | | | | or realtor will push for even minor details |
| state. Local governments and appointed | | | | to be on paper. |
| agencies governing those applicable contracts | | | | |
| will have a large body of law and wisdom | | | | - Your offer is presented, negotiated and |
| governing transactions in each particular | | | | upon "complete agreement between the parties |
| state. If you draft your own contract, | | | | in writing about the purpose and terms of the |
| rather than using the state sponsored ones, | | | | contract" and "communication back to the |
| you may be really going out on a limb by | | | | party making the offer ", the contract |
| using something that is not proven to avoid | | | | becomes binding. The definition of |
| problems. | | | | "Acceptance" and the type of "Communication" |
| | | | needed in order to make it a valid and |
| - Another thing to remember, involves | | | | binding contract, may vary depending on state |
| situations falling outside the normal used | | | | or county definitions and laws. So, consult |
| contracts, but still common enough that the | | | | with your appropriate local professionals. |
| governing body, used to help in the | | | | |
| formulation of addendum writing or additions | | | | Now that you have an accepted offer, some |
| to the standard contracts, has come up with | | | | tasks lie in front of you to keep you in the |
| Standard Clauses or 'Standard Addendums'. In | | | | keeping of your contract. These tasks or |
| such instances, it has often turned out to be | | | | detailed steps may vary from state to state |
| very protective to use the language governed | | | | or county, but usually include the following: |
| by each state, rather than making up your own | | | | Application for a Loan, Sellers Disclosures, |
| language that when checked in a legal sense, | | | | Escrow/Title Co. Coordination, Deadlines and |
| is full of all kinds of ambiguity and | | | | events to include Evaluations & Inspections, |
| inconistency. You may even have | | | | Settlement Deadline, Closing and final Taking |
| misunderstandings thinking the other side | | | | of Possession. Your realtor/lawyer can help |
| knows what you are saying, when they are | | | | guide you through all of the deadlines, |
| reading a whole different scenario into what | | | | responsibilities, inspections, and |
| you have written. Having the appropriate | | | | disclosures towards a smooth, seamless and |
| realtor or lawyer, depending on which is | | | | successful settlement and closing of your |
| required for each state can help you know | | | | home purchase! |