| In Rhode Island most buy and sell agreements | | | | mortgage application is denied. Buyer should be |
| (purchase and sales agreements) for single-family | | | | certain that the amount filled in for his proposed |
| homes are on a form prepared by the Rhode Island | | | | mortgage is in fact the highest amount that he |
| Association of Realtors. The Purchase and Sales | | | | intends to apply for. |
| Agreement is a very important legal document that | | | | 3. The agreement provides that the buyer must |
| typically sets forth the sales price, time, date and | | | | accept the property with any easements or |
| place of the residential real estate closing, | | | | restrictions of record that impact the property. The |
| contingencies based on financing, as well as many | | | | buyer should read the Rhode Island Real Estate Sales |
| other provisions. | | | | Disclosure Form prior to signing the Purchase and |
| You may attempt to negotiate modifications to this | | | | Sales Agreement. Rhode Island Law requires that the |
| agreement and are not obligated to sign the standard | | | | seller of residential real estate in RI notify the buyer |
| form. Prior to signing the Purchase and Sales | | | | of any restrictions or easements. Buyer should check |
| Agreement, the buyer should contact a Rhode Island | | | | the disclosure form and if the seller indicates that |
| lawyer / attorney who specializes in real estate law, | | | | there are restrictions or easements, buyer should |
| residential real estate closings and title law. | | | | read them prior to signing the Purchase and Sales |
| This agreement was drafted with the intent to be | | | | Agreement. If the buyer does not understand the |
| fair to both buyers and sellers of residential real | | | | legal implications of the restriction or easement, then |
| estate; however, the buyer should not sign this | | | | they should contact their real estate attorney. |
| agreement without paying careful attention to all of | | | | 4. Buyer's right to a return of their deposit in the |
| the provisions including the following provisions: | | | | event they are not satisfied with house inspections, |
| 1. The agreement provides for a certain number of | | | | such as physical/mechanical, pest infestation and |
| days within which buyer must apply for his/her | | | | septic system, depends on the inspector finding a |
| mortgage. Pursuant to the terms of the standard | | | | substantial / materially deficient condition which has |
| Rhode Island Purchase and Sales Agreement, if the | | | | not been disclosed to the buyer prior to the |
| buyer fails to apply for the mortgage, his deposit will | | | | execution of the Purchase and Sales Agreement. This |
| be forfeited. Please make certain that you allow | | | | means that the buyer should carefully read the Real |
| enough days for this application to be made. | | | | Estate Disclosure supplied by the seller prior to signing |
| 2. The agreement provides that if the buyer applies | | | | the Purchase and Sales Agreement to make certain |
| for a mortgage greater than the amount set forth in | | | | that seller has not disclosed existing deficient |
| the Purchase and Sales Agreement, buyer will have | | | | conditions on the property in this form. |
| no right to obtain a return of his deposit if his | | | | |