The Real Property Purchase Agreement serves as the primary document governing real estate transactions in the United States. This contract type is essential for documenting the legal transfer of real property ownership, protecting both buyers' and sellers' interests. It includes crucial elements such as property description, purchase price, contingencies, and closing requirements, while ensuring compliance with federal regulations like RESPA and state-specific property laws. The agreement is typically used in both residential and commercial property transactions, requiring careful consideration of local zoning laws, environmental regulations, and title requirements.
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1. Parties: Identification of buyer and seller with full legal names and addresses
2. Background/Recitals: Brief context of the transaction and property description
3. Definitions: Key terms used throughout the agreement
4. Property Description: Detailed legal description of the property being sold
5. Purchase Price: Amount and payment terms including deposit requirements
6. Closing: Date, location, and requirements for closing
7. Title and Survey: Requirements for clear title and property survey
8. Representations and Warranties: Statements of fact by both parties about the property and transaction
9. Default and Remedies: Consequences of breach by either party
10. Governing Law: Jurisdiction and applicable law
1. Financing Contingency: Terms related to buyer's ability to obtain financing
2. Inspection Contingency: Terms for property inspection and resolution of issues
3. Environmental Matters: Environmental conditions and requirements for commercial properties or properties with known environmental concerns
4. Tenant Rights: Existing lease agreements and tenant obligations for currently leased properties
5. 1031 Exchange: Terms facilitating tax-deferred exchange when either party is conducting a 1031 exchange
1. Property Description Schedule: Detailed legal description and property boundaries
2. Personal Property Schedule: List of included fixtures and personal property
3. Title Exceptions Schedule: List of permitted title exceptions
4. Environmental Reports: Copies of environmental studies or reports
5. Lease Schedule: List of existing leases and terms
6. Disclosure Documents: Required state and local property disclosures
7. Form Deed: Form of deed to be used at closing
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