If you are looking to purchase or sell real estate, a well-drafted Agreement of Purchase and Sale is essential.
An Agreement of Purchase and Sale is a contract between the buyer and seller. It outlines the details of the real estate transaction. In an Agreement of Purchase and Sale, you will typically find information about the buyer, the seller, the property in question and the terms of the deal. The closing date, deposit amount, and items to be excluded from the sale are some of the things that are usually included in the agreement. The Agreement of Purchase and Sale also lists the exact date and time by which the seller must accept an offer before it is revocable.
Before a real estate transaction is finalized, the buyer has the right to examine the title and other relevant property documents to check for problems, such as zoning issues or outstanding municipal work orders. The Agreement of Purchase and Sale includes the timeframe within which a buyer must do this. The buyer usually has until 7 to 15 days before the closing date to complete all the relevant searches. The end of this period is known as the requisition date. If the buyer identifies issues, they must inform the seller or the seller’s lawyer in writing. If the seller is unable to fix the problem, the agreement will end unless the buyer agrees to move forward with the purchase regardless of the issue. If the buyer fails to inform the seller of problems before the requisition date, they cannot later complain about them.
The Agreement of Purchase and Sale may also stipulate that the seller must provide a survey of the property, and there is typically a condition for a property inspection. If the home inspection reveals issues, the buyer has the right to back out of the agreement.
Should you hire a lawyer to review an Agreement of Purchase and Sale?
An Agreement of Purchase and Sale is legally binding once both parties sign the agreement and all the conditions have been satisfied. The only way to get out of the deal is if both parties agree to void the contract.
Failure to uphold the agreement can result in a lawsuit being filed against you. For that reason, you should consider having a real estate lawyer review the agreement before you sign, whether you are the buyer or seller. A real estate lawyer will ensure that the agreement is properly drafted and sufficiently covers all the details of the transaction. They will also look for unfair clauses and can negotiate on your behalf to include favourable terms.
Are you searching for a real estate lawyer in Oakville?
If you are searching for a real estate lawyer in Oakville to review an Agreement of Purchase and Sale, contact us at the law office of Anna Gurevich. Our experienced real estate lawyer will help ensure that the terms and conditions you agree to serve your best interests.
Give us a call today to schedule a consultation.