Your house is on the market. After watching countless hours of HGTV, you have renovated your home and it looks incredible. You have listed it, and you have found a potential buyer who loves it. It’s now time to move forward with signing a standard residential sale contract.
Not so fast. The standard contract cannot be mutually advantageous to both you and the buyer in every aspect. Your interests in the sale are automatically opposed to those of the buyer (and vice versa), regardless of how smoothly the transaction seems to be going.
Rather than signing a standard One to Four Family Residential Contract without making any additions or revisions, consider the following issues:
- Does the contract make it abundantly clear that all due diligence duties are the buyer’s responsibility?
- Does the contract allow the buyer to sue you for specific performance, i.e. failure to perform under the contract?
- Is the “As-Is” language in the contract exhaustive and comprehensive?
- Are the terms and conditions of seller financing clearly addressed?
- Do any of the standard provisions subject you to unnecessary liability as a seller?
These are just a handful of the issues that a seller needs to consider before signing a standard residential real estate contract. Additionally, there are several complex issues from the buyer’s perspective.
Whether you are the buyer or seller of property, it is best to hire an experienced attorney to evaluate your specific needs and draft additions and revisions to the standard form that are tailored to your interests.
Not only will an attorney be able to identify pitfalls you want to avoid, but an experienced attorney can also assist in negotiating a better deal for you.
Hammerle Finley Law Firm. Give us a call. We can help.
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The information contained in this article is general information only and does not constitute legal advice.