The Real Estate purchase agreement
The Real Estate purchase agreement is the most important document in the transaction. Although standard printed forms are useful, it is recommended that you have a lawyer with Illinois Real Estate transaction knowledge explaining the form and making changes and additions to reflect the buyer’s and or the seller’s desires.
There are several issues that may need to be addressed in the purchase agreement; below are some common examples:
- If the property has been modified or there has been an addition to the property, was it done lawfully, with permits?
- If the buyer has plans to change the property, may what is planned for the property, what are the zoning restrictions, etc.?
- What happens if a buyer has a home inspector inspect the property and discovers termites, asbestos, radon, or lead-based paint is found?
- What if the property is found to contain hazardous waste?
- Is the closing appropriately conditioned upon the buyer obtaining financing?
- What are the legal consequences if the closing does not take place on time, and what happens to the down payment?
Most buyers finance a substantial portion of the purchase price for a home with a mortgage loan from a lending institution. The purchase agreement should contain a carefully worded provision that it is subject to the buyer’s obtaining a commitment for financing.
Mortgage loan commitments and mortgage loan documents are complex. Seek advise from an Illinois Real Estate Lawyer and let them review and explain the importance of these various documents.