Sound Advice - Compassionate Counsel - Free Initial Consultation
309-481-2431
Essig Law Office

The essential elements of residential sales contracts

Once you've put an offer on a home, and the buyer accepts it, then it is time to draft a sales agreement. This process is complex and time consuming - and often frustrating - but it is vital to ensure every aspect of the sale is agreed upon by both parties.

Although similar to standard contracts, sales agreements have additional elements and requirements. It is important to be familiar with these aspects of real estate contracts, particularly if you do not have a realtor or the property is for sale by owner (FSBO).

Sales of real estate fall under the Statute of Frauds, which means contracts must be in writing to be valid. Additionally, real estate agreements must contain the following elements:

  • Names of the parties involved in the sales transaction
  • The property's address and legal description
  • Agreed upon purchase price for the property
  • Signatures of all parties necessary to the sale

In addition to the elements listed above, the following can help ensure a smooth transaction for both buyer and seller:

  • Transaction settlement date
  • Date buyer can take possession of the property
  • Names of escrow and closing agents
  • Clause allowing the buyer to perform necessary property inspections
  • Contingency clauses to address proper actions for certain situations, such as a buyer's inability to finance the sale or a seller's obligation to fix damage
  • Liquidated damages clause in case the buyer's ability to move into the house is delayed

As with any real estate matter, it also may be in your best interests to obtain advice and guidance from an experienced attorney.

No Comments

Leave a comment
Comment Information

Our Testimonials

  1. The Essig staff are courteous and helpful, and the attorneys are professional and knowledgeable. They are very efficient, with prompt turn-around times on title orders and real estate closings. I would highly recommend this office to others!

    -Donna Jones Craig Jim Maloof Realtor

  2. The Essig staff are courteous and helpful, and the attorneys are professional and knowledgeable. They are very efficient, with prompt turn-around times on title orders and real estate closings. I would highly recommend this office to others!

    -Donna Jones Craig Jim Maloof Realtor

  3. The Essig staff are courteous and helpful, and the attorneys are professional and knowledgeable. They are very efficient, with prompt turn-around times on title orders and real estate closings. I would highly recommend this office to others!

    -Donna Jones Craig Jim Maloof Realtor

  4. The Essig staff are courteous and helpful, and the attorneys are professional and knowledgeable. They are very efficient, with prompt turn-around times on title orders and real estate closings. I would highly recommend this office to others!

    -Donna Jones Craig Jim Maloof Realtor

Email Us For A Response

We Can Resolve Your Legal Issue

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Essig Law Office

Washington Office 135 Washington Square Washington, IL 61571 Phone: 309-481-2431 Fax: 309-444-1916 Map & Directions

Roanoke Office 313 N. Main Street Roanoke, IL 61561 Phone: 309-481-2431 Fax: 309-444-1916 Map & Directions