One of the most important steps in buying a home is ensuring that the real estate contract is clearly understood. Since most purchasers are first-time buyers, many are not aware of what they need to know about a new real estate contract. Sunwest Escrow understands that this new experience can seem overwhelming, that’s why we’ve provided the following tips that we believe you should know about your housing agreement.
What You Need to Know About a Real Estate Contract Albuquerque
Understand the different types of contracts.
General purchase agreements are contracts in which a seller and buyer agree to a real estate transaction. A state or association purchase contract is the same agreement except a real estate agent is also involved. Property-specific purchase agreements regard vacant land or mobile homes. When purchasing real estate, make sure you understand that certain contracts may only be applicable in specific situations.
Make sure it correctly lists the essential details.
This contract is legally binding, and as such, must list exactly what both parties have agreed upon. Before you sign your agreement, check to make sure it has the following:
- Correct price
- Correct closing date
- Offer expiration deadline
- Earnest deposit amount
- Any contingency conditions
- Who is assigned the fees for inspections, survey, and title insurance
Choose a reliable escrow company to withhold and enforce the contract
An escrow company is a third-party service that will keep the property deed and all other documents safe and secure. They’ll hold the deed until the transaction is completed and both seller and buyer are satisfied. They’ll also record all monetary transactions for both parties and help the seller and buyer come to reasonable agreements if there is ever a dispute.
Real Estate Contract Albuquerque
It’s critical that you understand the terms of this document, that the contract lists the correct details of the agreement, and that a trustworthy escrow company oversees the transaction. Sunwest Escrow has been one of the most trusted escrow companies in New Mexico for thirty years. If you have questions about your real estate contract, we’d be happy to answer your every question. Call us today for more information.