If you are looking to buy or sell a residential property in Missouri, it is important to understand the legal requirements and regulations that govern the sale of real estate. A residential sale agreement is a legally binding contract that outlines the terms and conditions of the sale of a property. In this article, we will discuss some key things to consider when creating or reviewing a residential sale agreement in Missouri.
The first and foremost thing to consider in a residential sale agreement is the property information. This includes the address, legal description, and any other pertinent details about the property. Both parties must agree on the property information before the agreement can be finalized.
Purchase Price and Financing
The purchase price of the property is a crucial aspect of the residential sale agreement. The agreement should specify the purchase price, the payment schedule, and the financing terms, if applicable. The financing terms should include details such as the interest rate, loan term, and any conditions or contingencies that must be met.
Contingencies and Disclosures
Contingencies are conditions that must be met before the sale can proceed. Common contingencies include a satisfactory home inspection, the ability to secure financing, and a clear title search. Additionally, in the typical sale of a single-family home or condominium, the Sellers provide a “Seller’s Disclosure Statement.” Under Missouri law, a Seller’s Disclosure Statement must be complete, revealing any known defects or hazards. Occasionally, when professional property investors are involved, the property is sold “as is, where is, with all faults” and no Seller’s Disclosure Statement is provided. In an ordinary sale for occupancy by an individual or family, a Seller’s Disclosure Statement should be required and, when provided, must be accurate and complete.
Closing Date and Possession
The closing date is the date on which the sale of the property is finalized. The residential sale agreement should specify the closing date, as well as the date on which possession of the property will be transferred to the buyer. It is important to ensure that both parties agree on the closing date and possession date.
Disputes can arise during the sale of a property, and it is important to have a plan in place for resolving them. The residential sale agreement should outline the steps that will be taken in the event of a dispute, including any required mediation or arbitration.
Finally, it is recommended that both parties have the residential sale agreement reviewed by an attorney before signing. An attorney can ensure that the agreement complies with Missouri law and that the terms are fair and reasonable for both parties.
At Wallach & Associates, P.C., we can handle all the legal requirements and regulations that govern the buying or selling of your residential property. Call us today at (314) 308-2900.