REAL ESTATE PURCHASE CONTRACT

          THIS AGREEMENT, dated this           day of                             ,          , by and between                                         (name of purchaser) of                          
                                                                                     
(address of purchaser), hereafter referred to as the Buyer, and                                          (name of seller) of                                                                                (address of seller), hereafter referred to as the Seller, recites the following terms and conditions:
          1. Promise to Purchase Real Estate: The party of the Seller has agreed to sell certain real estate to the party of the Buyer in conjunction with the consideration, terms and conditions of this agreement. This agreement is subject to the various laws of the State of                   and may be filed with the appropriate governmental entity in order to provide proper notice to any interested parties and the public.
          2. Description of Property: The property sold by the party of the Seller to the party of the Buyer is legally described as: 

(provide legal description of property)

          The aforementioned property may be subject to various zoning restrictions, easements, restrictive covenants, rules, regulations and laws as a survey of the premises, review of the abstract and the examination of various title documents may demonstrate. The party of the Second Part shall make available to the party of the First Part such documents for review when appropriate or when requested.
          3. Consideration: The Buyer shall pay the purchase price of $               (total purchase price) to the Seller for the above-described premises, exclusive of any amounts of interest that may be due by the Buyer to the Seller, pursuant to the following. A down payment of $                 (amount paid down) shall be paid by the Buyer to the Seller on the           day of                             ,          . The balance of the purchase price $                 (purchase price minus down payment) shall be paid by the Buyer to the Seller plus interest at the rate of          % per month and shall be due on the          day of each and every month. The first monthly payment shall be made on the           day of                             ,          , with a payment on the          day of every month thereafter until the           day of                             ,          .  

This is not a substitute for legal advice.  An attorney must be consulted.
Copyright 1994 - 2015 by LAWCHEK, LTD.

 

 

At the time of the last payment, any remaining and unpaid balance or balloon payment amount shall be made. The balloon amount, providing all regular payments, taxes, special assessments, etc., have been paid by the Buyer, shall be $                 (final or balloon payment).
          4. Taxes/Special Assessment: The Seller shall pay all taxes and any special
assessments that have occurred or been assessed on the property up to and including the           day of                             ,          . The Buyer shall pay all taxes and any special assessments that have accrued or been assessed after the aforementioned date. In conjunction with this provision, the Seller agrees to pay $                   for any taxes or assessments attributable to his/her ownership/possession, and the Buyer agrees to pay all other taxes and assessments.  If the Buyer fails to pay taxes or assessments when due, the Seller may, to protest interest, pay such amounts. In such event, the Seller may assess the advances plus interest to the Buyer or declare this contract in default in conjunction with the default provision of this contract.
          5. Mortgages/Encumbrances: The Seller shall, with the proceeds of the payments made by the Buyer, make all payments to other parties who may hold a mortgage or lien in order to satisfy all mortgages and other encumbrances upon the property. The Seller is permitted to make such payments monthly as payments are received from the Buyer. The Buyer shall receive monthly verification from the Seller that the mortgage or other obligations of encumbrances are satisfied to third parties by the Seller. If the Seller fails to provide verification or fails to make the required mortgage or encumbrance payment obligations, the Buyer may make arrangements for the monthly obligation to the Seller under this contract to be paid directly to the party who holds a mortgage or other encumbrance on the property. Once the Buyer has reduced the balance of this contract to the existing mortgage or encumbrance amounts, the Buyer, if permitted by the party holding the mortgage or encumbrance, may either assume the mortgage or encumbrance or pay the monthly amounts directly to the holder of the mortgage or encumbrance. Such payments would occur in the event the Seller's equity interest has been paid to the Seller . Buyer shall be appropriately credited for such payments.

 

This is not a substitute for legal advice.  An attorney must be consulted.
Copyright 1994 - 2015 by LAWCHEK, LTD.

 

 

          6. Insurance: The Buyer, from the date of possession forward, shall maintain insurance coverage for all liability, fire, tornado, flooding, other hazards and contingencies as the Seller may require on all buildings existing or erected on the above-described premises and the contents, if any of the contents have also been sold by the Seller to the Buyer. The Buyer shall obtain an appropriate rider on the insurance policies with the Seller identified as the owner in fee simple of the premises. In the event of any loss, the Seller must be a co-payee of insurance proceeds in order to assure the proper replacement or repair or loss to the premises.
          7. New Encumbrances/Liens: Neither party may encumber the above described property in any way during the term of this agreement unless specific written consent is received by the other party.
          8. Deed/Bill of Sale: Once all terms and conditions, including full payment of the consideration for the above-described property, have been fulfilled, the Seller shall execute and deliver a Warranty Deed to the Buyer. The deed shall convey title in fee simple. The Seller will demonstrate merchantable title, and also provide the Buyer with the abstract to the property showing the original government patent and/or platting, the title in the Seller's name and the disclosure of all easements, restrictions and covenants on the property. The Seller shall pay the abstracting costs to the date of the Buyer's final payment under this contract. A Bill of Sale shall be executed by the Seller if any personal property is a part of this conveyance. The deed of conveyance may contain restrictions or qualifications as to zoning, easements, restrictive covenants or specific regulatory matters that restrict use of the property. If the property is held in joint tenancy, the deed provided must properly reflect such ownership and conveyance.
          9. Forfeiture/Foreclosure: If the Buyer fails to perform any portion of this contract, as agreed, the Seller may take appropriate action to reclaim the property including the legal action of contract forfeiture. In the event forfeiture is necessary, the Seller shall also be entitled to attorney fees and costs. The failure of any of the following may constitute grounds for forfeiture: (a) payment of amounts due under this contract; (b) payment of taxes and/or special assessments; (c) maintaining insurance; (d) maintaining the premises in good condition and/or reasonable repair; (e) using the premises for lawful purposes; (f) complying with applicable law

This is not a substitute for legal advice.  An attorney must be consulted.
Copyright 1994 - 2015 by LAWCHEK, LTD.

 

 

regarding use of the premises and; (g) complying with the provisions of this contract. Additionally, the failure to comply with the provisions of this agreement by the Buyer shall give the Seller the right to issue a         day notice to accelerate the payment of the entire balance of this contract.
          10. Interest on Delinquency: On any amounts deemed to be delinquent by either party under this contract,           % interest per annum may be applied on such delinquent amounts.
          11. Possession: The Buyer shall take possession of the premises on the           day of                             ,          .
          12. Applicable Law: The laws of the State of                          shall govern the terms and conditions of this contract.
          13. Other Provisions:

 

          Dated at                                                                          (location contract is signed) this           day of                             ,          .

                                                                                       
                                                                                       
Name and Address of Seller Name and Address of Buyer
                                                                                       
                                                                                       
Name and Address of Spouse Name and Address of Spouse

 

STATE OF                                         )
)ss
COUNTY OF                                         )

          On this           day of                             ,          , the persons identified above,                                                                                      (list parties), signed before me, a Notary Public, their signatures when they personally appeared to declare the above voluntary act and deed.

                                               
NOTARY PUBLIC

This is not a substitute for legal advice.  An attorney must be consulted.
Copyright 1994 - 2015 by LAWCHEK, LTD.

This is not a substitute for legal advice.  An attorney must be consulted.
Copyright 1994 - 2015 by LAWCHEK, LTD.

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