SPA or ‘Sale and Purchasing Agreement’ in full is a contract that ensures the buyer to make purchase and seller to sell its services or product. This contract is widely found in businesses but real estate deals use this paperwork as a legal contract before the deal is made. Since it is well related to real estate purchasing, here are some advices for you to use this agreement in buying a house.
The format of this agreement should show the names of both the buyer and seller. If names are shown then this is not a valid agreement. Some people have similar name but they are differentiated with social security number. Besides that, the agreement should outline all the agreed terms and condition in obtaining the property with the property’s address and relevant details are shown as well.
Furthermore, you must ensure that the Sale and Purchasing Agreement includes the financial details. The sum of money that you are going to pay for the property should be broken down in detail. For example, it should state the actual cost of the house, the lawyer fees required for the ownership transfer and so on.
Next, the terms and condition agreed by both seller and buyer should be listed down specifically. This is to make sure that no misunderstanding or misleading fact to occur during the deal in the future. Sometimes agents are tricky and they can just twist and turn the facts if the agreement is not written down properly. Do not hesitate to do this before making any transaction, as you may just lose your money for no reason.
Lastly, be sure of what you are paying in the agreement. If nothing is listed down, the seller can just push all the other fees like processing fee and legal fee to you. Hence, you should always clarify with the seller before signing the contract.