Real Estate

A real estate purchase agreement is a binding contract between a buyer and seller specifying the sale price, closing date, contingencies (financing, inspection, appraisal), and terms of the transaction. Once signed by both parties, it obligates both to complete the sale on the agreed terms.

Contingencies are conditions that must be met for the sale to proceed. Common contingencies include: financing (buyer must secure a mortgage), inspection (property must pass inspection), and appraisal (property must appraise at the purchase price).

Some states (like New York) traditionally require attorney involvement in real estate closings. Even where not required, having a real estate attorney or title company review documents is strongly advisable given the complexity and value of real estate transactions.

Title insurance protects buyers and lenders from claims against the property's title (ownership history). It covers issues like undiscovered liens, ownership disputes, or recording errors. Most lenders require lender's title insurance; owner's title insurance is optional but strongly recommended.