Why real estate contract is necessary when buying or renting a house?
Real estate contact is an agreement between the one who sells/rents and the other side who is looking for new property. It protects the rights of both sides involved in property business and defines their responsibilities toward each other. No matter if you are the one that sell or buy an apartment or you are looking for new property this contract will save yourself unwanted stress if the other side is not behaving in the way you have agreed before.
Real estate contact is usually bilateral agreement; however in special situations it may include even a third-party. As all other law documents real estate contracts include the offer and the person that gives the offer and the other side that is accepting this offer under certain conditions. These conditions are specified within the law document that should have some of the next essential elements:
1. Details about parties that are involved;
2. Description of the property;
3. Final negotiated price and the way the sum will be paid;
4. Stipulated period in which the transaction has to be completed;
5. Provision of payment;
6. Stamp or valid signatures;
7. The name of the institution that is in charge for solving the problems if the contract is not obeyed.
In case that you are hiring the real estate agency for getting you new property it should be also included in your real property agreement, however before starting cooperation with real estate agency you should also sign up the agreement with term and conditions between you two. Agencies usually act in the name of their clients trying to represent the client’s needs in the best possible way. However, how far they can go with it and what are their licenses you should settle down with separate agency agreement about your cooperation and the costs of their services.