As a home buyer, the purchase agreement is one of the most important documents you`ll encounter during the buying process. But when exactly do you get a purchase agreement? And what should you do once you have it in hand? In this article, we`ll answer those questions and more.
What is a purchase agreement?
Before we dive into when you get a purchase agreement, let`s first define what it is. A purchase agreement is a legal document that outlines the terms and conditions of a real estate transaction. It is typically written by the seller`s attorney and presented to the buyer for review and signature.
The purchase agreement includes details such as the purchase price, closing date, contingencies, and other important information related to the sale. Once both parties have signed the agreement, it becomes a legally binding contract.
When do you get a purchase agreement?
The timing of when you get a purchase agreement can vary depending on the market and the specific transaction. In some cases, you may receive a purchase agreement shortly after making an offer on a property. In other cases, it may take several rounds of negotiations before a final agreement is reached.
Generally speaking, you can expect to receive a purchase agreement once your offer has been accepted by the seller. This is often referred to as being “under contract.” At this point, you and the seller will work together to finalize the terms of the sale and ensure that all necessary contingencies are in place.
It`s important to note that the purchase agreement is just one of several documents you`ll encounter during the buying process. You`ll also need to review and sign other documents such as the disclosure statement and loan documents.
What should you do once you have a purchase agreement?
Once you have a purchase agreement in hand, it`s crucial to review it carefully with your real estate agent and/or attorney. Make sure you understand all of the terms and conditions before signing anything.
Pay special attention to any contingencies that are included in the agreement. These are conditions that must be met before the sale can be finalized. For example, you may have a financing contingency that states the sale is contingent on you being able to secure a mortgage. If you`re unable to secure financing, the sale may fall through.
If there are any issues or concerns with the purchase agreement, now is the time to address them. Your real estate agent and/or attorney can help you negotiate any necessary changes. Once you`re satisfied with the terms, you can sign the agreement and move forward with the sale.
In conclusion, the purchase agreement is a critical document in the home buying process. While the timing of when you receive it can vary, it`s important to review it carefully and address any concerns before signing. With the right preparation and guidance, you can ensure a smooth and successful transaction.