Note! ️The house buying and selling procedures are complicated. We provide one-stop service from assisting with loans, low interest rates for first-time home buyers, to house delivery, decoration and taxation.
Million-dollar real estate agent | Massachusetts licensed decorator Chen Yi
Tel (617) 309-0288
No matter when and where you buy a house in the United States, signing a real estate contract is indispensable and important, so the terms in the contract must be checked and confirmed one by one. Today, the following precautions are to help you check when signing the contract: time limit, verbal evidence, and any contract changes should be in writing! This article mainly lists for friends what key matters need extra attention when signing a contract for buying a house in the United States? Avoid buying a house pit, remember to save it!
The Entire Contract Change is Mainly in Writing
At any stage of the house purchase process, verbal promises made by the buyer and seller during the negotiation of prices or other terms are usually not legally protected. Remember to write these verbal promises down in the contract.
How the Buyer Pays
The payment method and transaction process are also different. The contract must explain how the buyer will pay. Most buyers pay a "deposit" in advance. The "third-party trust company" EscrowHolder refers to a neutral company that is not affected by the buyer or seller. They will keep the deposit for the buyer. In this paragraph, the buyer can also indicate whether a loan is needed (if a loan is needed, how much to borrow), or whether the buyer will use other existing funds to purchase the house.
Completion of the Transaction and Handover of the Property
State when the buyer will move in and when the seller should move out. If there are still tenants living in the property, state how the current tenants will be accommodated and when the buyer can expect to receive the keys. Make sure these are clearly marked.
Cost Sharing and Payment
The contract should specify who will pay for the costs of buying and selling the property, the buyer or the seller, such as property neighborhood report fees (whether the house is located in an area prone to earthquakes, fires, and floods), title insurance premiums, notary fees, land taxes, or other government fees.
Property Disclosure and Right to Cancel Contract
The contract should state certain matters that the seller must notify the buyer in writing as required by law. For example, whether the paint on the house contains lead, whether the house is located in an earthquake zone or an area prone to fire and flooding, and any problems with the house that the seller knows about. Generally, if the buyer does not like any of the statements, the buyer has a few days to consider canceling the contract and getting the full deposit back.
Independent Property Apartment/proposed Filing Statement
The contract should state that when the property is subject to certain regulations, the seller must provide the buyer with additional information.
For example: if the house is a condominium or other owners share a swimming pool or conference room, etc., there are established clauses.
Conditions Affecting the Home
The contract should state that upon delivery, the house should be in the same condition as when the buyer signed the contract. The seller is not required to repair anything that has been damaged.
However, the seller must tell the buyer about any damages known to the seller and is responsible for repairing any damage that occurs after the parties have signed the contract. This section also reminds the buyer that the buyer has the right to "inspect" the property. If the buyer is dissatisfied with the inspection, the buyer can cancel the contract, or he or she can ask the seller to make repairs. Although the seller does not have to repair all the problems, if the seller refuses to make repairs after the buyer has made a request, the buyer has the right to cancel the contract and get the deposit back.
Home Repair
The contract should state that if the seller agrees to make repairs, they must be completed before the house is handed over, and the buyer will have the opportunity to inspect the house before handing over to see if the repairs are to the buyer's satisfaction. The contract should state that the buyer promises to compensate the seller for any damages to the house caused by the buyer or an inspector hired by the buyer.
Title and Ownership
The contract should explain some situations that protect the buyer's rights. For example, if the seller does not own all the property, whether there is a property lawsuit or someone else has the right to use part of the property (for example, a neighbor); these situations should be checked to see if they are clearly listed in the contract.
The Maximum Loss if the Buyer Fails to Perform the Contract
The contract should state that if the buyer cancels the contract without sufficient reason, the seller can sue the buyer for damages.
If the buyer signs this text and then cancels the contract without reason, the seller can still sue the buyer, but generally speaking, the maximum amount of loss the buyer will suffer is the deposit paid.
