Common Contracts

Sales contract for house template

June 6th, 2023

• Filed
  June 6th, 2023

This specific contingency helps set a timeframe to apply for a mortgage and close on the loan. Inspection Contingency – This clause gives the Buyer the authority to have the home inspected by a professional inspector. The inspector will evaluate the property prior to closing and provides additional protection to the Buyer who can cancel the agreement or ask for certain repairs to be completed before purchasing the home. Home Insurance Contingency– The Seller can request for a Buyer to purchase a home insurance policy. Each contingency has a specific deadline and if it’s not met by the deadline the agreement can be cancelled by the parties. If all the conditions are met, the contract is legally binding so if a party decides to backout of the agreement they may be in breach of a contract and could face financial penalties or legal repercussions. Caveat Emptor (“Buyer Beware”) Caveat Emptor is a Latin phrase that means “let the Buyer beware.” In a real estate transaction, it means that th