Selling A Residence: Will I Need A Contract?
You probably know people who didn't have to list their house for sale because they had a friend, relative, co-worker or new acquaintance who wanted to buy it. They just needed to close the sale themselves and didn't know for sure what comes next after finding a buyer. What an enviable problem! Finding a buyer is the first of many steps in the process of getting a house sold, but it's just the beginning of the process.
The most important thing homeowners need to know is that the sale of their house is different than the sale of anything else they own. The legal term is "real property" and specific laws, differing somewhat from state to state, cover the sale of real property. For one thing, it must be in writing. Meaning, there cannot simply be a verbal agreement between the buyer and seller. It may start out as a verbal agreement, but it must quickly become a written agreement to be legal.
Real estate forms used by brokers and lawyers include all the elements necessary for the sale of a home in any local area. State laws and municipal laws, if any, are incorporated into the forms.
You can buy books written for homeowners who are selling a home themselves. This article is not advising you how to write a legal contract, but only to make sure you know that you will need a written contract and suggest where you might locate one.
Do not attempt to write a legal contract for the sale of your house yourself. It's simply not wise. Although I've bought and sold hundreds of homes I don't sit down and write out contracts by hand. I'd never do that because it's too easy to leave something out or make a mistake that could cost me a lot of money. Instead, I have a form drafted by my lawyer that I photocopy and carry with me. Sometimes it's just not possible to use my laptop, so that's why I keep printed forms in a folder in my vehicle.
If you don't have real estate contract forms on hand, the smartest thing you can do when you are selling your house is to talk to a real estate broker or a lawyer and ask them to draft the contract for you. They have the forms and the knowledge to make sure it's done correctly. Yes, you will probably have to pay them for this service, but it will be worth the money to make sure the process of selling your home is legally correct.
Real estate forms you find online may or may not have all the necessary legal elements for your local area, so be careful before using any of those. Your local brokers and lawyers should have local forms that will take care of your needs.
About the Author
Leo Kingston and his wife Paulette own 18002sellhomes in Oklahoma City. They have been helping people sell a home fast for cash for over 20 years in the central OKC area. They offer house owners a way to quickly sell a house without the hassles of having to use banks or Realtors: http://www.18002sellhomes.com
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