Your financing has been approved, the home inspection hasn’t turned up anything worrisome – it’s now time to take the final step, sign your Agreement of Purchase and Sale, and officially purchase your new home or cottage in Muskoka. But wait! Are you planning on getting your real estate lawyer to review this very important document before you sign? If not, you’re missing a crucial step. A step that can help to protect you, your rights and your investment in the long run.
What is an Agreement of Purchase and Sale?
An Agreement of Purchase and Sale is a legal document that is written between the buyer and the seller for a particular property. Although usually a standard agreement, Agreements of Purchase and Sale can be confusing. It’s also not unheard of for excited buyers to rush into signing this agreement without a full understanding of what it entails.
What does an Agreement of Purchase and Sale include?
Typically, an Agreement of Purchase and Sale begins by outlining information about the buyer, the seller, the property in question, the purchase price and deposit amount for the property, as well as the length of time that the offer is considered valid.
Fixtures and chattels are also outlined in the Agreement of Purchase and Sale. Fixtures are things that have been added to the property that are not easily removed, such as a water heater or light fixtures. Chattels, in comparison, are things that are moved easily such as a refrigerator.
Title search, future use, closing date and closing arrangements are also included within the scope of the Agreement of Purchase and Sale, as well as any conditions that the buyer would like to include, such as financing or a home inspection.
Finally, an Agreement of Purchase and Sale also includes a number of standard clauses that are important to review and be aware of.
Why do I need a real estate lawyer to review my Agreement of Purchase and Sale?
It’s important to note that an Agreement of Purchase and Sale is a legally binding document. For that reason alone, it makes sense to review your Purchase of Agreement and Sale with a real estate lawyer. There’s also a lot of information contained in this document. With all this information presented to you, it could be easy to not understand part of your Agreement of Sale or miss something important. Conditions, for example, are very important. You’ll want to ensure that the conditions you include in your Agreement of Purchase and Sale are correct and work to protect your best interests.
Working with a real estate lawyer can help you understand all aspects of your real estate transaction, ensuring that nothing is missed and to make sure that your best interests are protected. If you’re considering buying a home, cottage or other property in Bracebridge and the Muskoka area, give Bernie Keating a call today at (705) 645 – 8743 with any questions you might have concerning your next real estate sale or purchase. The team at Ares Law is always here to help whenever possible.
