In Rhode Island, most purchase and sale contracts (purchase and sale contracts) for single-family homes are set out on a form established by the Rhode Island Association of Realtors. The purchase and sale agreement is a very important legal document that generally establishes the selling price, the date, time and location of the closing of residential real estate, contingencies based on financing, as well as many other provisions.
You can try to negotiate changes to this agreement and do not have to sign the standard form. Before signing the purchase and sale agreement, the buyer must contact a lawyer / lawyer from Rhode Island, specializing in real estate law, residential property closings and title law.
This agreement was written with the intention of being fair to both buyers and sellers of residential real estate; However, the buyer must not sign this agreement without paying special attention to all provisions, including the following:
1. The agreement provides a number of days during which the buyer must apply for his mortgage. Under the terms of the Rhode Island Standard Purchase and Sale Agreement, if the buyer fails to apply for the mortgage, the deposit will be forfeited. Make sure you allow enough days for this request to be made.
2. The contract provides that, if the buyer applies for a mortgage loan in excess of the amount stated in the purchase and sale agreement, he will not have the right to obtain repayment of his deposit if his application for a mortgage loan is refused. The buyer must be certain that the amount of his proposed mortgage is the highest amount he intends to claim.
3. The contract provides that the buyer must accept the property with any easements or restrictions of registration affecting the property. The buyer must read the Rhode Island real estate sales disclosure form before signing the purchase and sale agreement. The Rhode Island law requires the seller of residential real estate in the IR to inform the buyer of any restrictions or easements. The buyer must check the disclosure form. If the seller indicates that there are restrictions or easements, he must read them before signing the contract of purchase and sale. If the buyer does not understand the legal implications of the restriction or easement, then he must contact his real estate lawyer.
4. The right of the buyer to recover his deposit if it does not satisfy the home inspection, such as a physical / mechanical inspection, a parasitic infestation or a septic system, depends on the discovery by the inspector of a substantial / defective condition that has not been disclosed to the buyer before the signing of the contract of purchase and sale. This means that the buyer must carefully read the real estate information provided by the seller before signing the purchase and sale agreement in order to make sure that the seller does not have to pay for it. has not disclosed the existing deficient conditions on the property in this form. If deficient conditions have been disclosed, the purchase and sale agreement must be amended to indicate that the buyer may terminate the contract based on those deficient conditions.