Buying or Selling a Home/purchase agreements

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Expert: Jim Root - 1/3/2010


Question
i am stuck on this question and was wondering if u could help me.. what 5 essentials does a valid real estate purchase agreement have?
A) parties' capacity/ mutuality/ offer and acceptance/ consideration/ is in writing
B) consideration/ mutuality/ legality/ lawful objective/ is in writing
C) offer and acceptance/ legality/ capacity of parties/ mutuality/ is in writing
D) parties' capacity/ mutuality/ legal object/ consideration/ is in writing

Answer
RYAN--

I get the feeling that I should reject this question as it has the feel of a "Homework Question," and we're not supposed to answer them. Looks like a "Multiple Choice," and ALL of them
are OK! You can "dig out" your answer from my response below:

(1) DATED--Date of Offer,other dates such as for Home Inspections, Loan Approval, etc."On or before" Date of Closing/Transfer of Ownership AND Contract Termination Date(Optional), ie. Date the Contract "Self-Destructs" if Closing Date hasn't been met.

(2) WRITTEN--Verbal Agreements are NOT valid for Real Estate transactions. EVERYTHING must be in writing!

(3)SIGNED--Both parties must sign the Offer/Acceptance to make it a Contract.Any pen-and-ink changes made to the Offer and/or Counteroffers MUST be INITIALED!

(4)CONSIDERATION--The agreed-upon Price and a Deposit (Earnest Money)

(5)TERMS & CONDITIONS--What's included in price? Curtains/Drapes, Refrigerator? Patio Furniture?
Who's going to provide financing and what type (FHA,VA or Conventional)Who's the Closing Agent, etc?


Hope this helps. GOOD LUCK!


--JIM

Buying or Selling a Home

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Jim Root

Expertise

How to select the right Real Estate Salesperson & Loan Officer--ones who will serve your best interests! House-hunting tips & suggestions on selection of the home best for your family needs. Introduction to the Home Buying Process & all the "Players" involved.What is of utmost important to the Homebuyer? Real Estate Contracts & Negotiations, Appraisal needs, Title Co. involvement, Home Inspection issues& the Closing/Escrow systems, etc. Whatever your question, the answer will follow, whether from personal knowledge or research! Gale, shown here with me, has been a Real Estate Office Administrator, licensed Realtor & has served as my Research Assistant over the years!

Experience

Over 30 years as a "Real Estate Professional." including Real Estate Marketing & Sales, Appraisal work, Mortgage Banking & as a Realty Officer with U.S Dept. of HUD's FHA Homeownership Division in Alaska, Washington & Idaho! Some experience in Montana, California, Utah & Nevada markets!Knowledge of National Markets by continuous Research!

Organizations
Former member of Nat'l Ass'n of Realtors (NAR) & Mortgage Bankers Ass'n of America (MBAA). Currently with National Association of Review Appraisers & Mortgage Underwriters (NARA/MU).

Publications
Published in various local, state, regional & national Real Estate-related magazines & newsletters!Co-author of various Govt. publications on Homeownership, Appraisals & Mortgages while with HUD/FHA.

Education/Credentials
Associate Degree in Real Estate Studies plus: Numerous Real Estate-related Courses conducted by the U. S. Government & Private Industry over the past 30 years. Bachelors Degree in Mass Communications, Masters Degree in Education/Teaching

Awards and Honors
Professional Designations: Certified Residential Originator (CRO) from MBAA, Registered Mortgage Underwiter (RMU) & Certified Review Appraiser (CRA) from NARA/MU. Outstanding Peformance Awards for 10 of the 12 years with HUD/FHA & numerous Sales/Listing Awards while a licensed Real Estate Agent.

Past/Present Clients
No longer selling/listing Real Estate, nor Appraising properties, nor working in the Mortgage business, this "Real Estate Pro" serves as Director of a Company that provides Professional Development Seminars & Workshops to the "Real Estate Industry" and provides free (as needed) & fee-paid (on a sliding scale) consulting & inspection services to members of the general public.Your questions will be answered without "salesmanship" & with your best interests in mind!

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