Purchase Agreement (Improved Property) Form #2 (Revised 19Nov06 at 01:25)

Use this form to purchase a property.

 Date
 Prepared:
 Property
 ID #:

"PROPERTY"
Location/Complete Address

 

"BUYER"
Name, Address, Phone & Fax

 

"SELLER"
Name, Address, Phone & Fax

 

"MANAGER"
Name, Address, Phone & Fax

 
The PROPERTY is located in the County of ____________________________________, State of Indiana, USA.
The above mentioned "BUYER", has conducted his/her own examination/inspection of the above mentioned PROPERTY, and hereby agrees to purchase the above mentioned  PROPERTY from the above mentioned SELLER.
PURCHASE PRICE:
BUYER hereby agrees to pay SELLER the total sum of:

__________________________________________________________________ Dollars ($________________________),
 for the above mentioned PROPERTY upon the Terms and Conditions below:
TERMS AND CONDITIONS:
1.  SELLER warrants that he/she has a good and marketable title to PROPERTY, and SELLER has full authority to sell said PROPERTY, and that PROPERTY will be sold by warranty deed of sale free and clear of all liens, encumbrances, liabilities and adverse claims of every nature and description.
2.  The PROPERTY is being purchased via:
¨  CASH SALE - The entire purchase price shall be paid in cash/line of credit, etc. and no financing will be required by the BUYER.  After SELLER's acceptance of this PURCHASE AGREEMENT, the BUYER shall be allowed "no more than" ________ days to purchase/close on the PROPERTY.  If BUYER fails to purchase the PROPERTY by the above mentioned number of days, the PROPERTY will again be listed "For Sale", unless otherwise agreed to in writing by both parties.
¨  NEW MORTGAGE - After SELLER's acceptance of this PURCHASE AGREEMENT, BUYER shall be allowed "no more than" _______ days to obtain a favorable commitment from any financing institution to purchase the PROPERTY.  If BUYER fails to obtain a favorable commitment from a financial institute (to purchase the PROPERTY) by the above mentioned number of days, the PROPERTY will again be listed "For Sale", unless otherwise agreed to in writing by both parties.
3.  BUYER is to take complete possession (upon closing) or, on the _________ day of _______________________ 200___.
4.  SELLER'S (liability) Insurance is to be (assumed) or (cancelled) at the date of closing.
5.  Rents from existing tenants, if any, are to be prorated to the date of the closing.  Security Deposits for existing tenants, if any, are to be turned over to the BUYER at the time of closing.
6.  All risk/liability associated with the PROPERTY shall be borne by SELLER until the time of the closing.
7.  Interest on encumbrances assumed by the BUYER (if any) is to be prorated to the date of closing.
8.  BUYER will assume and agree to pay all installments of taxes on said PROPERTY beginning with the installment due and payable in (May of 200___) or (November 200___), and all installments thereafter.
9.  If the tax rate for taxes assessed in the current year has not been determined at the closing of the transaction, said rate is to be assumed to be the same as the prior year.
10.  BUYER will assume and agree to pay all assessments for municipal improvements which are completed after the date of this PURCHASE AGREEMENT.
11.  PROPERTY shall be sold to BUYER in an "AS IS" condition unless otherwise stated in this PURCHASE AGREEMENT.
12. BUYER shall be furnished with said "Deed", paid for by the SELLER.
13. SELLER'S policy of "Title Insurance" shall be in the total amount of the purchase price, paid for by the SELLER.
14. 
The insurance policy, or abstract has to show an insurable or merchantable title to the PROPERTY.  This has to be in the name of the SELLER, subject only to easements and restrictions of record, if any, and free and clear of the other liens and encumbrances, except as stated herein.  If such abstract fails to show such merchantable title then such SELLER'S title policy shall be furnished.
15.  In the event this PURCHASE AGREEMENT provides for a conditional sale of the PROPERTY, SELLER will execute to BUYER, a conditional sales contract upon standard form.
16. 
SELLER agrees to pay up to _______% of the Purchase Price toward BUYER’s closing costs, pre-paids and points.
17.  The BUYER understands and agrees that he/she is utilizing the services of the SELLER's, property "MANAGER" in this "For Sale by Owner" transaction.  BUYER and SELLER further understand and agree that the property MANAGER will be compensated by the SELLER for this transaction and, all other transactions between the BUYER and the SELLER hereinafter, concerning the sale of properties listed on the MANAGER's web site.

19. 
Additional Terms and Conditions:

____________________________________________________________________________________

 

CLOSING:
This transaction is to be closed within _______ days after said binder for title insurance or abstract showing merchantable title as provided for above is delivered to BUYER.  Said title work is to be ordered (immediately) or (immediately after loan approval).
The above selling price includes all improvements permanently installed, such as electrical and/or gas fixtures, heating equipment and all attachments thereto, air-conditioning, (excluding window units), built in kitchen equipment, hot water heaters, incinerators, window shades, curtain and drapery poles and fixtures, Venetian blinds, storm doors and (list any additional items here):

________________________________________________________________________________________________.
These items belong to the above PROPERTY and are now on the premises or elsewhere.  All said items that are not on the PROPERTY will be there at the date of closing, fully paid for by the SELLER.

DEPOSIT (Earnest Money):
¨ No Earnest Monies were deposited with SELLER or MANAGER.
¨ BUYER hereby deposits __________________________________________ Dollars ($__________________) with (SELLER), or (MANAGER) as Earnest Money.  If this PURCHASE AGREEMENT is accepted, the Earnest Money will be applied against the purchase price of the PROPERTY.  If this PURCHASE AGREEMENT is not accepted by the SELLER, the above mentioned Earnest Money shall be returned, in full, promptly to the BUYER.  In the event this PURCHASE AGREEMENT is accepted, and the BUYER, without legal cause, fails or refuses to complete the purchase of the PROPERTY in accordance with the terms and condition as stated above, SELLER may pursue all legal or equitable remedies available to SELLER under the law and the Earnest Money shall be retained by the SELLER or the MANAGER in payment of advertising, services and other marketing expenses, not to exceed the amount of the commission due MANAGER, of said purchase of the PROPERTY, completed under MANAGER's listing (contract) with SELLER.  These Earnest Monies can not be used to pay any of the BUYER's closing costs (such as credit reports, appraisals, processing fees, etc.).  If for any reason this sale is not completed (purchase of this property), the BUYER  understands that they are personally responsible to the lender or to the mortgage company for all appraisals, credit reports, processing fees (closing costs), etc. incurred on the Buyer's behalf and must be reimbursed immediately.
ACCEPTANCE of MANAGER'S FINDERS FEES:
o The SELLER, and/or o the BUYER of the above mentioned PROPERTY, hereby agree to pay the MANAGER (if any) the total sum of ______% of the selling price, or ($______________________________) as a "Management/Consulting/Finders Fee" for services rendered.  Payment to be made thru the Title Company at the time of closing, as per the HUD-1.  This amount may or may not include a deduction for the above mentioned DEPOSIT (Earnest Money) already paid to SELLER/MANAGER, if any;
¨ The MANAGER's fee is included in the above mentioned Purchase Price and will be paid to the MANAGER by the SELLER at, or after the closing;
¨ No Manager's or Finders Fees are to be paid.
BUYER'S ACCEPTANCE of this PURCHASE AGREEMENT:
As the BUYER (purchaser) of the property described above I/we expressly agree that all the terms and conditions of this transaction are included herein, and no verbal agreements of any kind shall be binding or recognized.  It is further agreed to that any and all future changes to this PURCHASE AGREEMENT must be agreed to, only in writing, by all parties.  I understand and agree that this offer is void, if not accepted by the SELLER or the Seller's Manager in writing within 72 hours (3 days) from the first signing of this PURCHASE AGREEMENT.

This PURCHASE AGREEMENT is first signed on this __________ day of _______________________, 200___.

BUYER Signature: ____________________________________  Printed: ______________________________________

BUYER Signature: ____________________________________  Printed: ______________________________________
SELLER'S ACCEPTANCE of this PURCHASE AGREEMENT:
As the SELLER (owner) or the Seller's MANAGER of the property described above, I/we hereby accept the terms and

conditions of this PURCHASE AGREEMENT this  __________ day of ______________________, 200___.

SELLER Signature: ____________________________________  Printed: ______________________________________

SELLER Signature: ____________________________________  Printed: ______________________________________
 Property
 Address:
 Property
 ID #:
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 P.O. Box 1724, Indianapolis, IN 46206 USA |
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