Agreement To Sell Property Template for United States

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Key Requirements PROMPT example:

Agreement To Sell Property

"I need an Agreement To Sell Property for a commercial warehouse in Texas, valued at $2.5M, with specific environmental compliance clauses due to previous industrial use and a contingency for the buyer to obtain financing by March 2025."

Document background
The Agreement to Sell Property serves as the primary legal document governing real estate transactions in the United States. This contract type is essential when transferring ownership of real property, whether residential, commercial, or industrial. It protects both parties' interests by clearly defining the terms of sale, including purchase price, closing conditions, and any contingencies. The agreement must comply with state-specific real estate laws and federal regulations, including the Statute of Frauds requirement for written contracts. It typically includes property descriptions, payment terms, inspection rights, and closing requirements, while accounting for local zoning laws and environmental regulations. This document is crucial for establishing legally enforceable rights and obligations between the parties involved in the property transaction.
Suggested Sections

1. Parties: Identification and details of seller and buyer including full legal names, addresses, and any relevant registration numbers

2. Background: Context of the sale, basic property description, and intention of the parties to enter into the transaction

3. Definitions: Key terms used throughout the agreement including Property, Purchase Price, Closing Date, and other relevant definitions

4. Property Description: Detailed description of property being sold including address, legal description, boundaries, and included fixtures/fittings

5. Purchase Price: Agreed purchase price, payment terms, deposit requirements, and method of payment

6. Closing Details: Closing date, location, requirements for closing, and allocation of closing costs

7. Title and Deed: Requirements for clear title, title insurance, and deed transfer procedures

8. Representations and Warranties: Statements of fact by both parties regarding property condition, ownership, authority to sell, and other material facts

9. Default and Remedies: Consequences of default by either party and available remedies

10. Governing Law: Specification of applicable state law and jurisdiction

Optional Sections

1. Financing Contingency: Terms related to buyer obtaining mortgage financing, including deadline for securing financing and consequences if financing fails

2. Inspection Contingency: Terms related to property inspection, timeframe for inspections, and buyer's rights based on inspection results

3. Sale Contingency: Conditions related to buyer needing to sell existing property before completing this purchase

4. Tenant Rights: Provisions dealing with existing tenants, lease agreements, and transfer of security deposits

5. Environmental Matters: Specific provisions regarding environmental conditions, testing, and remediation requirements

Suggested Schedules

1. Schedule A - Property Description: Detailed legal description of the property including lot numbers, survey details, and exact boundaries

2. Schedule B - Inventory: Comprehensive list of fixtures, fittings, and other items included in or excluded from the sale

3. Schedule C - Title Documents: Copies of relevant title documents, certificates, and encumbrances

4. Schedule D - Property Condition Report: Detailed report documenting the current condition of the property and any known defects

5. Schedule E - Permits and Certificates: Copies of relevant building permits, certificates of occupancy, and other governmental approvals

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Clauses
Industries

State-Specific Real Estate Laws: Each state has its own specific real estate laws and regulations, including requirements for property transfers and local zoning restrictions that must be considered in the agreement.

Statute of Frauds: Falls under Uniform Commercial Code (UCC), requiring real estate contracts to be in writing and signed by the party to be charged.

Truth in Lending Act (TILA): Federal law governing financing aspects of real estate transactions, including mandatory disclosure requirements and buyer's rights and protections.

Real Estate Settlement Procedures Act (RESPA): Federal law that governs real estate settlement processes, including disclosure requirements and prohibition of kickbacks and referral fees.

Fair Housing Act: Federal law prohibiting discrimination in real estate transactions and protecting specific classes of individuals.

State Property Tax Laws: Regulations governing property tax prorations and transfer tax requirements that must be addressed in the sale agreement.

Environmental Laws: Federal and local regulations regarding environmental hazards, including Clean Air Act and Clean Water Act, requiring specific disclosures in property sales.

Building and Safety Codes: Local building codes, safety regulations, and certificate of occupancy requirements that must be complied with in property transfers.

Title Laws: Requirements for clear title, title insurance considerations, and recording requirements for property transfers.

Contract Law Principles: Fundamental legal principles including offer and acceptance, consideration, capacity to contract, and legal purpose that form the basis of any valid contract.

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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