Essential Elements Within an Offer to Purchase
Category Principal's Message
Making an Offer to Purchase is an important step in the buying or selling process.
This agreement becomes a legally binding contract once signed by both parties.
It is vital that the following factors are included in the contract:
- The precise purchase price with any considerations given by the purchaser to the seller.
- Any conditions of sale, eg: that the purchase price is dependent on the buyer obtaining a bond.
- That the deposit will be held in a trust pending the completion of the sale and that interest accrued is due to the buyer.
- That all fixtures and fittings, anything glued or screwed down, are deemed to be part of the property as a whole. All items should be listed separately in the contract to avoid potential complications later on.
- That the owner declares that to the best of his knowledge, the house is structurally sound. Although sellers may try to protect themselves from any claims by a "voetstoots" clause, this will only protect them from claims where they were not aware of defects. If the seller was aware of defects and failed to disclose them, this protection becomes invalid.
- If the seller is in possession of approved plans, there should be an undertaking to provide a copy of these plans.
- In the case of a newly constructed home, a copy of the NHBRC certificate as well as occupation certificate may be necessary .
- Electrical compliance and certification is required, the agreement of sale should address any issues.
For specialist property advice contact Prime Property
031 566 5416
Author: Prime Property Marketing
