When you are buying or selling a piece of real estate, it is important that you understand how to write a legal contract. If you fail to include any of the required elements or the seller does, then it makes the contract invalid. This can lead to serious issues down the road. The following are the required elements for a real estate contract, according to the North Carolina Real Estate Commission.
Your contract must contain an offer. It needs to explain the terms and conditions, but you can decide what exactly those are. The offer itself is the only required element. There also must be an acceptance of the offer. That means the person signing the contract is accepting whatever offer and accompanying terms and conditions are outlined. Along with this, you have to explain what is being given in the offer and what you will receive in return. In this case, you would be offering the property and receiving payment.
The contract also needs to contain language explaining its purpose and how acceptance of the contract is going to be accomplished. Generally, this will outline the payments being made and when the other person will take ownership of the property. Finally, you have to include language that acknowledges that you and the other person are both legally capable of entering into the contract.
Your contract must also be in writing. Oral contracts for real property are not legally binding. This information is for education and is not legal advice.
