23. April 2013 · Comments Off on Things you should know before Appending your Signature on a Real Estate contract · Categories: Recent

Buying, owning and renting a house is a common thing in the modern world. More and more people are appreciating the need to own a home. Not only does it cut cost, but also provides privacy. With a lot of people on the rush to have their hands on a house, money is changing hands more frequently and this might be dangerous, bearing in mind that there are always unscrupulous business people. It is for security that contracts are signed by two parties involved in a real estate transaction.

You therefore need to have some basic knowledge about things that are involved in real estate before you get yourself in trouble. Some of this basic information includes:

Consideration

This means that there is something of value that is given to the seller or buyer in order to fulfill a promise. In other words, real estate deals with valuable items, for example, money.

Legal Purpose

Concerned parties cannot meet to sign a contract that is based on an illegal trade. Whatever is signed must be a contract that is lawful.

Legal Capacity

Both parties must be of legal age when signing a real estate contrast. It is illegal in all countries to sell or buy land from a person of less than 18 year of age unless they have a guardian or a parent who will transact on their behalf.

Consent

Real estate contracts involve willing buyer and willing seller. The contract should not be signed under any influence of alcohol or involve people of questionable sanity. It should not be signed under coercion, threat or sly manipulation of facts.

Written Contracts

All counteracts should be presented for signing to both parties in written form. This is for security and as evidence of a transaction in case you appear in a court of law.