Buying and selling real estate is often, the most significant investment a family or business makes. Agreement on the price is only the beginning of the transaction. Here are some of the other considerations that must go into the formulation of the contract:

Deposit Money - Where is the money being held, bearing interest or not? Who gets the interest?

Contingency - Are there conditions that are or should be placed upon purchaser's obligation to purchase? Is the sale "as is"? How long should contingencies be?

Place of Closing - Where, when, who has to be there?

Type of Deed - What type of instrument will be used to convey title and how will the buyers hold title, i.e., joint tenants, tenants in common, tenants by the entirety?

Flood Area - Is the property in a flood zone? Does the buyer need flood insurance?
Inspections - Can the buyer have the property inspected? What must the sellers fix if anything, prior to closing? What should the buyer do to find out about environmental contaminants? What if there are no major problems but many small problems?

Risk of Loss - What happens if the property is damaged or destroyed during the pendency of the contract? Is the buyer obligated to buy the property so long as the seller repairs or rebuilds it?

If the Property is part of a residential or commercial owner's association or cooperative - What are the governing documents? Do you need approval to buy or sell your property from the association? Are there occupancy restrictions? Are there other restrictions? Does the buyer fit all of the qualifications or restrictions? Does the seller have to tell the buyer about restrictions? Does the seller have to tell the buyer about added or special assessments or other problems that the association has for which the buyer would be responsible?

If the Property has a well and septic - Can the buyer have the systems tested? What if the drinking water has contaminants, such as lead?
Brokerage Fees - If the seller doesn't pay the realtor the commission due for the sale, does the buyer have to pay it?

Zoning - Is the use intended by the buyer allowable on the property? Is a site plan review or variance needed?

Condition of the property at the time of sale - What if the Seller leaves the property in a mess? What if there are tenants who have not vacated?

Warranties of Seller - What statements made by the seller can the buyer rely upon? What about Megan's Law?

Survey - Is a new survey needed? In the event there is a discrepancy between the legal metes and bounds description contained in the previous deed description and the new survey obtained by the buyer, what happens?
Buyer Financially Able To Close - What happens if the Buyer doesn't have sufficient cash available to complete the purchase? What if the Buyer or Seller doesn't close title when they are supposed to?

Legal Action - In the event the buyer or seller breaches the contract, who has to pay the cost of the attorney's fees incurred?

This information should not be considered legal advice and is not intended as a substitute for consultation with an attorney