The Minnesota Residential Real Estate purchase and sale agreement is a document that is used to formalize an offer to purchase real estate. The written agreement must contain the amount offered by the buyer, how he can finance the purchase and the duration during which his offer is open. State law requires the buyer to receive a disclosure of all defects or deterrents that the domicile has. This written statement must be given to potential buyers before a written agreement is reached. If the buyer and seller agree to both terms, both must sign the contract to formalize the sale. Deed contracts (§ 559.202) – If the person who placed the good on the market is a “multiple seller”, he is required to complete and annex the communication related to the title to the front page of the sales contract. After you and the buyer agree on a price, you want to create a worksheet for a sales contract. For an idea of what should be included, check out the two usual forms in Minnesota for buying residential properties. These are published by the Minnesota State Bar Association and the Minnesota Realtors Association.
The FSBO seller can learn a lot about what needs to be done to close the sale by studying one or both of the sales contracts mentioned above. The brokerage form is shorter and, in some cases, easiest to use for your FSBO sale. The State Bar Association form is more detailed and may be a better form if you need the more specific contingencies and provisions it contains. Click here for Minnesota Contract of Sale forms, which you can also use for the sale of your home. You can then decide which provisions are important in your FSBO sale and whether additional forms should be added to your final puchase contract. The following links introduce you to certain aspects of the sales contract. Lead-based color disclosure – If the residence was built before 1978, the seller must provide the buyer with written information describing their knowledge of the use of lead-based paint on the land (if applicable). Location of Brunnen (§ 103I.235) – The seller must inform the buyer of the location of all wells within the boundaries of the land and give a brief description of their current status. The potential buyer will set a date on which his offer will end, at what time; the seller may submit a counter-offer….