Kentucky Real Estate Purchase Agreement

Our customizable Kentucky Real Estate Purchase Agreement template can be used to ensure compliance with state laws. 

Legal Aspects 

In Kentucky, a Real Estate Purchase Agreement is a legally binding document that outlines the terms of the sale of real estate between a buyer and a seller. Here are some key legal aspects of a Kentucky Real Estate Purchase Agreement:

• Legally Competent Parties: The agreement must involve legally competent parties to enter into a contract.
• Legal Purpose: The contract must not violate any laws.
• Offer, Acceptance, and Consideration: The agreement involves an offer from one party, acceptance by another party, and consideration (something of value exchanged between the parties).
• Written Agreement: The Statute of Frauds in Kentucky requires that all contracts involving the sale of real estate must be in writing.
• Specific Information: The contract must include specific information such as party information, property description, purchase price, contingencies, disclosures, additional terms, closing date, signatures, and notarization.
• Disclosures: Sellers in Kentucky are required to disclose any material defects with the property. They must also provide a Property Disclosure Statement and a Lead-Based Paint Disclosure.

This is a general guideline, and specific requirements may vary. It’s always a good idea to consult a real estate attorney or professional when drafting a Real Estate Purchase Agreement.

Writing Requirement (when it becomes legal) 

For a real estate contract to be legally binding in Kentucky, it must contain the following specific elements:

• Party Information: This includes the names and addresses of all parties involved in the transaction, such as the buyer, seller, and agents or brokers.
• Property Description: A legal description of the property, including its full address.
• Purchase Price: The mutually agreed upon price for the property.
• Contingencies: These conditions must be fulfilled before the sale can be finalized, such as a home inspection or securing financing.
• Disclosures: Any warranties or representations the seller makes about the property’s condition. In Kentucky, all real estate contracts must include a seller’s and lead-based paint disclosure, indicating whether the property is free from defects or liens.
• Additional Terms: Any terms and conditions agreed upon by both parties, including fixtures, appliances, or furniture.
• Closing Date: The date on which the sale will be finalized.
• Signatures: The buyer, seller, and any agents or brokers involved in the transaction must sign the contract.
• Notarization: For the contract to be considered valid, it’s necessary to have it notarized.

To be valid and enforceable in Kentucky, a real estate contract must include all the necessary information and comply with all relevant laws pertaining to real estate sales in the state.

Required Disclosures 

In addition to any substantial defects with the property, sellers in Kentucky are required to provide the following:

• Property Disclosure Statement: In Kentucky, the seller of a residential property must provide the buyer with a comprehensive disclosure of the property’s condition before a purchase agreement is signed.
• Lead-Based Paint Disclosure: For any property built before 1978, a disclosure must be provided at the time of property transfer. This disclosure should include any information about the presence of lead on the premises, along with educational materials that explain the risks associated with exposure to this hazardous substance.