Washington Real Estate Purchase Agreement

Legal Aspects 

When drawing up a purchasing contract, you must follow a few writing requirements. 

Writing Requirement

• All involved parties must sign the agreement for it to be considered valid. Without their signatures, this document isn’t lawfully enforceable.

• Any real estate contract also requires the following four (4) elements:
  • One: Mutual assent between the parties.
  • Two: A valid offer from the buyer and acceptance from the seller.
  • Three: Adequate consideration of the offer and exchanging items of value.
  • Four: A legal purpose according to Washington laws and parties legally capable of signing.

• The contract further requires specific information for the court of law to consider it complete:
  • The names, contact details, and addresses of involved parties, like buyers, sellers, agents, and brokers.
  • Listing the property’s legal description and registered address.
  • The purchase price that both parties agreed upon when initially making and accepting the offer.
  • Stating all contingencies the parties must complete before the sale, like a home inspection, financing, or repairs.
  • Include a closing date when the contract and transaction are complete. Generally, it’s around 41 days, but it can be less if it’s a cash transaction.

• While not required, an earnest money deposit is also a good way to ensure neither party withdraws from the offer. The amount’s norm can differ, but generally, it’s between 1% and 3% of the property’s overall price. However, it can be higher depending on how competitive the market is.

Required Disclosures

There’s a specific process sellers must follow when selling property. After making the agreement, the seller has five (5) days to send the buyer the Seller’s Disclosure Statement. The buyer will have three (3) days to accept or cancel the offer once they receive the statement. Should the buyer cancel the offer, they must send a written notice within three (3) days. Otherwise, the seller can assume the buyer accepts the offer.

• Seller’s Disclosure Statement: This statement outlines the property’s condition. It must explain material facts or any defects the seller knows about that can affect the property’s worth. This document is the form that the seller must send to the buyer within five (5) days of accepting the agreement but before signing the contract.
• Lead-Based Paint Disclosure: Sellers must notify buyers of any lead-based paint on the property. It’s only necessary with properties built before or in 1978. This notification should also describe the hazards of lead-based paint and lead poisoning.