Real Estate Purchase and Sale Agreements

Contact us for help in creating proper real estate purchase and sale agreements in Berks County, Philadelphia County, and throughout Pennsylvania.

Buying a home or other property is probably one of the most significant and complex purchases you will ever make, but an experienced Real Estate Attorney can walk you through the process and ensure that you are protected by having all of your documents in order, including the real estate purchase and sale agreement, which needs to be signed by both the buyer and the seller.


What is a Purchase and Sale Agreement?

 

A purchase and sale agreement (PSA) is a legally binding document that lists all the agreed-upon terms of the sale and the intentions of both the buyer and the seller. It is sometimes called the purchase and sales contract. A PSA can be used in other sales transactions, such as purchasing a vehicle or company stock, or when purchasing expensive or large volumes of materials over time.


8 Elements of a Real Estate Purchase and Sale Agreement

 

Every PSA is unique; however, the following information is typically included in most:


  1. Information about both parties, including their full legal names and contact information

  2. A detailed description of the property

  3. The purchase price

  4. How the buyer will pay the seller

  5. Earnest money details—Earnest money is a deposit paid by the potential buyer to the seller to show good faith in their intent to complete the transaction. The PSA includes the amount of the earnest money, when it must be deposited, contingencies that could allow the buyer to get the money back, how long the buyer has to perform their due diligence, and who will manage the money.

  6. Closing Date—The closing date is the day you finalize the transaction. Typically, a home inspection, title search, appraisal, and mortgage underwriting must occur before the sale can become final.

  7. Title Details – A title company performs a title search, which is a search of public records to determine if the title on the property is clean and that no other party has a claim to the property. The PSA identifies the title company, who will pay the title company, how the title is insured, and how the title will be transferred.

  8. Contingencies – Contingencies allow either party to back out of the deal. For example, the buyer may ask that the sale be contingent on selling  their current home, obtaining financing, or on the home inspection or appraisal results.


While a PSA is legally binding, some things can be negotiated even after both parties have signed it. For example, if a home inspection reveals a major issue or the parties want to change the closing date.


How to Avoid Costly Real Estate Mistakes

 

An experienced real estate law firm like Bingaman Hess can help you avoid costly mistakes in a real estate transaction. Our lawyers help you understand your obligations and potential costs, assist you with paperwork, avoid disputes, and proactively address potential real estate issues. 


Avoid costly mistakes by calling us at 610.374.8377 or contact us online.


CONTACT US

News & Information

Municipal tort claim lawyers in Berks, Lehigh, Northampton, Bucks, Montgomery, Philadelphia counties
By Mahlon Boyer April 23, 2025
Explore the intricacies of municipal tort claims, focusing on legal procedures for claims against government entities for civil wrongs. Discover practical insights into managing municipal risks.
We handle corporate intellectual property licensing and agreements in Berks, Lehigh, Northampton, PA
By Mahlon Boyer April 12, 2025
Discover the essentials of corporate intellectual property licensing and agreements, focusing on protecting and monetizing IP assets. Learn about negotiation strategies, drafting techniques, enforcement, and breach remedies.
We provide legal help in resolving contract disputes in Berks, Lehigh, Northampton & Bucks counties.
By Mahlon Boyer April 5, 2025
Discover effective strategies for resolving contract disputes, focusing on clear communication, mutual understanding, and strategic negotiation techniques to foster positive outcomes and maintain professional relationships.
Contact us for legal help with restrictive covenants in real estate in Berks and Philadelphia County
By Mahlon Boyer March 29, 2025
Learn practical strategies for managing real estate covenants, including understanding legal implications, ensuring compliance, and navigating modifications.
We handle corporate real estate transactions in Berks, Lehigh, Montgomery, Philadelphia County.
By Mahlon Boyer March 15, 2025
Explore the complexities of corporate real estate transactions, including acquisitions, leasing, and development. Learn about strategic planning, legal compliance, and risk mitigation.
Contact Us for Legal Advice on Legal Risks in Municipal Operations
By Mahlon Boyer February 22, 2025
Explore the landscape of legal risks in municipal operations. Learn strategies for identifying and mitigating risks to safeguard public funds and ensure effective governance.
We Offer Legal Advice on Types of Trusts and Their Benefits
By Mahlon Boyer February 14, 2025
Explore various types of trusts, including revocable, irrevocable, and testamentary, and discover their unique benefits. Learn how trusts can optimize estate planning, protect assets, and ensure tax efficiency.
We Provide Legal Advice on Corporate Governance in Family-Owned Businesses
By Mahlon Boyer February 8, 2025
Explore the intricacies of corporate governance in family-owned businesses, focusing on balancing family dynamics with strategic decision-making. Learn about succession planning, conflict resolution, and establishing formal governance structures.
Contact Our Attorneys About Legal Strategies to Tackle Common Issues in Insurance Litigation
By Mahlon Boyer February 1, 2025
Discover strategies to tackle common issues in insurance litigation. Learn about policy disputes, bad faith claims, and more, offering insights and practical solutions that Bingaman Hess offers to insurance carriers.
Contact our real estate attorneys for legal advice on easements and property use in Pennsylvania.
By Mahlon Boyer January 25, 2025
Explore the essentials of easements in property use, covering various types, creation methods, and termination processes. Stay informed on property rights and obligations for better real estate decision-making.
More Posts