A real estate purchase agreement is essential for those who hope to buy a residential property since this document defines the terms that both prospective buyers and sellers must comply with. Do you want more information to draft yours and make it legal? Here's everything you need to know!
Missouri Real Estate Purchase Agreement
This real estate contract binds two parties in the sale/purchase of a building, house, or area of land. It's also the starting point for negotiations between potential homebuyers and property owners.
Since this purchase and sale agreement spells out details they agree to in real estate purchase transactions, both potential buyers and sellers can benefit from this contract. Therefore, it should include the following key elements:
- Potential buyer's monetary offer and other compensation details
- The date the offer will close
- Any terms, rights, or responsibilities that both parties must comply with
- All the prerequisites that both parties want to include in the agreement
- Whether the real estate purchase is contingent or not
- Finance details
- And more
Most US states require sellers to include documentation to prove the property's condition along with the real estate purchase agreement. However, in Missouri, buyers are responsible for examining the property and finding out if there are any issues there, according to the buyer beware or caveat emptor rule.
In addition, sellers aren't required to make property guarantees unless they're aware that some issue may put the buyer's health or safety at risk.
However, even though Missouri must comply with the buyer beware rules, those selling a property must make a few disclosures to potential buyers. These are:
Seller's Disclosure Statement for a Residential Property
While there is no statute requiring sellers to make this disclosure statement, the following information is often added in Missouri residential real estate purchase agreements:
- Methamphetamine Production: Sellers must disclose whether or not methamphetamine was produced on the property. If the drug was made there, they must fill out Form DSC-5000, which they can get through Missouri Realtors.
- Condominium/Co-Op/Shared Cost Development: Missouri Realtors also offers another separate disclosure, known as Form DSC-8000C, which sellers must use to provide details about adverse material facts.
Water Disposal Site or Demolition Landfill (Form DSC-6000)
Sellers must also provide this disclosure to buyers if the property was ever a site for demolition, landfill, or waste disposal.
Lead-Based Paint Disclosure
Under US federal law, dwelling sellers must provide potential homebuyers with warnings about potential hazards from lead-based paint if the property was built in 1978 or earlier.
Do you need more help drafting a Missouri real estate contract? Doorloop has got you covered! Our website has everything you need to make selling or renting your property easier than ever.
From rental applications to eviction notices, we have different free forms available! In addition, you can find valuable information on many topics, including eviction laws, squatters' rights, and more!
What Should I Include in a Missouri Real Estate Purchase Contract?
Unlike other states, Missouri doesn't require the seller to provide extensive details about the property's condition since the buyer is responsible for inspecting the dwelling.
However, a legal purchase and sale agreement in this state must include key information about the buyer and seller, required disclosures, closing date, purchase terms, and financial details.
Can a Seller Cancel a Missouri Purchase and Sale Agreement?
Yes, they can! A seller can cancel a Missouri real estate purchase contract if the buyer doesn't meet the contingencies in the purchase and sale agreement.
What Is the Effective Day In a Missouri Real Estate Contract?
Under Missouri law, the effective date in a real estate contract is the day the buyer and seller must agree to the terms and execute the contract.
Can a Buyer Cancel a Residential Real Estate Purchase Agreement in Missouri?
Yes, they can exit the real estate purchase and sale agreement at any point in the buying process, especially if the original offer is rejected.