Establishing secure connection…Loading editor…Preparing document…

Real Estate Agreement of Sale

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

REAL ESTATE AGREEMENT OF SALE

Parties

Buyer Name:

Seller Name:

Property Identification

Purchase Terms

Purchase Price: $    Earnest Money Deposit: $    Deposit to be held by:

This agreement is contingent upon Buyer obtaining financing in the amount of $ on or before . If Buyer fails to deliver a written loan commitment by that date, Seller may terminate this agreement in accordance with the deposit disbursement provisions below.

Buyer shall have a period of days from mutual execution to complete all inspections and investigations. Seller shall permit reasonable access. Buyer shall provide written notice of required repairs or termination within the inspection period; absent timely notice Buyer shall be deemed to have waived objections.

Closing Date: . Possession shall be delivered to Buyer on subject to the rights of any tenants and existing leases disclosed in writing prior to closing.

Title, Conveyance and Closing Costs

Seller shall convey marketable fee simple title by general warranty deed (or other agreed instrument) free of liens except those approved in writing by Buyer and standard permitted exceptions. Title shall be evidenced by a title report and Seller shall deliver at closing a standard owner's policy of title insurance in the amount of the purchase price, subject to standard exceptions.

Closing costs shall be allocated as follows: Buyer pays ; Seller pays . All real estate taxes, assessments, rents and other prorations shall be prorated as of the closing date.

Fixtures, Personal Property and Exclusions

Unless otherwise stated, conveyance includes all built-in fixtures, plumbing, electrical, heating, and permanently installed appliances. Personal property included in the sale: . Excluded items:

Disclosures

Lead-Based Paint (if building built before 1978)

Yes — Seller has provided the federally required disclosure and any available records    No — Property not subject or no known information

Known Mold or Hazardous Conditions

Yes — Seller discloses known condition(s)    No known condition(s)

Prior Structural Damage or Insurance Claims
Yes — details provided in writing prior to execution    No

Representations and Warranties

Seller represents that Seller is the lawful owner with authority to sell the Property, that no undisclosed agreements, leases, or easements materially affect the Property other than those disclosed, and that there are no pending actions affecting title except as disclosed in writing. Buyer represents that Buyer has authority to enter this agreement.

Default and Remedies

If Buyer defaults, Seller may retain the earnest money as liquidated damages or pursue specific performance and other remedies at law or in equity. If Seller defaults, Buyer may elect to recover the earnest money, enforce specific performance, or pursue other remedies consistent with applicable law. Any election of remedies shall be subject to the dispute resolution provisions below.

Notices and Delivery

All notices or demands required or permitted hereunder shall be in writing and delivered by personal delivery, nationally recognized overnight courier, or certified mail, return receipt requested, to the addresses set forth above or to other addresses designated in writing.

Miscellaneous

This Agreement constitutes the entire agreement between the parties and supersedes all prior negotiations and agreements. Any amendment must be in writing and signed by both parties. Time is of the essence for all dates and deadlines set forth herein. If any provision is held unenforceable, the remaining provisions shall remain in full force and effect.

Governing Law: The laws of the state where the Property is located shall govern this Agreement without regard to conflict of law principles.

Escrow Instructions and Deposit Handling

Escrow holder shall hold deposits in a non-interest bearing account unless otherwise agreed. Disbursement of deposits shall be in accordance with written escrow instructions or final mutual agreement of the parties. In the event of a dispute as to deposit disbursement, escrow may retain the deposit pending joint written instructions or final determination by a court of competent jurisdiction.

Signatures

Buyer Printed Name:

By:

Date:

Seller Printed Name:

By:

Date:

Enter text✕

What a Real Estate Agreement of Sale Is

A Real Estate Agreement of Sale is a legally binding contract that records the negotiated terms under which a buyer agrees to purchase and a seller agrees to transfer ownership of real property. It sets purchase price, deposit and financing conditions, property description, contingencies, closing date, and allocation of closing costs. The agreement defines the remedies for breach, title and closing mechanics, and any required disclosures or inspections. Parties commonly attach exhibits such as a legal description, seller disclosures, and financing addenda to make the agreement complete and enforceable at closing.

Why the Agreement Matters for Buyers and Sellers

The Agreement of Sale converts a negotiated offer into enforceable obligations, protects each party with explicit contingencies and timelines, and establishes the roadmap for closing, title transfer, and disbursements. Clear terms reduce dispute risk and enable downstream tasks such as escrow instructions and recording.

Why the Agreement Matters for Buyers and Sellers

Who Commonly Prepares and Signs This Agreement

Real estate brokers, attorneys, title companies, buyers, and sellers are primary users when negotiating and executing an Agreement of Sale.

  • Buyers and buyers' agents preparing offer terms and contingencies for financing and inspection.
  • Sellers and listing agents responding with counteroffers, disclosures, and conveyance conditions.
  • Title companies, lenders, and attorneys coordinating title review, closing logistics, and settlement statements.

Each participant has distinct responsibilities: agents draft or present offers, title companies prepare closing documents, and attorneys review legal provisions or handle complex transactions.

Typical Signers and Their Roles

Buyer — Individual

An individual purchaser signs to accept the purchase price, contingencies, and closing obligations. If financing is used, the buyer's obligations may include application deadlines, earnest money deposit terms, and performance windows; mismatched names or missing signatures can delay financing and closing.

Seller — Entity

A corporate or trust seller must sign through an authorized representative; confirm the entity name, signatory authority, and attach authorization documents. Failure to attach corporate resolutions or proof of authority can invalidate the transfer and delay recording.

Core Elements to Include in a Professional Agreement

A complete agreement balances clarity and enforceability by specifying parties, property, price, conditions, timelines, and remedies to reduce ambiguity at closing.

Parties

Full legal names of buyer(s) and seller(s) exactly as shown on IDs or entity formation documents; include entity type and signer authority where applicable.

Property

Precise legal description plus street address and parcel number. Ambiguous descriptions can cause title defects and recording rejections.

Purchase Price

State total consideration and payment breakdown: earnest deposit, mortgage financing, seller credit, and balance due at closing.

Contingencies

Inspection, financing, appraisal, title approval, and sale-of-buyer's-property contingencies with clear cure or termination deadlines.

Closing Details

Set a firm closing date, location, escrow/title agent, prorations, and who pays which closing costs and recording fees.

Remedies

Specify default remedies (deposit forfeiture, specific performance), dispute resolution method, and governing law for interpretation.

Essential Data Fields to Capture

Buyer Name: Full legal name
Seller Name: Full legal name
Property Address: Street, city, state, ZIP
Legal Description: Parcel description
Purchase Price: Numeric amount
Closing Date: MM/DD/YYYY

Step-by-Step: How to Complete the Agreement

Follow these steps in order to create a valid, executable Agreement of Sale and reduce rework before closing.

  • 01
    Prepare draft: Assemble parties, property details, and basic price terms.
  • 02
    Add contingencies: Insert inspection, financing, and title conditions with deadlines.
  • 03
    Review and revise: Confirm legal names, exhibits, and who pays costs.
  • 04
    Execute: All parties sign and initial pages as required.

How to Configure an Online Completion Workflow

Set up roles, fields, and routing to mirror the transaction order and capture required evidence for enforceability.

Field Configuration
Signer roles Buyer | Seller | Agent | Lender
Authentication Email link, SMS code, or stronger ID verification
Conditional fields Show financing clause when buyer selects mortgage option
Delivery Automatic PDF to title and parties after signing

Where the Agreement Goes After Signing

Routing after execution ensures recording, disbursement, and compliance tasks proceed without manual handoffs.

  • Title company: Receives final signed PDF and closing instructions
  • Lender: Gets copies needed for loan underwriting and funding
  • Escrow: Holds funds and coordinates prorations
  • County recorder: Accepts deed for recording at closing

Technical Requirements for eSigning and eSubmission

Ensure the chosen solution documents intent, retains a reproducible copy, and provides an audit trail to satisfy ESIGN/UETA record retention and attribution requirements.

  • File formats: PDF and DOCX supported
  • Integrations: Works with title and CRM systems
  • Security: TLS and AES encryption

Typical Deadlines and Timing to Track

Real estate agreements include multiple time-sensitive events; track each deadline to avoid default or loss of deposit.

Earnest money due:

Often within 3 business days after mutual execution; varies by contract.

Inspection period end:

Buyer must complete inspections and notify seller by the stated contingency deadline.

Financing commitment:

Buyer's loan approval must be delivered by the date in the financing contingency.

Title objections deadline:

Buyer must raise title defects within allotted review period for cure or termination.

Closing date:

Date when deed is delivered and funds are disbursed per settlement statement.

Common Mistakes to Avoid When Preparing an Agreement

  • Using informal or inconsistent party names that do not match title work, which can delay or void recording and financing.
  • Leaving contingencies open-ended or without explicit cure periods, causing disputes over performance and deposit entitlement.
  • Failing to attach required seller disclosures or failing to update exhibits, which may create liability or permit rescission in some states.
  • Neglecting to specify who pays recording and transfer taxes, resulting in unexpected closing shortfalls and renegotiation.

Penalties and Risks of an Incorrect Agreement

Contract voidance: Possible loss of enforceability
Deposit forfeiture: Buyer may lose earnest money
Recording delay: Title defects or rejection
Financing failure: Loan denial or added costs
Legal dispute: Litigation or arbitration
Tax issues: Unanticipated transfer tax liabilities

Real-World Examples of Online Agreement Use

These short examples illustrate how firms use digital signing and online workflows to complete Agreements of Sale.

Martin Properties

A regional brokerage digitized closing paperwork to reduce in-person meetings and speed turnarounds.

  • They processed documents on mobile and offline when needed.
  • Founder Tim Martin reported the platform allowed compliant remote execution for his teams and clients while maintaining security and audit trails for every closing.

Optica Ventures LLC

A small investment firm standardized its sale agreements to reduce negotiation friction and accelerate closings.

  • Templates pre-filled common clauses to save time.
  • COO Brian Fitzgibbons noted the interface is simple for staff and customers, improving turnaround without adding operational complexity.

Supporting Documents to Attach with the Agreement

Attach these common exhibits to avoid title surprises and to make closing efficient and auditable.

Seller Disclosure

Provide any state-required property condition disclosures and known defects; omissions can create post-closing liability.

Title Commitment

Attach preliminary title report or commitment showing exceptions, liens, and requirements for clearing title before closing.

Survey/Plat

Include a recent survey when boundary issues, easements, or improvements are material to the transaction.

Financing Addendum

If buyer uses mortgage financing, include lender conditions, funding timelines, and appraisal contingencies.

Practical Tips for Accurate, Efficient Completion

Adopt consistent practices to reduce errors and speed closings across repeat transactions and high-volume workflows.

Use verified legal names and proof
Confirm party names match government IDs or entity formation records. For entities, collect resolutions or formation certificates to prove signing authority and prevent recording rejections.
Set clear contingency deadlines
Specify exact dates and times for inspections, financing, and title objections to avoid ambiguity about cure periods and default triggers.
Attach required exhibits and disclosures
Bundle seller disclosures, title commitments, surveys, and any addenda with the agreement so reviewers and title examiners have a complete record.
Keep an auditable signing trail
Capture signer authentication method, timestamps, IP addresses, and a final PDF with an audit certificate to support enforceability under ESIGN and UETA.

eSignature Platform Comparison for Real Estate Agreement Workflows

This table compares basic pricing and capability dimensions commonly considered when selecting an eSignature solution for real estate documents.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial, no credit card required Varies by vendor Varies by vendor Varies by vendor Varies by vendor
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
Envelope Cap No cap 100 envelopes/user/year Depends on plan Depends on plan Depends on plan

Frequently Asked Questions About Real Estate Agreements of Sale

Answers to common execution, notarization, and enforceability questions when preparing and signing an Agreement of Sale.


Need help? Contact support

be ready to get more
Join over 28 million airSlate SignNow users