When it comes to buying or selling real estate in New Hampshire, a Purchase and Sales Agreement (PSA) is a vital document that outlines the terms and conditions of the transaction between the buyer and the seller.
A PSA is a legally binding contract that sets forth the agreed-upon purchase price, the closing date, and any contingencies or conditions that must be met before the sale can be completed. It also includes important details about the property being sold, such as the address, the size of the lot, and any fixtures or appliances that will be included in the sale.
In New Hampshire, PSAs are typically prepared by the buyer`s attorney or a real estate agent, although sellers may also have their own legal representation review the document before signing. The PSA will typically be signed by both parties once all of the terms and conditions have been negotiated and agreed upon.
One important aspect of a PSA that buyers and sellers in New Hampshire should be aware of is the contingency clause. This clause often includes conditions that must be met before the sale can be completed, such as obtaining financing or completing a home inspection. Buyers and sellers should carefully review the contingency clause to ensure they understand the conditions that must be met and the deadlines for meeting them.
Another important consideration for buyers in New Hampshire is the inspection contingency. This clause allows the buyer to have the property inspected by a licensed home inspector before finalizing the sale. If any issues are found during the inspection, the buyer may be able to negotiate repairs or a lower purchase price with the seller.
Sellers in New Hampshire may also want to include a contingency regarding the title search and title insurance. This ensures that the buyer will receive clear title to the property and protects the seller from any claims or liens that may be discovered after the sale is completed.
Overall, a well-written PSA is essential for a successful real estate transaction in New Hampshire. Both buyers and sellers should work with experienced legal counsel to ensure that all terms and conditions are properly negotiated and that the PSA is legally sound.