Things You Need to Know Before Signing a Contract
Here's my top 5 things you should know before signing a Real Estate contract...
1. Real Estate Contracts MUST be in Writing: It is best practice that any agreements that are verbally agreed upon, such as a last minute negotiation to leave the 2nd refrigerator in the garage or to extend the closing date to the next day because of some unforeseen event, should be followed up with a written document of the agreement. If it is not in writing - it is not valid and cannot be enforced.
2. A Contract is a Legally Enforceable Promise: Be clear because whatever you promise to do in a contract, the law will require that you do it. Don't be caught one sandwhich short of a picnic - read the contract before signing.
3. The Law Imposes a Duty to Read Contracts: If you sign a contract, you are assumed to know what is in it and to have agreed to it. Unless the terms are flagrantly unfair and/or you had no choice in the signing – it could be difficult to avoid the consequences in the event you don't fulfil your end of the agreement.
4. Failure to Fulfill your Promises in a Contract can Result in Financial Damages: If you sign a contract agreeing to do something and you don’t do it, the other party can pursue legal recourse to cover financial losses they suffered as a result.
5. You Must Have Capacity to Sign a Contract: For example, if you or the other party are under the age of 18 or not mentally competent, you should not sign a contract.
disclaimer: this is not to be taken as legal advice; should you need legal advice, please consult an attorney.