{"id":3093,"date":"2022-02-07T20:43:51","date_gmt":"2022-02-07T20:43:51","guid":{"rendered":"https:\/\/homepie.com\/articles\/?p=3093"},"modified":"2024-08-12T09:51:36","modified_gmt":"2024-08-12T16:51:36","slug":"what-is-a-purchase-contract-for-a-home","status":"publish","type":"post","link":"https:\/\/homepie.com\/articles\/what-is-a-purchase-contract-for-a-home\/","title":{"rendered":"What Is A Purchase Contract For A Home?"},"content":{"rendered":"<p>[et_pb_section fb_built=&#8221;1&#8243; _builder_version=&#8221;4.16&#8243; _module_preset=&#8221;default&#8221; custom_padding=&#8221;0px||0px|||&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;][et_pb_row _builder_version=&#8221;4.16&#8243; _module_preset=&#8221;default&#8221; custom_padding=&#8221;0px|||||&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;][et_pb_column type=&#8221;4_4&#8243; _builder_version=&#8221;4.16&#8243; _module_preset=&#8221;default&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;][et_pb_text _builder_version=&#8221;4.16&#8243; _module_preset=&#8221;default&#8221; header_font=&#8221;Muli|700|||||||&#8221; header_text_color=&#8221;#112a41&#8243; header_font_size=&#8221;50px&#8221; header_font_tablet=&#8221;&#8221; header_font_phone=&#8221;&#8221; header_font_last_edited=&#8221;on|desktop&#8221; header_font_size_tablet=&#8221;42px&#8221; header_font_size_phone=&#8221;30px&#8221; header_font_size_last_edited=&#8221;on|phone&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;]<\/p>\n<h1><strong>What Is A Purchase Contract For A Home?<\/strong><\/h1>\n<p>[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=&#8221;1&#8243; _builder_version=&#8221;4.16&#8243; _module_preset=&#8221;default&#8221; custom_padding=&#8221;0px||0px|||&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;][et_pb_row _builder_version=&#8221;4.16&#8243; _module_preset=&#8221;default&#8221; custom_padding=&#8221;0px||3px|||&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;][et_pb_column type=&#8221;4_4&#8243; _builder_version=&#8221;4.16&#8243; _module_preset=&#8221;default&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;][et_pb_image src=&#8221;https:\/\/homepie.com\/articles\/wp-content\/uploads\/2022\/02\/Home-Purchase-Contract-California.jpg&#8221; alt=&#8221;California Home Purchase Contract&#8221; title_text=&#8221;Home-Purchase-Contract-California&#8221; admin_label=&#8221;Featured Image&#8221; _builder_version=&#8221;4.16&#8243; _module_preset=&#8221;default&#8221; custom_margin=&#8221;||||false|false&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;][\/et_pb_image][et_pb_text admin_label=&#8221;Date&#8221; _builder_version=&#8221;4.16&#8243; _module_preset=&#8221;default&#8221; text_font=&#8221;Muli|500|||||||&#8221; text_text_color=&#8221;#112a41&#8243; text_font_size=&#8221;13px&#8221; custom_margin=&#8221;||7px|||&#8221; custom_padding=&#8221;||||false|false&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;]<\/p>\n<p style=\"text-align: center;\">by&nbsp;<strong>Homepie<\/strong> | Published February 7, 2022 | <span class=\"et-pb-icon\" style=\"font-size: 15px;\">}<\/span> 5 Minutes<\/p>\n<p>[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=&#8221;1&#8243; _builder_version=&#8221;4.16&#8243; custom_margin=&#8221;|1px||||&#8221; custom_padding=&#8221;0px|||1px||&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;][et_pb_row _builder_version=&#8221;4.16&#8243; background_size=&#8221;initial&#8221; background_position=&#8221;top_left&#8221; background_repeat=&#8221;repeat&#8221; custom_margin=&#8221;|auto|||false|false&#8221; custom_padding=&#8221;27px|||||&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;][et_pb_column type=&#8221;4_4&#8243; _builder_version=&#8221;4.16&#8243; custom_padding=&#8221;|||&#8221; global_colors_info=&#8221;{}&#8221; custom_padding__hover=&#8221;|||&#8221; theme_builder_area=&#8221;post_content&#8221;][et_pb_text _builder_version=&#8221;4.16&#8243; background_size=&#8221;initial&#8221; background_position=&#8221;top_left&#8221; background_repeat=&#8221;repeat&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;]<span class=\"s1\">When purchasing real estate in California, you will need to use Purchase Contract that is created for California. This is to ensure it aligns with real estate law for California. A Purchase Contract is a legal document that gives an outline of all of the conditions to be met in order to buy a home. It is usually done at the start of any formal negotiations between the buyer and seller of the home.<\/span>[\/et_pb_text][et_pb_text module_id=&#8221;What-to-Look-for-in-Sell-Your-Home-Yourself-Websites&#8221; _builder_version=&#8221;4.16&#8243; background_size=&#8221;initial&#8221; background_position=&#8221;top_left&#8221; background_repeat=&#8221;repeat&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;]<\/p>\n<h2><b>How to Draft a California Home Purchase Contract<\/b><\/h2>\n<p class=\"p1\"><span class=\"s1\">The buyer&#8217;s real estate agent will generally prepare a <a href=\"https:\/\/homepie.com\/articles\/support\/can-i-view-a-sample-of-the-residential-purchase-agreement-built-into-homepie\/\"><span class=\"s2\">California home Purchase Contract.<\/span><\/a> The contract itself will have to be created by a law firm that deals with real estate transactions. In most cases, a pre-existing template is used and adapted for each individual sale. It&#8217;s always best to have a professional create the California home Purchase Contract, however, if you are creating your own, you will need to have the following key details:<\/span><\/p>\n<ul>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>Full names and contact details<\/strong> of both the <strong>seller<\/strong> and the <strong>buyer<\/strong>.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>Details about the property<\/strong>, which includes the full address of the property, a description of it, and any other important details related to the property.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\">The <strong>agreed-upon purchase price<\/strong>, including any additional costs and deposits that are being made.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>Warranties and representation<\/strong> \u2013 the seller will need to complete disclosures about the property\u2019s condition. Often this happens after a Purchase Contract is agreed to, but in some areas, <a href=\"https:\/\/homepie.com\/articles\/support\/what-do-i-have-to-disclose-to-the-buyer\/\"><span class=\"s3\">disclosures<\/span><\/a> are customarily provided before an offer is made.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>Financing<\/strong> \u2013 this will go over the details of how the buyer will be paying for the home, such as through a mortgage loan, taking over the existing mortgage of the seller, or if the buyer will pay in cash.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>Appliances and fixtures<\/strong> \u2013 anything permanently attached to the home is considered part of the real estate and is real property, however, a seller may exclude certain items if this is done in writing and is typically part of the Purchase Contract.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>Title insurance<\/strong> \u2013 You\u2019ll need to detail who will be responsible for paying the title insurance, which protects the buyer, seller, and lender should any defects in the property be discovered.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>Property tax<\/strong> \u2013 typically taxes will be prorated between buyer and seller based on closing date.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>The closing date<\/strong> \u2013 also called close of escrow. You\u2019ll need to agree on when will be the closing date. This is when the transfer of title will be official, as well as when the buyer will be given keys to the property.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>Contingencies<\/strong> \u2013 this details any conditions that need to be met before the sale goes through, such as a home inspection or repairs that are needed.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>Earnest funds<\/strong> \u2013 also known as earnest money or good faith deposit &#8211; this is where you give details on any security deposits that the seller requires in order to show the buyer is serious about buying the home.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\">An <strong>option to terminate<\/strong> may also be included, which allows a buyer to terminate the agreement for a certain time period. Typically this is during contingency periods.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>Disclosure<\/strong> regarding lead-based paint. In the United States, any home that was constructed before 1978 is required to include details about lead-based paint and its dangers. This gives the buyer a chance to have a professional take a look at the paint to determine what hazards exist. This disclosure is often provided after you enter into contract.<\/span><\/li>\n<li class=\"li1\"><span class=\"s1\"><\/span><span class=\"s2\"><strong>Signatures<\/strong> of both the seller and the buyer are required to make the contract final.<\/span><span class=\"s1\"><\/span><\/li>\n<\/ul>\n<p class=\"p1\"><span class=\"s1\"><\/span><\/p>\n<p>[\/et_pb_text][et_pb_text module_id=&#8221;FSBO.com&#8221; _builder_version=&#8221;4.16&#8243; background_size=&#8221;initial&#8221; background_position=&#8221;top_left&#8221; background_repeat=&#8221;repeat&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;]<\/p>\n<h2><b style=\"font-size: 2rem;\">How a California Home Purchase Contract Affects the Mortgage Process<\/b><\/h2>\n<p class=\"p1\"><span class=\"s1\">When it comes to the mortgage process, you should get a mortgage pre-approval before entering into negotiations of a purchase contract. Most sellers will not accept an offer without seeing a mortgage preapproval first. Once the home purchase contract has been completed, the buyer will need to give it to their mortgage broker or lender. Each time there is a change to the contract during the purchase process, you will need to submit it to the lender or your mortgage broker.<\/span><\/p>\n<p class=\"p2\"><span class=\"s1\"><\/span><\/p>\n<p class=\"p1\"><span class=\"s1\">As mentioned earlier, a California home Purchase Contract can be created using a template by the buyer, seller, or real estate agent. However, it will need to be looked over by a lawyer to make sure everything is legally in order. <\/span><\/p>\n<p>[\/et_pb_text][et_pb_text module_id=&#8221;For-Sale-by-Owner&#8221; _builder_version=&#8221;4.16&#8243; background_size=&#8221;initial&#8221; background_position=&#8221;top_left&#8221; background_repeat=&#8221;repeat&#8221; global_colors_info=&#8221;{}&#8221; theme_builder_area=&#8221;post_content&#8221;]<\/p>\n<h2><b>How does Homepie help me obtain a California Purchase Contract<\/b><\/h2>\n<p><span class=\"s1\">Homepie was built with you in mind. Once you have a listing on the site, a buyer can go to it and write you an offer. Once all terms are agreed to, a California Purchase Contract that was created by California Real Estate Attorneys will be generated with all of the terms you and the other party agreed to. This is a bonafide contract that you can provide to the lender and escrow company to process the sale.<\/span><\/p>\n<p>If you need assistance with your California home Purchase Contract, chat with us today and we&#8217;ll help get the process started![\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>What Is A Purchase Contract For A Home?by&nbsp;Homepie | Published February 7, 2022 | } 5 MinutesWhen purchasing real estate in California, you will need to use Purchase Contract that is created for California. This is to ensure it aligns with real estate law for California. A Purchase Contract is a legal document that gives [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":3110,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[7],"tags":[48,46],"class_list":["post-3093","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-buying-a-home","tag-california-home-purchase-contract","tag-home-purchase-contract"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.1.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>What Is A Purchase Contract For A Home?<\/title>\n<meta name=\"description\" content=\"When purchasing real estate in California, you will need to use Purchase Contract that is created for California. This is to ensure it aligns with real estate law for California. 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