What form do you use for that? Understanding real estate transaction forms, by Briana Frazier.

By Briana Frazier

What Form Do You Use For That:

Understanding Real Estate Transaction Forms

The documents involved in the buying and selling of a house are cumbersome, and can leave you overwhelmed. It is essential that you understand the documents required to avoid complications with the law.

Real estate transaction forms come in different types. These forms are used in a real estate sale to confirm the legality of sale of a property as well as buyer’s consent. Each transaction calls for a different form, so how do you know which form is needed in such a situation?

Typically, a real estate agent is responsible for ensuring that all forms are executed properly. In the United States, states have several laws that regulate real estate sale transactions. Sometimes, negotiations can get complicated, so it’s advisable you hire an attorney to review all forms before signing them.

TYPES OF REAL ESTATE TRANSACTION FORMS Exclusive Listing

Before a property is listed, a real estate agent requires the seller to fill out and sign an Exclusive Right to Sell Contract. This document states that the seller will pay a specified commission to the agent after the home is sold. This form will also state that the seller will use only the named agent to sell the property.

Sellers’ Disclosure

Real estate laws require sellers to complete a

disclosure form also known as Seller’s Disclosure and Condition of Property Addendum. This form shows the current condition of the property, whether the HVAC systems and other parts of the home are faulty. With this form, the buyer becomes aware of the state of the property.

Lead-Based Paint

Lead-based paint inspection is usually carried out on homes built before 1978. The seller of this type of property must fill out a Lead-Based Paint Disclosure Addendum. The form discloses if the property utilized lead-based paint or not.

Multiple-Listing Service

This is another type of form in the United States that sellers are required to fill out. MLS forms detail the description and location of the property to be enlisted for sale. The form enables the real estate agent to list the property accurately.

Purchase Agreement

This is an agreement contract between a buyer and a seller. This agreement is usually proposed by the buyer and subject to acceptance by the seller.

These forms are necessary to complete the sale transaction. Some of these forms are not straightforward, so we advise that you carry an attorney along.

ABOUT THE POWER IS NOW MEDIA

The Power Is Now Media is an online multimedia company founded in 2009 by Eric L. Frazier, MBA, and is headquartered in Riverside, California. We are advocates for homeownership, wealth building, and financial literacy for low to moderate-income and minority communities. The Power Is Now Media corporate office is located at 3739 6th Street Riverside, CA 92501. Ph: 800-401-8994 Website: www. thepowerisnow.com.

References https://homeguides.sfgate.com/forms-real-estate-sales-1606.html