You've accepted an offer for your apartment. Now it's time for the lawyers to draw up the contract. What can you expect? We combed BrickUnderground's archives for a look at what you need to know:
BEFORE SIGNING:
- Just because you've accepted an offer doesn't mean you'll go into contract. For instance, problems with the building or your apartment may surface when the buyer's lawyer does due diligence. Or your buyer may get cold feet.
- It's still legal to send contracts out to multiple would-be buyersuntil the document is signed. So you can keep your options open.
- This is also whenyour buyer would do a home inspection, which is more likely in smaller buildings (houses, too).
THE TEXT:
- Mostcontracts come with "reps,"a series of clauses that essentially force sellers to affirm that certain things about the apartment are true, like that the appliances work. They're mostly for the buyer's protection.
- Your deal should state thatthe buyer inspected or waived inspection of the unit.
- Andspecify whether things like window treatments, lighting fixtures and air conditionersare staying or coming with you when you move.
MONEY EXCHANGED:
- When the contract is signed, thebuyer typically hands over 10 percentof the sale price as a deposit.
- If the buyerdoesn't pass the board or can't get financing, there's a good chance you'll keep the deposit. (Of course,good lawyers can often get their buyers out of thison a technicality.)
- And if you're the one whoreneges on the deal after signing,prepare to give back the funds.