Tony and Suzanne Marriott's Phoenix Arizona Real Estate Blog

head_left_image

Write It Right The First Time - Or It May Result In Failure! - Part 2

The "standard" Residential Resale Real Estate Purchase Contract used in Arizona and provided by the Arizona Association of REALTORS® (AAR) is a document that both Buyers and Sellers should familiarize themselves with prior to the time where they are signing off on it.

 

A complete sample copy is publicly available on the AAR website at this link.

 

This post focuses on the top of the first page of the AAR contract, which identifies the parties to the contract, Buyer(s) and Seller(s), the property, and the amount of the offer.

 

 

Since the Buyer is initiating the offer, one would think they would get Line 1 correct - all the time.

 

Not so fast.  We've received offers naming Buyers who do not provide "proof of funds" and or "prequalification form" (more on that in a future post) in the same name!  It's important to have those ducks in a row, particularly if it's a Short Sale, as often the Short Sale Seller's Lender will INSIST on exact matches or will not issue an approval letter!

 

Line 2 - Seller(s) Name.  Unfortunately the tax records (on which most Buyer Agents rely) are not always accurate.  We encourage checking the box for "as identified in Section 9c." and leave it in the Listing Agents hands to complete that information.

 

Lines 5-7 are critically important.  They identify the "premises" being sold by the Seller and purchased by the Buyer.  The street address is not enough!  "The Assessor's #" and "Legal Description" are critical elements and need to be provided, right down to the lot number.

 

OK - so we've dealt with the "who" (Buyer and Seller), and the "what" (premises).

 

Now it's time for "how much".

 

Line 8 is the place for the "Full Purchase Price" - what is being offered.

 

Line 9 is the place for "Earnest Money" - how much is the Buyer willing to put into escrow immediately following the signing of the contract by all parties?  

 

We suggest to our Sellers they request 2% of Line 8, unless the Buyer is offering more than that.

 

Lines 10-14 explain how the Buyer intends to cover the balance of the Purchase Price (Full Purchase Price minus Earnest Money).  When all is said and done, Lines 9-14 should add up to the number on Line 8.  If they don't - there's something that needs "fixing"!

 

To read the next post in this series, click the link below, as we delve into the contract itself:

 

Write It Right The First Time - Or It May Result In Failure! - Part 3

 

 

 

-----------------------------------------------------------------------------------------------------------------------------------------------------------------

 

Click the button below to Subscribe to our Scottsdale Arizona Real Estate blog!

 

 

 

All images purchased and  licensed from Shutterstock , shared from YouTube, sourced from Vectortoons, or were taken by the author unless otherwise noted.

About the Authors - Updated 2018

If you are considering a Traditional or Short Sale of your home in Phoenix, Scottsdale or any location in Maricopa County Arizona, you owe it to yourself to talk with Haven Express @ Keller Williams Arizona Realty to determine whether Tony and Suzanne Marriott are the best real estate Brokers in the Phoenix and Scottsdale metropolitan area to help you with the Successful Sale of your home.

Tony and Suzanne have personally Listed, Sold and Closed more than a hundred Short Sales with the highest list to close rate in the Phoenix Metro Area!

Tony Marriott - Chief Executive Officer - Haven Express @ Keller Williams Arizona Realty

Suzanne Marriott - Chief Learning Officer - Haven Express @ Keller Williams Arizona Realty

Associate Brokers, REALTORS
Haven Express
Keller Williams Arizona Realty

Comments

Good lesson, Tony and Suzanne Marriott, Associate Brokers .  I've had experience with agents who don't even know how to fill out a Standard Purchase Contract.  

Posted by Carol Williams, Retired Agent / Broker / Property Manager (Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals.) over 3 years ago

So have we unfortunately Carol Williams - and thanks for stopping by with a comment!

Posted by Tony and Suzanne Marriott, Associate Brokers, Serving Scottsdale, Phoenix and Maricopa County AZ (Haven Express @ Keller Williams Arizona Realty) over 3 years ago

Suzanne and Tony-One would think Buyers Name(s) would be simple, but omitting a middle initial or simple misspelling can cause Amendments later in the process.

Posted by Wayne Johnson, San Antonio REALTOR, San Antonio Homes For Sale (Coldwell Banker D'Ann Harper REALTORS®) over 3 years ago

Absolutely Wayne Johnson - thanks for stopping by with a comment!

Posted by Tony and Suzanne Marriott, Associate Brokers, Serving Scottsdale, Phoenix and Maricopa County AZ (Haven Express @ Keller Williams Arizona Realty) over 3 years ago

Enjoyed this post and want to read more - visit our website  - HavenExpress.com - where all your questions about buying and selling residential real estate in Arizona are addressed!

Posted by Tony and Suzanne Marriott, Associate Brokers, Serving Scottsdale, Phoenix and Maricopa County AZ (Haven Express @ Keller Williams Arizona Realty) over 3 years ago

This blog does not allow anonymous comments