"Did You Know That A Small Group Of Real-Estate Investors Have
Been Finding Motivated Sellers On The Internet Growing Their Income
To Record Levels?"

The term real estate investor contract is actually the most often used one but little understood tool in the real estate investment business. Whether you are a real estate investment beginner or seasoned expert, there is no reason for not knowing or understanding the real estate investor contract.

Real estate investments contracts are based on common law contract principles, so it is very important for you to understand the fundamentals of contract law. In most states there are standardized contracts laws used by real estate investing agents and attorneys. The contract law is generally drafted in the form of an offer. The offer is typically signed by the buyer. The contract is not compulsory until the seller accepts, creating a "meeting of the minds" (called "mutual assent").

Basic Legal Requirements of a Real Estate Contract

There are some basic needs that must be presented to make a real estate investors contract valid:

• Mutual Assent - As stated earlier, there need to be mutual agreement or "meeting of the minds."
  
  
• In Writing - With few exceptions cases, a contract for purchase and sale of real estate investments need to be in written enforceable. Thus, if a buyer makes an offer in writing and the seller accepts it orally as well, and then backs out, the buyer is unlucky.
  
  
• Identify the Parties - The contract should identify the parties. Although not legally required, a contract usually sets forth full names and the middle initials (it in fact helps the title company in preparation of the title commitment).
  
  
• Identify the Property - The contract should identify the property as well. Although not required, the legal account should be set forth. A vague description such as "my lakefront home" might not be very specific enough to create a binding contract.
  
  
• Purchase Price - The contract should state the purchase price of the real estate property or even a reasonably ascertainable figure.
  
  
• Consideration - A contract should have consideration to be enforceable. Consideration is a great benefit, interest or value that induces a promise; it is the glue that binds a contract.
  
  
• Signatures - A contract must be signed further to be enforceable. The party signing must be of legal age and also sound mind. A notary's signature or witness is not really required. A facsimile signature is generally acceptable, so long as the contract states that facsimile signatures are valid.