Property Sale Agreement Law and Legal Definition

A property sale agreement (“Agreement”) is an agreement to sell property at a future date (closing date) under certain terms. This Agreement determines the obligations of both parties in order for the sale to occur on closing date. Terms such as purchase price, who is to pay closing costs, title requirements, and inspection and repair issues . This is an Agreement which sets out the terms under which the sale of property will take place on a future date. On execution of this Agreement, the Buyer has to deposit an amount of earnest money and a partial payment of the consideration under the Contract. However, if the Agreement is terminated, Earnest money and accumulated interest will be returned to Buyer.