Contract Tips and Reminders

• Explain agency carefully to potential buyers or sellers.
• Pre-qualify the buyers.
• Carry contracts, addenda, forms, net sheets, etc. in your car.
• Receive a copy of the seller's disclosure for the buyer to have at the time of offer.
• Sale of other property addendum should be used even if the property is under contract but not yet closed.
• Use of back-up addendum is required by TREC when there is a back-up offer.
• Use of all TREC promulgated forms is required by TREC. Be certain to use the most current form. An attorney should prepare a lease purchase or contract for sale, etc. There are no TREC promulgated forms for such contracts.
• Fill in all the blanks on contracts or addenda to alleviate the chances of miscommunication even if it is "N/A" for "not applicable."
• Use "Special Provisions" of the contract form for factual information as your principle instructs you, pertaining to an offer/contract.
• Caution your client that everything must be in writing.
• Be consistent with the way you handle multiple offers. Tell everyone or no one that they are in multiple offer situations.
• Present all offers as quickly as possible and communicate with the selling agent. A selling agent may be present when an offer is presented with the seller's permission. The selling agent may not be present during the listing agent's negotiations with the seller.
• When an offer is fully negotiated and executed, date it. Take care to stay within all the timelines of the contract.
• Buyer and seller addresses and telephone numbers are an important part of the contract for "notices" to the parties.
• Always have a temporary lease for seller or buyer who will occupy a property prior to or after closing.
• Give contract copies to all necessary parties (title company, lender, buyer, seller, etc.).
• Have the escrow check receipted by the title company immediately upon contract acceptance. Deliver option check (if there is one) to seller. Keep a copy of checks for your files.
• REALTORS®, when buying or selling real estate must disclose they are licensees.

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