Real Estate Contracts Flashcards
Statues of Fraud
Requires that contracts conveying an interest in real property must be in “writing & signed” to be enforceable
Statues of Limitations
designates the period of time during which the terms of a contract may be enforced
How long is a Written Contract valid for ?
5 Years
Oral Contract
4 Years
Parol Contract
Oral agreement and an informal contact (some recognized by law as enforceable
Bilateral Contract
Obligates both parties
Unilateral Contract
Obligates only one party
Counteroffer
Indicates willingness to contact, not on terms or conditions different from those contained in the original offer. Makes pervious offer dead and cannot be later accepted
Specific Performance
Wronged party may sue to have the courts force the other party to preform as the contact specifically states
Liquidated damages
Parties will stipulate an amount of money in the contract to be paid in case of default by the buyer
Rescission
To cancel or withdrawal the breach and continue the transaction
Compensatory Damages
Suit for damages in addition to liquidated damages; party bringing suit seeks an amount of money equal to the extent of loss suffered
Open Listing
An employment contract given to any number of brokers who work simultaneously to sell owner’s property. Least advantageous to broker
Exclusive Right-to-Sale Listing
Seller gives listing to selected broker, who then becomes exclusive real estate agent of the owner, for the sale of property during the time the listing contract is in affect
Radon gas disclosure
statement on real estate sale and lease contacts that consist only of what radon gas is
