Arkansas Offer to Purchase for Cash by The Fundamerican Companies, Inc.
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FAQ
Overview. Arkansas' escrow process is similar to other states where a closing agent, (who is often an escrow agent or representative from a title company) is used to complete the transaction. In Arkansas, buyers and sellers often consummate the transaction at the same closing (or 'settlement') table.
A purchase agreement is the final document used to transfer a property from the seller to the buyer, while a purchase and sale agreement specifies the terms of the transaction. Parties will sign a purchase agreement after both parties have complied with the terms of the purchase and sale agreement.
An offer is a written proposal to buy a property with conditions baked in. The buyer's agent helps to write it up and delivers it to the seller's agent. Purchase agreements are an actual agreement between the buyer and the seller also sometimes called a real estate contract.
In most real estate markets, the average good faith deposit is between 1% and 3% of the property's purchase price. It can be as high as 10% for highly competitive homes with multiple interested buyers. Some sellers prefer to set fixed amounts to help filter out buyers that aren't serious.
For a purchase contract to be valid and enforceable, it should contain the date of the agreement, the signature of the seller and buyer, and a description of the property. In a competitive market, a buyer must show seriousness in purchasing the property by putting down an earnest money deposit.
Earnest money isn't always a requirement, but it could be a necessity if you're shopping in a competitive real estate market. Sellers tend to favor these good faith deposits because they want to ensure that the sale won't fall through.
8.5 Fidelity and Honest Dealing This obligation of absolute fidelity to the interest of the client or clients is primary, but does not relieve a licensee from the equally binding obligation of dealing honestly with all parties to the transaction.
