Required Paperwork

Real Estate Purchase Contract

Real Estate Purchase Contract (commonly called a REPC by Realtors), also known as "an offer to purchase," is a legally binding contract that outlines the terms of sale of the property. The contract must be agreed upon and signed by both the buyer and the seller. Information included in the REPC is:

Your agent will have a REPC form and complete it for you. With the consent of the seller, you can alter the form, omit conditions or use an entirely new form.

Agency Disclosure Form and Limited Agency Consent Agreement

Utah State Law requires your agent to explain the law of agency to you and have a written agency agreement (a Listing for the Seller and a Buyer Representation Agreement for the buyer.) If the same agent or company is representing both you and the seller in the same transaction, you will also need to consent to Limited Agency. All agency relationships are then confirmed in the REPC.

Preliminary Title Report

This multi-page report is provided by the Title Company and delineates anything that affects the property. Included is a plat map showing your lot layout; a list of everyone that has the right to access you property (easements), such as the electric, phone and water companies; any liens that are against the property; and, any charges that you may have to pick-up such as a lighting district or a road widening project. Review this carefully with your agent to make sure everything is acceptable to you.

Seller Disclosures

The Seller is required to disclose everything they know about their property and neighborhood as a condition of you purchasing their home. However disclosing something does not mean the seller has to fix it. They must simply disclose facts that affect the value of their home so that you can make an informed decision before you complete the sale.

Of course, the disclosure benefits the buyer, but disclosures also protect the seller. An honest, written disclosure will prevent you from dragging the seller into court since you entered the purchase “with your eyes wide open.” If told before the sale everything known by the seller, a lawsuit suit won't hold water, even if the basement does.

Your agent will have a standard disclosure form authorized by the Attorney General. It will include the following disclosures:

Lead-Based Paint Disclosure

Beginning in the Fall of 1996 all sellers of residential property built prior to 1978 have been required to disclose knowledge of lead based paint and lead based paint hazards to buyers. In addition, Sellers must give buyers the pamphlet developed by the EPA and HUD titled Protect Your Family from Lead in Your Home. Your agent will make sure you receive the proper disclosure forms and the booklet.

Buyer Due Diligence

It is important that you understand and take responsibility for what you are purchasing. This document explains several items you should review prior to completing the sale and advises you to seek expert advice on anything you have any questions about.

Buyer’s Walk-Through

Shortly before closing you will be given the opportunity to walk through the property one last time. This is to insure that the seller has fixed everything they said they would and that the house is essentially in the same condition as the day you made the offer.

Home Warranty Application

It is highly recommended that you obtain a home warranty on the home. These limited warranties cover problems with the major systems of your home including the electrical, heating, plumbing and built in appliances for one year after purchase. It is important to note however, that they do not cover any structural problems including the roof or foundation. Most problems after the sale can easily be handled by the Home Warranty company instead of ending up in court, making them well worth the $300 or so they cost.

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