The Pennsylvania purchase and sale agreement is a legal document that provides the terms and conditions under which the seller agrees to sell and the buyer agrees to buy a certain item.
The parties can use this document to provide a description of the transferred property, the purchase price, the method of payment, the sale date, and other details relevant to the purchase and sale of the property.
You should use the purchase agreement whenever buying or selling an item with a purchase price of over $500. Moreover, you should use the purchase agreement for the more complex transfers, regardless of the purchase price.
Pennsylvania Purchase and Sale Agreement Form
Although the Pennsylvania purchase agreement doesn’t directly transfer any legal rights between the parties, it provides the framework for the sale and purchase of certain property and prevents potential misunderstandings and disputes between the parties.
The Pennsylvania purchase agreement is also known as:
Other Names for Pennsylvania Purchase and Sale Agreement Form
Pennsylvania purchase and sale agreement
Pennsylvania sale and purchase agreement
Pennsylvania sale and purchase contract
Pennsylvania purchase and sales contract
However, it all refers to one document that provides the terms and conditions for the property transfer in Pennsylvania.
Purchase Agreement Pennsylvania Laws & Requirements
The legislation in Pennsylvania doesn’t impose any requirements regarding the form of the purchase agreement template. However, for real estate transactions in Pennsylvania, you must include certain disclosures in your purchase agreement.
Purchase Agreement Required Disclosures in Pennsylvania
Here, you can find the list of disclosures that you must include in your Pennsylvania purchase agreement:
Lead-Based Paint Disclosure: It is required by 42 U.S. Code § 4852d that the seller provide information to the buyer about the presence of the lead-based paint hazard at the property. This requirement applies to all properties with a known lead-based paint hazard or to properties built before 1978.
Seller’s Property Disclosure Statement: Pennsylvania law requires the seller to disclose the condition of the property to the buyer before they sign the purchase agreement. This form contains general information about the property’s condition as well as information about any defects that the property might have. (§ 7304)
Common Types of Purchase Agreements in Pennsylvania
This section provides all the types of purchase agreements used in Pennsylvania:
Types of Purchase Agreements
Residential real estate purchase agreement. Used to determine the conditions for selling and purchasing a house, apartment, or other kinds of property used for residential purposes.
Commercial real estate purchase agreement. You can use it for transferring ownership over office space, warehouses, manufacturing facilities, and other kinds of commercial properties.
Vehicle purchase agreement. Parties use it for the purchase and sale of cars, motorcycles, trucks, and other kinds of motor vehicles. Also known as the motor vehicle bill of sale.
Business purchase agreement. Used for providing terms and conditions for transferring the company's shares.
Land purchase agreement. You can use it to provide terms and conditions for the transfer of agricultural, residential, commercial, or other kinds of land in Pennsylvania.
Purchase Agreement in Pennsylvania FAQ
Yes, a purchase agreement is a legally binding document in Pennsylvania. However, for the purchase agreement to be binding, both the seller and the buyer must sign it.
Yes, a Pennsylvania sales agreement needs to state the purchase price since it is the main obligation of the buyer. Therefore, if you don’t enter the purchase price in the purchase agreement, the document won’t have any legal effect.
No, purchase and sales agreements in Pennsylvania don't need to be notarized since the document itself doesn’t transfer any legal rights between the seller and the buyer.
A seller can back out of a purchase agreement in Pennsylvania without compensating the buyer only if the buyer fails to meet the contingencies set out in the document.