What Is A Provisional Purchase Agreement

The seller agrees to sell and the buyer agrees to acquire, through the agent, all the premises contained in these premises under the conditions provided for. The purchase price of these premises is the purchase price with down payment, additional down payment and balance after completion. In the Hong Kong real estate market, it is customary for the seller and buyer to enter into an interim agreement for the sale and purchase of real estate (“provisional agreement”) of real estate either through real estate agents or lawyers. Although there are no standard forms, the interim agreement generally provides or processes the following information: name, address, Hong Kong ID card number or other identity data are indicated in order to correctly identify the buyer. (If the buyer is a limited company, provide the name, operating registration number and headquarters of the limited company.) The property is sold to the buyer or to its nominees or sub-buyers without charges, unless otherwise stated in the contract. In general, expenses or other debts are subject to the property. Common examples of charges are mortgages, fees, fees, fee orders, etc. These should be defused by the seller after or before completion, unless the seller and buyer expressly agree otherwise in the interim agreement. After signing the interim sales contract, you have 10 days to terminate. If you make use of this right, the sums paid as collateral will be refunded and you are no longer liable to the seller. Although the provisional sales contract can be signed between individuals, we strongly recommend using the expertise of a notary (or judicial officer).

They take care of another down payment – it is usually payable to the seller at the time of signing a formal agreement for the sale and purchase (“formal agreement”) on a specific date or before a specific date (normally the first down payment and the additional down payment will add up to 10% of the price). However, if the property is in negative equity, the subsequent deposit should be made with the seller`s lawyers as representatives of interest to protect the buyer. With respect to the services provided in connection with the sale and sale, the real estate agent has the right to collect an agreed and specified commission from the seller or buyer. The amount and payment of the commission are subject to the respective brokerage contracts concluded by the real estate agent with the seller or buyer.dem. A real estate agent who is a broker for both the seller and the buyer in a transaction and who has the right to collect commissions from both should inform the seller and buyer. If you want to buy a property, by creating a provisional sales contract, you can secure your future transaction and bind yourself to the seller. The agreement serves as a commitment from the seller to the buyer and the commitment of the buyer to the seller.