Oregon Real Estate Purchase Agreement

Use our downloadable Oregon Real Estate Purchase Agreementtemplate to ensure you adhere to state laws.

Legal Aspects

Under Oregon contract laws, an Oregon Real Estate Purchase Agreement is deemed valid when it fulfills four (4) key elements:

• Proposal: This is the initial proposition put forth by the buyer expressing their interest in acquiring a specific property from the seller.

• Agreement: This refers to the seller’s consent to the terms of the proposal presented by the buyer.

• Exchange Value: This is the benefit or value each party gains in return for their commitment to fulfill the obligations outlined in the contract.

• Mutual Consent: This signifies the shared understanding and agreement between the buyer and seller regarding the terms and conditions of the contract.

Writing Requirement (when it becomes legal)

In Oregon, real estate sales are governed by a legal principle known as “the statute of frauds.” This principle mandates that the Oregon Real Estate Purchase Agreement must be documented in writing and signed by all involved parties to be legally enforceable.

The sale agreement encompasses several key terms and conditions, such as:

• The agreed purchase price

• A detailed description of the property being transferred, including its location and any personal property (like appliances) included in the sale

• The amount of escrow money to be held, the party responsible for holding it, and the conditions under which the escrow money will be forfeited if the sale doesn’t close

• The deadline for completing the pre-purchase inspection

• The time and place for closing and transferring the title

• The arrangement for dividing the closing costs between the buyer and the seller

Required Disclosures

In addition to disclosing any significant defects in the property, sellers in Oregon are obligated to provide the following:

• Lead-Based Paint Disclosure: A disclosure is required for homes built before 1978 at the time of property transfer. This disclosure should include any information about the presence of lead on the property and educational materials outlining the risks associated with exposure to this hazardous substance.

• Seller’s Property Disclosure Statement: Before putting their home on the market, sellers must complete a five-page disclosure document detailing all known aspects of their home. This disclosure must be provided to all potential buyers who make a written offer to purchase the property.