The New Jersey Association Of Realtors Standard Form Of Real Estate Sales Contract
Jan. 5, 2023
The New Jersey Association of Realtors (NJAR) provides a standard form contract for real estate sales, known as the "NJAR Standard Form of Real Estate Sales Contract." This form is widely used by real estate professionals in New Jersey to facilitate the sale of residential and commercial properties.
The NJAR Standard Form of Real Estate Sales Contract includes the following provisions:
Parties: The contract identifies the buyer, seller, and any other parties involved in the transaction.
Property: The contract describes the property being sold, including its location, size, and any improvements or features.
Purchase price and financing: The contract specifies the purchase price and any financing arrangements, such as a mortgage or a down payment.
Closing date and possession: The contract specifies the closing date, which is the date on which the sale is completed, and the date on which the buyer will take possession of the property.
Contingencies: The contract includes provisions for contingencies, which are conditions that must be met before the sale can be completed. Common contingencies in a real estate sales contract in New Jersey include a satisfactory home inspection, a clear title, and the buyer's ability to obtain financing.
Closing costs and closing statement: The contract specifies who is responsible for paying closing costs, such as title insurance and transfer taxes, and outlines the process for preparing a closing statement.
Representations and warranties: The contract includes representations and warranties made by the seller about the property, such as that it is in good condition and that the seller has the legal right to sell it.
Termination provisions: The contract includes provisions for how the contract can be terminated if one of the parties fails to fulfill their obligations under the contract.
It is important for both the buyer and the seller to fully understand the terms of the NJAR Standard Form of Real Estate Sales Contract before signing it. It is also advisable to have the contract reviewed by a lawyer to ensure that it is legally enforceable and protects the interests of both parties.
Time Is Of The Essence
A time is of the essence letter is a written notice that is used in a real estate contract in New Jersey to inform the other party that time is of the essence, or that strict adherence to the timeline specified in the contract is required.
A time is of the essence letter may be used in a variety of situations, such as when one party is experiencing delays in fulfilling their obligations under the contract or when the contract specifies that certain actions must be taken by a certain date.
A time is of the essence letter typically includes the following information:
A statement that time is of the essence in the contract
The specific provisions of the contract that are affected by the time is of the essence notice
The deadline for the affected provisions to be fulfilled
A statement that any failure to fulfill the affected provisions by the deadline will be considered a breach of the contract
It is important for both parties to a real estate contract to fully understand their rights and obligations under the contract and to seek legal advice if a breach occurs. A time is of the essence letter can be an important tool for ensuring that the terms of the contract are upheld and that any delays or issues are addressed in a timely manner.
Breach Of Contract
If someone breaches a real estate contract in New Jersey, the other party may have a number of remedies available to them. The specific remedies will depend on the terms of the contract and the nature of the breach.
Some common remedies for a breach of a real estate contract in New Jersey include:
Specific performance: The non-breaching party may seek an order from the court requiring the breaching party to fulfill their obligations under the contract.
Damages: The non-breaching party may seek damages to compensate them for any losses they have incurred as a result of the breach.
Termination of the contract: The non-breaching party may seek to terminate the contract and be released from their obligations under the contract.
Injunctive relief: The non-breaching party may seek an injunction from the court prohibiting the breaching party from continuing to breach the contract.
It is important for both parties to a real estate contract to fully understand their rights and obligations under the contract and to seek legal advice if a breach occurs.