Rhode Island Real Estate Purchase Agreement

The Rhode Island residential real estate purchase agreement (“purchase and sale agreement”) allows a buyer and seller to enter into a legally binding contract for real property. The main terms of the agreement consist of a purchase price, down payment, and the financing terms (if any). The parties may also enable the agreement to be subject to contingencies, for any agreed-upon terms. Once the form has been signed by both parties, each shall have the duty of specific performance to complete their end of the deal in order to facilitate a closing.

Do Sellers in Rhode Island Have to Disclose Property Defects?

Rhode Island does require real estate sellers to disclose any material defects. Certain states do not require the seller to disclose all defects (caveat emptor), meaning the buyer assumes the responsibility to conduct a real property inspection to seek out any potential defects with the property. In those states, if a buyer fails to conduct a proper examination, they may not have a legal alternative to reverse the real estate transaction.

Required Seller Disclosures in Rhode Island

• Real Estate Sales Disclosure Form. All sellers must complete this document and give it to the buyer before agreeing to sell the property.
• Lead-Based Paint Disclosure. Any home that was constructed earlier than 1978 must come with a disclosure upon the transfer of the property that includes any data concerning the presence of lead on the premises as well as educational materials that communicate the risks involved with coming into contact with the harmful substance.
• Mandatory Real Estate Relationship Disclosure. For sales involving the services of a licensed real estate specialist, the real estate specialist must be clarified.

Frequently Asked Questions

How Do You Write a Real Estate Contract in Rhode Island? In Rhode Island, a real estate contract should include all the following information: the buyer and seller’s information, property details, pricing and financing, closing and possession dates beside any property insurance and conflict resolution contingencies. Read more » How Can You Get Out of a Real Estate Contract in Rhode Island? According to Rhode Island law (§ 5-20.8-2), a buyer can get out of a real estate contract if the seller does not provide them with a completed Real Estate Sales Disclosure prior to agreeing to the transfer of ownership. Read more » What Is the Effective Date of a Real Estate Contract in Rhode Island? The effective date of a real estate contract in Rhode Island is the date that both the buyer and seller have agreed to all terms of the contract and have executed the contract. At this time, all of the contractual obligations will be bound and enforceable on the effective date. Read more » Can a Seller Cancel a Real Estate Contract in Rhode Island? In Rhode Island, a seller can get out of a real estate contract if the buyer’s contingencies are not met—these include financial, appraisal, inspection, insurance, or home sale contingencies agreed to in the contract. Sellers might have additional exit opportunities with unique situations also such as an estate sale. Read more » How Do I Fill Out a Real Estate Contract in Rhode Island? To fill out a real estate contract in Rhode Island, begin by filling in the names and addresses of both parties (the buyer and seller). Next, complete the property information, purchase price, along with the terms and conditions of the deal. Read more »