Can a buyer represent himself when he purchases real estate from a FSBO or from a listing agent?  Yes, but there are traps for the unwary, a few documents that are required by law and some documents that can protect you from calamity.

Buying real estate used to be a matter of a few pages signed by the parties and a simple closing in a real estate office.  It’s not so easy anymore.  In the State of Washington here is a short list of the kinds of documents used in a typical real estate transaction.  Each document has its appropriate use and timing, and each document must be the latest revision, and they are revised regularly to comply with new law and new court rulings.

1. Law of Real Estate Agency Pamphlet
2. Lead Paint Hazards Pamphlet
3. Mold, Moisture, and Your Home
4. Seller Disclosure Statement-Improved Property
5. Seller Disclosure Statement-Unimproved Property
6. Multi-Family Purchase and Sale Agr.
7. Residential Purchase and Sale Agr.
8. Financing Addendum
9. Financing Contingency Notice
10. Buyer’s Sale of Property Contingency Addendum
11. Payment Terms Addendum
12. Optional Clauses Addendum
13. FIRPTA Certificate
14. For Your Protection: Get a Home Inspection
15. For Sale By Owner Addendum
16. Snohomish County “Right to Farm” Discl. St.
17. Snohomish County “Right to Practice Forestry” Discl. St.
18. Disclosure of Info. on Lead-Based Paint and Hazards
19. Identification of Utilities Addendum
20. King County Addendum
21. Land and Acreage Addendum
22. Promissory Note (Fixed Rate of Interest)
23. San Juan County Tax Addendum
24. Seller Warranty-No Foreclosure Sale Pending Add.
25. Island County Addendum
26. Skagit County “Right to Farm” Disclosure
27. Buyer’s Pending Sale of Property Contingency
28. Well Addendum
29. Septic Addendum
30. Short Sale Addendum
31. Title Contingency Addendum
32. King County Seller’ Notices of OSS
33. Kitsap County Septic Addendum
34. King County Buyer’s Declaration of OSS Receipt
35. Homeowner Insurance Addendum
36. Island County Noise Disclosure
37. Pierce County Septic Addendum
38. Oak Harbor Noise Disclosure
39. Kittitas County Surface Water Rights Addendum
40. Extension of Closing Date Addendum
41. Kittitas County Right To Farm Discl. St.
42. Snohomish County Smoke Detector Certification
43. Open Space Addendum
44. Manufactured Home PSA
45. Vacant Land Purchase & Sale Agr.
46. Presale Addendum
47. Presale Addendum - Optional Clause
48. Condominium Resale Certificate
49. Condominium Purchase & Sale Agr.
50. Condominium New Construction/Conversion Addendum
51. Earnest Money Promissory Note
52. Assignment of Buyer’s Interest
53. Cooperative Apartment Addendum
54. General Addendum
55. Inspection Addendum
56. Inspection Response for Form 35
57. Escalation Addendum
58. Feasibility Contingency
59. Neighborhood Review Contingency
60. Pre-Inspection Agreement
61. Counter-Offer (Addendum)
62. Withdrawal of Offer or Counteroffer
63. King County On-Site Sewage System Discl.
64. Back-Up Addendum to Purchase & Sale Agreement
65. Notice to Back-Up Buyer that First Sale has Failed
66. Second Buyer’s Addendum
67. Commission Disbursement Form
68. Buyer’s Agency Agreement
69. Buyer’s Agreement No Agency
70. Selling Broker’s Commission
71. Agency Disclosure
72. Reservation Agreement
73. Notice to Remove Contingency (“Bump Notice”)
74. Notice from Contingent Buyer to Seller (“Bump Reply”)
75. Authorization to Disburse Earnest Money
76. Rescission of Purchase and Sale Agreement
77. Conditional Release of Listing
78. Rental Agr. (Occupancy Prior to Closing)
79. Rental Agreement (After Closing)
80. Lease/Rental Agreement (Residential)
81. Move-In/Move-Out Inspection Agr.
82. Pet Agreement
83. Option to Buy Real Estate
84. Homeowner’s Policy of Title Insurance
85. Receipt for Earnest Money
86. Blank Notice
87. Notice of Rescission of Agreement Pursuant to Form 17
88. Notice of Termination of Agreement for Failure to Pay Earnest Money
89. Failure to Close-Notice of Termination by Buyer
90. Failure to Close-Notice of Termination by Seller-Seller Keep Earn. Money
91. Failure to Close-Notice of Termination by Seller-Seller to Elect Remedies
92. Buyer’s Notice of Waiver of Financing Contingency
93. Buyer’s Notice of Termination (Financing Unavailable)
94. Buyer’s Notice of appraisal Less Than Purchase Price-Termination
95. Seller’s Notice of Consent-Second Contingent Sale
96. Seller’s Notice of Consent-Delayed Closing
97. Notice of Termination Pursuant to Neighborhood Review (Form 35)
98. Notice of Termination (Disapproval of Park Rules and Regs-Form 23)
99. Notice of Termination-(Unable to Assume Lease - Form 23)
100. Notice of Termination (Feasibility Contingency Disapproval-Form 25)
101. Notice of Termination (Public Offering Statement Disapproved-Form 28)
102. Notice of Termination (Resale Certificate Unacceptable-Form 28)
103. Seller’s Notice that Title Commitment is Available
104. Buyer’s Notice of Termination (Homeowner Insurance is Unavailable)
105. Buyer’s Pending Sale Contingency Notice

I have always been a strong advocate of using a professional, in every profession, but here it is especially important that a buyer know when and how to use these documents.  And drafting unambiguous language in each of these primary documents and addendums is critical to avoid disputes and even a transaction that fails because of poor drafting.

More than ever, buyers are wise to use exclusive buyer’s agents to represent them.  When I represent a buyer, I cost them nothing, because the seller pays my commission.  There is absolutely no conflict of interest, because I don’t worry about getting my buyer the lowest price while trying to get my seller the highest price at the same time!

Related Posts

• No Related Post

Enjoy this post? Subscribe to my RSS feed.