Why a contract to buy and sell is necessary?

To show the intent between the buyer and the seller that during the period stipulated in the contract the buyer must purchase the property from the seller, including the seller not selling the property to another person. By making a buy and sell contract, the buyer will have to deposit a lump sum to guarantee that from the time the contract of buy and sell has been signed. The buyer and the seller must have a contract of buy and sell between them and the transfer of ownership of the real estate according to the period specified in the contract at the Land District Office. The buy and sell agreement buyers and sellers can easily do it themselves. Just download the online form that is available online. There are important details in the contract that must be paid attention to as follows:

1. Contract header: It indicates the place and date of the contract to know when the contract is effective and when to begin.

2. Details of seller and buyer: It indicates the information of both the buyer and the seller, such as the name-surname, age and address (according to the identification card) and specifying that the name-surname is "seller" or "buyer" at the end. Attach a copy of the ID cards of both parties at the end of the contract.

3. Details of real estate to be sold: for example, a house with land, house number, specify the title deed-land number-area-location (Sub-district -District-Province) and specify that the above-mentioned real estate belongs to the seller. However, a copy of the land title deed and building details must be attached at the end of the contract and be considered part of the contract.

4. Specify purchase price and payment: This indicates the price at what price the seller agrees to sell, and the buyer agrees to purchase the property in accordance with item 3. Must be specified in numbers and letters. There are two parts of the payment split:

· Pay the deposit on the date of the purchase and sale contract. The deposit amount must be stated in numbers and letters. In the case of deposit payment by bank check, specify the details of the cheque, i.e. bank-branch-date-check number Normally, the deposit will be between 10,000-20,000 baht or may be accounted for 5-10 percent of the selling price

· Pay the rest on the transfer date. The remaining amount to be paid must be stated in numbers and letters.

5. Transfer of ownership : It is clearly stated that both parties will transfer the ownership of the property within no later than what date. The date must be clearly specified. what land office However, specifying the date of ownership transfer, most of the time periods are set about 1-3 months to give the buyer time to contact the bank to apply for a loan. Interested in applying for a home loan, see details here. https://www.scb.co.th/th/personal-banking/loans/home-loans.html

In addition, the cost of real estate purchases must also be specified, such as transfer fees. Usually, the buyer and the seller are half and half. As for withholding taxes, duties, specific business taxes, commission fees, normally the seller will be borne by himself.

6. Handover of land and buildings : This indicates the date that the seller agrees to allow the buyer to inspect the land and buildings. before the date of registration of the transfer of ownership If the buyer checks and finds that the land and buildings specified are correct according to the contract. will agree to transfer ownership to the seller and after the transfer of ownership. The seller must deliver the land and buildings to the buyer immediately.

7. Assign the rights and warranties of the seller:

· Assignment of rights is written to prevent the buyer from transferring the ownership to buy and sell the land and buildings to a third party unless the seller's consent must be obtained in writing. Including the need to specify the transfer fee for the seller if the buyer wants to transfer the ownership to a third party.

· Seller's testimonials : It certifies that the land and buildings to be sold are the seller has the right to sell the property completely without any servitude or other claims. and no additional obligations arise from the date of the purchase and sale agreement Including if the seller still has debt attached, such as the home loan has not been paid off. The seller must be responsible for paying all the debts before the transfer date, etc.

8. In case of breach of contract and termination of contract:

· If the buyer does not register for the transfer of ownership: specify that the seller can forfeit all deposits under the contract to buy and sell and have the right to cancel the contract.

· If the seller does not register the transfer of ownership: specify that the buyer can sue the seller to perform the contract and have the right to claim the deposit back and various damages. from the seller

9. Additional terms or conditions:
Made at the end of the contract to prevent unforeseen events or unforeseen problems, such as in the event that the seller or buyer cannot transfer ownership according to the specified contract date The interest rate must be specified from the date of default. or in the case where a notice or demand is required, it must be in writing and sent by registered mail to the contracting parties at the address specified in the contract, etc.

10. Signing the contract:

Contains the names of buyers and sellers. and must have one witness on each side to sign as a witness. The contract of purchase and sale will be made in 2 copies with the same message. Buyer and seller keep one copy each.

From the article, the buy and sell contract before the transfer of ownership of the real estate gives both the buyer and the seller a clear legal evidence. as well as to make an agreement and understand each other to reduce various disputes that may occur when it is time to transfer the ownership on the actual day at the land office Interested in applying for a loan to buy real estate see details here https://www.scb.co.th/th/personal-banking/loans/home-loans.html

Reference

https://www.ddproperty.com

https://www.home.co.th/hometips/topic-25136