By Bruce in Union, WA on 9/13/2005
Your next step would be to draw up a contract. It is a fairly simple process. You
can get a Real Estate Sales Contract legal in all 50 states from an office supply
store. In it you will fill in the amount, the closing date, the contingencies and any
escrow amount that you have decided on. As for the contingencies, unless you have
checked out all of the possible issues with the lot; (power, access, zoning, water, sewer etc...)
you will want to insert a feasibility study contingency. This allows you 30, 45 days to thoroughly
check out the property to ensure you can do with it what you are planning to do. I would also
put in a statement that allows you to do a perk test if needed. After you have filled out the contract,
there is no need to see an attorney until you have decided for sure that you want to purchase the
property. The reason being is that the feasibility study allows you to back out of the contract at your
will, without losing your escrow money. It allows you to check for any and everything that you deem
Also state in the contract that you and the seller will be splitting closing cost equally, unless you both
have already agreed on something different.
Next, all parties sign it, and you and the seller head to the escrow/Title Co. You will need to have a
cashiers check made payable to the Escrow Co, usually drawn on an in-state bank, for the amount of
escrow you and the seller have decided on. ($500.00 or $1000.00).
From there the Escrow and Title Co. do the rest. Make sure your closing date is no sooner than 3-4
weeks past the end of your feasibility deadline. Do a thorough feasibility study, ask alot of questions
at the county, city etc.... And then before you write out the final check, consult an attorney to make
sure you haven't missed anything.
Hope that helps.