What exactly is a contract?

By definition, a contract is an agreement between two or more parties to do, or to refrain from doing, a particular thing in exchange for something valuable. The parties can be individuals, businesses, organizations and government agencies.

They key elements of a successful real estate contract:

1. Offer and acceptance

This implies original signatures with no alterations to the contract. Don't mistake offer and acceptance for counter-offer. When the original offer is marked up and initialed by the party receiving it, then signed, you got a counter-offer and not offer and acceptance. When you come to a final agreement, you should rewrite the contract according to the agreement and this contract must be signed by both parties.

2. Consideration

Usually, money is the form of consideration people use, but sometimes, a promise to perform/pay is also good. .

3. Written contract

All real estate contracts must be in writing. In order to write a good real estate contract, you must keep in mind these things:

You must write the full name of the parties on the contract and thus identify the parties.

You must have the legal description on the contract. Sometimes, the address will do, but it's preferable to have the full legal description. By having this on the contract, you will have the property identified.

You must have the amount of the

About the Author: Amanda Shoemaker owns a great directory of lease and lease purchase properties and houses for rent. Visit her site at http://www.leasebeast.com