What is the purpose of a purchase agreement?

The purpose of a purchase agreement is fundamentally to outline the terms and conditions under which a buyer agrees to purchase a property. This legal document serves as a binding contract that specifies the details of the sale, including the purchase price, closing date, contingencies, and any other relevant terms. It ensures that both parties (the buyer and the seller) have a clear understanding of their rights and obligations in the transaction. By establishing these terms, the purchase agreement protects the interests of both the buyer and the seller and provides a framework for the successful completion of the sale.

While informing buyers about property tax rates, providing contact information for real estate agents, and listing potential issues with the property's condition might be valuable in certain contexts, these are not the primary functions of a purchase agreement. Such details would typically be addressed separately in other documents or discussions surrounding the real estate transaction.