The AAR Residential Purchase Contract has many time obligations for each party. Failing to comply with those obligations could cause the deal to fail and could cost the party money.

Within the entirety of the agreement, the buyer has about 11 obligations, while the seller has 17. Each obligation carries with it a timeline in which the party must comply.

Does every buyer know what they must do and by when?

Does every seller know that they must do and by when?

The answer to both is a resounding NO!

Most clients have little to no knowledge or understanding of those timelines or the issue itself, simply due to the fact that they have never seen that document prior to entering this contract. Thus, who must they lean on to keep them on track?

YOU!

Every client is different. A cash buyer has fewer obligations and some different ones compared to a buyer obtaining a loan. Same is true for the seller.

The role of every agent is first to know the party’s obligations. Not word for word, but at least a knowledge of the obligation, the timing of that obligation and where to find it on the contract.

Every agent must be able to build a timeline and keep the client informed. And the agent must determine the timing of advance notice of an upcoming obligation, meaning, how long the client has before the obligation is due. Each one is different.

Again, know the contract and supporting addenda. No need to know word for word, but at least the concept and where it is located. If your client runs past an obligation, which impacts their ability to perform, they will look to you as to why that occurred. That will be a tough conversation to have with your client.