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Installment Sale Agreement (Real Estate)
"I need an Installment Sale Agreement (Real Estate) for a commercial property in Ontario, with monthly payments over 5 years and special provisions for early payment without penalty, closing date March 15, 2025."
1. Parties: Identification of the Seller and Buyer with complete legal names and addresses
2. Background: Context of the transaction, including brief property description and parties' intention to enter into an installment sale arrangement
3. Definitions: Key terms used throughout the agreement including Property, Purchase Price, Installment Payments, Closing Date, etc.
4. Property Description: Detailed legal description of the property being sold, including all improvements and fixtures
5. Purchase Price and Payment Terms: Total purchase price, down payment, installment amount, payment schedule, and interest rate
6. Title and Possession: Conditions for transfer of title, interim possession arrangements, and final conveyance details
7. Security Arrangements: Seller's security interest, including registration requirements and buyer's obligations
8. Insurance and Risk: Requirements for property insurance and allocation of risk during the installment period
9. Property Taxes and Expenses: Responsibility for property taxes, utilities, maintenance, and other ongoing expenses
10. Default and Remedies: Events of default, cure periods, and available remedies including acceleration and forfeiture
11. Representations and Warranties: Standard representations by both parties regarding capacity, title, and property condition
12. Covenants: Ongoing obligations of both parties during the installment period
13. Notice: Methods and addresses for formal communications between parties
14. General Provisions: Standard contractual provisions including governing law, entire agreement, and amendment procedures
15. Execution: Signature blocks and witness requirements
1. Property Management: Required when specific property management arrangements are needed during the installment period
2. Assignment: Include when parties want to specifically address the ability to assign rights under the agreement
3. Early Payment Provisions: Include when allowing for early payoff with specific terms or penalties
4. Subdivision Rights: Required when the property may be subdivided during the installment period
5. Environmental Matters: Include for properties with known environmental concerns or industrial/commercial properties
6. Construction/Improvement Provisions: Required when buyer plans significant property improvements during the installment period
7. Co-owner Provisions: Include when multiple buyers are involved with specific co-ownership arrangements
8. First Right of Refusal: Include when seller wants right to repurchase if buyer sells during installment period
1. Schedule A - Legal Description: Detailed legal description of the property from title documents
2. Schedule B - Payment Schedule: Detailed amortization schedule showing all installment payments, interest, and principal allocation
3. Schedule C - Permitted Encumbrances: List of permitted liens, easements, and encumbrances that will remain on title
4. Schedule D - Property Condition Report: Detailed description of property condition at time of agreement
5. Schedule E - Insurance Requirements: Specific insurance coverage requirements and terms
6. Appendix 1 - Property Plans: Survey plans, building plans, or other property drawings
7. Appendix 2 - Environmental Reports: Any environmental assessments or reports (if applicable)
8. Appendix 3 - Title Search Results: Current title search showing existing registrations and encumbrances
Authors
Residential Real Estate
Commercial Real Estate
Real Estate Development
Property Management
Construction
Banking and Finance
Legal Services
Insurance
Real Estate Investment
Property Development
Legal
Real Estate
Finance
Tax
Risk Management
Compliance
Property Management
Investment
Business Development
Operations
Real Estate Lawyer
Property Manager
Real Estate Agent
Real Estate Broker
Financial Advisor
Tax Consultant
Legal Counsel
Contract Administrator
Real Estate Developer
Investment Manager
Property Development Manager
Real Estate Investment Analyst
Compliance Officer
Risk Manager
Title Examiner
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