Michigan Real Estate Purchase Agreement

Last Updated: December 19, 2023 by Phil Ahn

Michigan Real Estate Purchase Agreement Template_1 on iPropertyManagement.com

The Michigan residential real estate purchase agreement (“residential purchase and sale agreement”) allows a buyer and seller to enter into a legally binding contract for real property. The main terms of the agreement will consist of a purchase price, down payment, and financing terms.

Required Seller Disclosures in Michigan

Residential real estate purchase agreements commonly contain promises and provisions guaranteeing a property’s condition. Many states legally require sellers to disclose explicit information concerning a property’s condition. In states where this is required and a seller willfully hides such information, they can be sued for fraud.

In Michigan, sellers are required to complete a real estate purchase agreement and the following disclosure statement in order for it to be considered legally binding:

  • Seller’s Property Disclosure Statement. Michigan sellers must provide a full accounting of the property’s current condition to the buyer. Additionally, the buyer should have the property professionally inspected.
  • Lead-Based Paint Disclosure. Any home that was constructed earlier than 1978 must come with a disclosure upon the transfer of the property that includes any data concerning the presence of lead on the premises as well as educational materials that communicate the risks involved with coming into contact with the harmful substance.