What are the different types of real estate contracts?

In Michigan, there are several different types of real estate contracts that can be used in residential real estate transactions. The most commonly used contract is called a purchase agreement, which is a legally binding agreement between the buyer and seller that outlines the terms of the sale, including the purchase price, closing date, and other details. Another type of real estate contract is called a lease agreement. This is a contract between a landlord and tenant that outlines the terms of a rental agreement – including the rent, security deposit, and the length of the lease. A third type of residential real estate contract is called a land contract. This is an agreement between a buyer and seller for the sale of a piece of land. The buyer pays a down payment and makes regular payments until the purchase is complete. Finally, a mortgage agreement is a contract between a borrower and a lender that outlines the terms of a loan for the purchase of a home. This contract outlines the amount of the loan, the interest rate, and the length of the loan. Overall, there are four primary types of residential real estate contracts in Michigan: purchase agreement, lease agreement, land contract, and mortgage agreement. Understanding these contracts is essential for any real estate transaction, as they provide the legal framework for the transaction.

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What are the different types of real estate contracts?

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