1- List and explain the six essential elements of a valid real estate sales contract 1. Contract In Writing 2. Competent Parties 3. Mutual Assent 4. Legal consideration 5. Lawful Object 6. Legal Description

2. Mark offered to buy Charlies four- acre tract for $200.000, and they shook hands on the deal. Both men went to an attorney to draft the formal contract. The next day, Mark signed the written contract, but Charlie refused to do so because he had received a higher offer. What recourse, if any, dose Mark have against Charlie for failing to abide by their oral agreement?

3. Nell and Edward agreed that Nell would purchase Edwards house and lot. Because both parties wants\d to avoid the expense of having a formal contract drafted, they signed their names below the following handwritten statement: Nell hereby agrees to buy from Edward the house at 1023 Washington Avenue for $65,000. Closing to be within 60 days from today: September 13, 2007.Nell had planned to borrow 90 percent of the purchase price but failed to qualify for this loan. Dose Nells inability to obtain a loan excuse her from performance of the agreement as written?

4. Answer the following questions based on the real estate sales contract depicted in Figure 6.1 a. When does the buyer get occupancy of the premises? b. What actions can buyer take if the sellers title proves to be unmarketable? c. Whose responsibility is it to obtain and pay for a survey to detect any encroachments? d. If an encroachment is detected in the survey, what happens? e. Who must pay for the various closing costs associated with the deed? f. What happens to the agreement if the property id destroyed by the fire or other casualty before the closing g. What actions can the parties take if the other party breaches the contract?

5. From the buyers perspective, what advantage does traditional mortgage financing offer in comparison to agreement for deed financing, even in state that treat these arrangement similarly?

6. The Hoods and the Wakeleys entered into a formal contract whereby the Hoods agreed to buy the wakeleys partially restored 80 years- old house. During the time period between the signing of the contract and the closing of the transaction, what things should the Hoods accomplish? What responsibilities do the wakeleys have?