Contract To Sell With Earnest Money Template for Australia

The Contract to Sell With Earnest Money is a fundamental document in Australian property transactions, used when a buyer commits to purchasing real property and provides a deposit (earnest money) as security for their intention to proceed with the purchase. This document is essential in both residential and commercial property transactions across all Australian states and territories, though specific requirements may vary by jurisdiction. The contract includes comprehensive details about the property, purchase price, earnest money arrangements, settlement conditions, and obligations of all parties. It serves to protect both the seller's and buyer's interests by clearly defining the terms of the sale and the conditions under which the earnest money may be retained or returned. The document must comply with relevant state-based property legislation, the Australian Consumer Law, and other applicable federal regulations.

1. Parties: Identifies and provides full legal details of the seller and purchaser

2. Background: Context of the sale and basic transaction overview

3. Definitions: Defines key terms used throughout the contract

4. Property Details: Comprehensive description of the property including lot number, title details, and included fixtures/fittings

5. Purchase Price: States the total purchase price and payment structure

6. Earnest Money: Specifies the earnest money amount, payment terms, holding arrangements, and conditions for refund or forfeiture

7. Settlement: Details of the settlement process, timing, and requirements

8. Seller's Obligations: Lists all obligations of the seller including property maintenance until settlement

9. Purchaser's Obligations: Lists all obligations of the purchaser including finance arrangements and inspections

10. Conditions Precedent: Conditions that must be met before settlement can occur

11. Title and Transfer: Provisions regarding transfer of title and associated requirements

12. Risk and Insurance: Specifies when risk passes to the purchaser and insurance requirements

13. Default: Consequences and remedies for breach by either party

14. Notices: How formal notices between parties should be given

15. General Provisions: Standard contract clauses including governing law, entire agreement, and amendments

16. Execution: Formal signing section including witness requirements