Contract To Sell (Real Estate) Template for Denmark

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Contract To Sell (Real Estate)

Document background

The Contract To Sell (Real Estate) is a fundamental legal document used in Danish property transactions to formalize the transfer of real estate ownership. This document is essential when any party (individual or corporate) wishes to sell real estate property in Denmark, ensuring compliance with Danish property law, including the Danish Formation of Contracts Act and Property Act. The contract includes mandatory elements such as property details, energy certification, condition reports, and specific Danish legal requirements for property transfers. It's designed to protect both parties' interests while ensuring the transaction meets all regulatory requirements for property registration and transfer under Danish jurisdiction. The document becomes necessary as soon as parties agree to proceed with a property sale and remains active until the final property transfer is completed and registered with the Danish Land Registry.

Suggested Sections

1. Parties: Identification of the seller and buyer with full legal names, addresses, and CPR/CVR numbers as required under Danish law

2. Background: Context of the sale and brief description of the property being sold

3. Definitions: Key terms used throughout the agreement

4. Property Details: Comprehensive description of the property including address, land registry details, cadastral number, and size

5. Purchase Price: Agreed purchase price, payment terms, and deposit requirements

6. Payment Terms: Detailed payment schedule, including deposit, mortgage arrangements, and final settlement

7. Closing Date and Possession: Date of closing (overtagelsesdag) and transfer of possession

8. Property Condition: Current condition of the property and any known defects as required by Danish law

9. Seller's Warranties: Standard warranties regarding ownership, encumbrances, and property condition

10. Due Diligence: Buyer's inspection rights and documentation review period

11. Registration and Transfer: Process for legal registration of ownership transfer

12. Costs and Taxes: Allocation of transaction costs, registration fees, and property taxes

13. Governing Law: Confirmation of Danish law application and jurisdiction

14. Signatures: Execution blocks for all parties and witnesses if required

Optional Sections

1. Mortgage Assumption: Terms for assuming existing mortgages, if applicable

2. Tenant Rights: Details of existing tenancy agreements if the property is currently leased

3. Fixtures and Fittings: Detailed list of items included/excluded in the sale beyond standard fixtures

4. Environmental Matters: Specific environmental considerations or known issues

5. Development Rights: Any existing or pending development rights or restrictions

6. Property Management: Interim management arrangements between contract and closing

7. Construction Completion: For new builds or properties under renovation, terms for completion

8. Right of First Refusal: Any pre-emptive rights granted to specific parties

Suggested Schedules

1. Property Description Schedule: Detailed technical description of the property including boundaries and measurements

2. Title Documents: Copies of current title registration and cadastral map

3. Energy Performance Certificate: Mandatory energy rating certificate (energimærkning)

4. Property Condition Report: Tilstandsrapport as required by Danish law

5. Insurance Information: Details of existing building insurance and options for transfer

6. Property Charges: List of ongoing charges, property taxes, and utility connections

7. Fixtures and Fittings List: Detailed inventory of items included in the sale

8. Land Registry Extract: Current extract from the Danish Land Registry showing encumbrances

9. Building Permits: Copies of relevant building permits and certificates

10. Property Plans: Floor plans and site plans of the property

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