Friday, December 15, 2006

Purchasing Real Estate in Sweden - Compulsory content of the purchase contract

The purchase contract has to be in writing and

1) identify the real estate,

2) set out the sales price,

3) contain a clear statement of the seller’s intention to sell and

4) be signed by both parties.

A contract that does not meet the formal requirements 1—4 above is void.

If the seller is married, it will most likely be necessary to obtain the spouse’s consent to the sale.

The seller’s, and – if applicable – the spouse’s signatures should be confirmed by two witnesses.

As mentioned in an earlier post, the documentation ordinarily consists of a purchase contract setting out all the provisions of the transaction and a Bill of Purchase confirming the transfer of title and the payment of the full purchase price. Both these documents must fulfil the above requirements with the exception of the signature of the seller’s spouse. Such consent need only be made in the document used for registration purposes.

Finally, it should be noted that there is no Swedish requirement to involve a notary public in connection with a real estate purchase contract. Anyone can draft such a contract and it is normally done by the real estate agent and not a lawyer.

1 comment:

workhard said...

Thats very informative