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Writing Special Terms Into a Home Sale Contract

Tap each step to see it in order.

  1. Understand why special terms matter

    A standard contract template can't cover everything unique to your specific deal. Spelling out the unusual or important details as special terms reduces the risk of a dispute later over differing interpretations.

  2. Write a condition for clearing any existing lien

    If the title record shows an existing mortgage lien or other claim against the property, state as a special term that it must be cleared by the time the final payment is made, and agree on how that clearance will be confirmed.

  3. Add a clause on the condition of fixtures

    List which fixtures and appliances -- air conditioning, heating systems, built-in cabinets, and so on -- are included, and state that they'll be handed over in their current condition. A specific list reduces arguments at move-in.

  4. Define the scope of defect responsibility

    Decide in advance who's responsible, and for how long, if problems like leaks or cracks are discovered after the buyer moves in, and write it into the contract clearly.

  5. Agree on how shared costs will be settled

    Decide how maintenance fees, a shared reserve fund, and utility bills like gas or electricity will be divided between buyer and seller as of the closing date, and record the agreement in writing.

  6. Reread the special terms before signing

    Special terms carry the same legal weight as the rest of the contract. Before signing, check the wording isn't ambiguous and that both sides understand it the same way.

Special terms carry the same force as the contract body

Clearly defining the specific circumstances of your deal as special terms -- things a standard template can't anticipate -- meaningfully reduces the risk of disputes later. This is general information, not legal advice, so review the actual wording with a licensed real estate agent or lawyer.

The same idea applies to rental agreements

If you're curious how special terms are handled in a rental agreement instead, our guide to the basics of writing a residential lease covers similar ground for tenants and landlords.

Frequently Asked Questions

Is there a limit to how many special terms I can include?

There's no fixed limit, but rather than listing everything you can think of, it's more effective to clearly spell out the handful of points that actually matter for this specific deal.

Does a verbal agreement count if it isn't written down?

A verbal agreement can carry legal weight in principle, but it's difficult to prove if a dispute arises, which puts you at a disadvantage. Any agreement that matters should be written into the contract as a special term.