What paperwork is needed to buy off-market?
Core documents
The purchase agreement outlines the price, terms, contingencies, and closing date. If the seller is financing, you'll also sign a promissory note (the promise to repay) and a mortgage or deed of trust (which gives the seller a lien on the property).
A deed transfers ownership from seller to buyer. It must be signed by the seller, notarized, and recorded with the county. A title search and title insurance protect you from ownership disputes or liens.
- Purchase agreement: price, terms, contingencies, closing date.
- Promissory note: repayment terms, interest rate, late fees.
- Mortgage or deed of trust: secures the seller's interest.
- Deed: transfers title; must be recorded.
- Title search and insurance: confirms clear ownership.
- Lease agreement and option contract (for rent-to-own).
State-specific and disclosure forms
Many states require a seller's property disclosure statement, lead-based paint disclosure (for homes built before 1978), and a closing statement (often called an ALTA settlement statement). Some states also require an attorney to handle the closing.
If you're buying through a land contract or contract for deed, the paperwork is different and may need to be recorded to protect your interest. Always have a local real estate attorney review everything before you sign.
Common mistakes
- Using a generic online form that doesn't comply with your state's laws.
- Skipping a title search and later finding liens or ownership claims.
- Not recording the deed or contract, which can leave your ownership unenforceable.
