OFFER TO PURCHASE

Easy Contracts Offer to Purchase (OTP) Agreement Generator

An Offer to Purchase (OTP) is a crucial legal document that facilitates the sale of property between a buyer and a seller. Navigating this process can be complex, but Easy Contracts simplifies it with well-structured, professionally drafted OTP agreements that guide both parties through the transaction, helping avoid common pitfalls.

Key Elements Included in an Offer to Purchase:

  1. Identification of Contracting Parties
    The agreement clearly identifies both the buyer and the seller involved in the property transaction.
  2. Property Description
    A detailed description of the property, including the address, is provided to ensure clarity.
  3. Purchase Price and Payment Details
    The agreement specifies the purchase price, payment methods, and any timelines related to the transaction.
  4. Conditions Precedent
    Includes conditions that must be met, such as securing a mortgage or selling an existing property, before the sale can proceed.
  5. Seller and Buyer Responsibilities
    • The seller is responsible for paying rates and taxes until the property is transferred and for providing the necessary compliance certificates (e.g., electrical, gas, and water compliance, or entomologist certificates for coastal properties).
    • The buyer is obligated to execute documents, cover costs, and pay any transfer duties as required by the conveyancer.
  6. Legal Representation
    Information about the legal professionals managing the transfer process and their roles in ensuring the transaction goes smoothly.
  7. Withholding Tax for Non-Residents
    If the seller is a non-resident and the property value exceeds R2 million, specifics on withholding tax apply.
  8. Tax Compliance with SARS
    Details are provided to ensure compliance with the South African Revenue Service (SARS) for tax purposes.
  9. Occupation and Possession
    The agreement outlines the terms of occupation and possession, including provisions for early occupation and any related rental payments.

Download and Use

The Easy Contracts Offer to Purchase (OTP) generator offers an efficient, cost-effective solution for securing your property transaction. Once purchased, you’ll receive an editable Word document that you can customize with your specific details.
Additionally, you can access expert legal advice via our “Lawyer on Tap” service if you have any queries during the process.