An FSBO contract is a legally binding document to formalize the sale of the house. In a traditional real estate transaction, the seller or buyer’s agent creates the purchase agreement. However, in an FSBO deal, the seller is responsible for the contract. They must hire a real estate attorney to make the For Sale By Owner Contract legally binding.

A real estate purchase agreement is a binding agreement where the Seller and the Buyer agree and commit to the terms of the sale of real property. This contract includes the purchase price, the closing date, contingencies and other terms and conditions both parties agree on.