A promise of sale agreement (CPCV) is a consensual, bilateral, and onerous contract between the buyer and seller. This contract serves as an agreement for the purchase of a property, acting as a guarantee until the final contract, i.e., until the day of the deed.
The CPCV is a written agreement that safeguards the rights of the individuals involved in the transaction until the deed of sale is signed, and is useful when seeking to deter other potential buyers. When the potential buyer gives the seller a deposit, which varies between 10% and 20%, it means a “guarantee of compliance with the preliminary agreement” and “proof of the seriousness of the contractual intention.”
When the seller fails to comply with the agreement in the contract, they must return twice the amount of the deposit to the buyer. However, if the buyer fails to comply, the seller may keep the amount paid.
The party that has complied may also go to court to request specific performance of the contract, with the aim of obtaining a judgment that allows for its enforcement.
It is possible to add a clause to the promissory contract that safeguards both parties involved, but only if both parties agree. The most common clause allows the contract to be canceled if the buyer is denied bank credit, if applicable.
In addition to formalizing a binding document for both parties, this contract provides legal security in the event of delay, breach of contract, or if the property does not have a license for use.
Before signing the contract, you should check that the identification of both parties is complete, that the property is correctly identified, as well as the license for habitation, the deposit amount, and the payment schedule. The contract must include the maximum term for the conclusion of the final contract and include a clause to relieve the buyer of responsibility for responding to charges levied on the property.
source: casasapo