As much as I would love to share Cloverdale’s 2021 housing market stats, all of the numbers aren’t available at the time of this writing. Please look for the report in the February issue of Cloverdale Connect.

In the meantime, I’d like to share some very important news when it comes to buying or selling a home in California in 2022 and beyond. In December of 2021 the California Association of Realtors (CAR) released an updated Residential Purchase Agreement. This is the form that buyers use to make an offer to purchase a home from sellers. Consequently, this document becomes a contract once the buying and selling parties agree on terms.

Though the Residential Purchase Agreement is longer, 16 pages, the CAR’s legal team along with the forms committee and various other parties, have reorganized the document in an effort to make it easier to understand. Though the transactional process is the same, the layout of this critical document is much better.

First, almost all of the negotiation points can now be found in a two and a half page grid located in the first three pages of the offer. In the past, we had to fumble through multiple pages to find important time periods and pertinent details. Now, we can find the information quickly, as if looking at a summary.

Second, the grid references more detailed information that can be found throughout the agreement. For example, grid row P(1), which includes several checkboxes, also currently references paragraph 9 which details in great length items included in and excluded from the sale. This form is brilliant!

In conclusion, the new purchase agreement has been well thought out and well formatted. I’ve already used this document to write a contract and found it easy to explain and refer to with my clients.

Happy New Year Everyone. May yours be a prosperous and amazing 2022!

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