Sale of Immovable Property Pack
- Sale of Immovable Property - R 450.00
- Agent Mandate Agreement (Sale of Immovable Property) - R 450.00
- Memorandum of Understanding (MOU) - Free
Immovable Property is typically described as land and, if applicable, buildings situated on the land. A Sale of Immovable Property Agreement is also referred to as an Offer to Purchase, an OTP or a Deed of Alienation. In terms of the Alienation of Land Act of 1981, the agreement to sell Immovable Property must be contained in a “deed of alienation” (in other words the agreement must be in writing and cannot be concluded verbally).
It is an agreement concluded between the Owner of an Immovable Property (for example a house) and an Agent. The purpose of the agreement is to determine the rights and obligations between the Owner of the Property and the Agent and more specifically what is expected from the Agent when marketing the property to prospective purchasers.
Generally, an MOU is a non-binding agreement between parties in which the parties record certain facts and discussion surrounding a proposed binding agreement that they wish to enter into.
MOUs are often combined with non-disclosure agreements (which are binding on the Parties) and also sometimes contain non-solicitation of key individual provisions (which are also binding on the Parties).
The MOU is also sometimes referred to in practice as a “Term Sheet” or a “Recordal”, and usually contain key principles that must be mirrored in the definitive agreement and a recordal of certain actions to be taken by the applicable parties to the MOU.