Sign a Purchase Agreement Online

What a purchase agreement usually contains

A purchase agreement (also called a sales contract, purchase and sale agreement or offer to purchase) records what is being sold, for how much and on what conditions. Whether it covers a house, a used car or a small business, most agreements have the same building blocks:

• Parties: the full legal names of every buyer and seller.
• What is sold: the property address and legal description, the vehicle's make, model and VIN, or a schedule of business assets or shares.
• Price and payment: the purchase price, how it is paid, and any seller financing.
• Deposit: the earnest money amount, who holds it (often an escrow or title company) and when it is refundable.
• Contingencies: conditions such as inspection, financing, appraisal, clear title or the sale of the buyer's current home, each with a deadline.
• Closing and possession: the closing date and when the buyer gets the keys.
• Inclusions and exclusions: fixtures, appliances or equipment that stay or go.
• Disclosures and warranties: known defects, required seller disclosures, or an “as is” clause.
• Signature blocks: a signature and date line for each party, often with initial boxes on every page.

Check these points before you sign

1. Names match your ID, and everyone named as buyer or seller has a signature line.
2. The price, deposit and closing date match what you agreed, in numbers and in words.
3. Every contingency you asked for is written in, with a deadline you can meet.
4. Handwritten or typed changes are initialed by all parties, not only by you.
5. Addenda and counteroffers are listed in the agreement and signed separately.
6. If the form has initial boxes on each page, initial every one of them.

Once every party has signed and the signed copy has been delivered, the agreement is normally binding. Later changes then need a written amendment signed by all parties, so read the contingency deadlines carefully before you add your signature.

Where an electronic signature works, and where it does not

• United States: the ESIGN Act and state laws based on the Uniform Electronic Transactions Act give electronic signatures the same effect as ink for purchase contracts. Real estate offers and counteroffers are commonly signed this way. The deed signed at closing is different: it usually has to be notarized, in person or through remote online notarization where your state allows it, before it can be recorded.
• Vehicles: a bill of sale can usually be e-signed, but the certificate of title is a state document with its own rules, and many DMVs still require a signature on the paper title.
• Germany: a contract to buy or sell land must be notarially recorded (§ 311b(1) BGB), and so must the transfer of GmbH shares (§ 15 GmbHG). A simple electronic signature does not meet that form. Most other EU countries also complete property sales before a notary.
• England and Wales: a contract for the sale of land must be in writing and signed by or on behalf of each party. An electronic signature can meet that requirement, but exchange of contracts is normally handled by the conveyancers.

Asset purchase or stock purchase?

When a business changes hands, the agreement is usually one of two kinds. In an asset purchase agreement the buyer takes over listed assets, such as equipment, stock, customer contracts or a brand, and only the liabilities it expressly agrees to assume. In a stock or share purchase agreement the buyer acquires the company itself, including its history and liabilities. Both are long documents with schedules and disclosure letters, so make sure the version you sign includes every schedule the signature page refers to.

How to sign a purchase agreement with SigPDF

1. Open the agreement PDF in the editor above. If it has fillable fields, fill them in first.
2. Draw your signature with a mouse or finger, or type your name and pick a handwriting style.
3. Place your signature on each signature line, then use Add Initials for the initial boxes and Add Date next to each signature.
4. Download the signed PDF and send it to the other party, your agent or the escrow company.
5. The other party opens the same file, adds their signature and returns the fully signed copy. Keep that final version.

SigPDF signs one person at a time and keeps no copy of the document. That makes it a good fit when you have received a PDF and need to sign it and send it back. If your agent or lender sends the agreement through their own e-signature platform, sign it there instead so their records stay complete.