A Real Estate Bill of Sale is a vital part of transferring a property from one party to another. Typically Bills of Sale confer ownership of an object or personal property in exchange for a certain amount of money or services. Thus serving two purposes; confirming that money has been tendered or services have been rendered by a certain date and acting as proof of ownership. A Bill of Sale for real estate or property does not do this. That is, it does not transfer or act as confirmation of ownership for a property by the payee. It does usually accompany the documents that do (i.e. a deed). The Real Estate Bill of Sale will however establish that a certain amount of money has been received by the seller or agent for a defined property. It is usually not required to file a bill of sale with the county or state unless it is specifically mentioned in the sales contract.
Although, this document may not carry the same power as a deed, warrantee, or even a quit claim, it does carry the legal weight that the ownership of the property must transfer appropriately since it is only issued when the proper amount of money has been paid within the time period required by the seller. This is especially powerful in a court dispute if it is referred to in a sales contract. Thus in and of itself, even a notarized Real Estate Bill of Sale will not be recognized as transferring ownership without a deed but it does guarantee that the property owner must provide what the bill of sale is for (deed, title, quit claim) or return the money in full.
How to Write
The Real Estate Bill of Sale may be very specific (especially if mortgages are involved) or short and simple. Information required on most bills of sale would include the seller and payee names, addresses, and the signatures of both parties with witnesses. The document will define the property location, provide an adequate description of the property, and must contain precise language that said property will be conferred to the payee upon receipt of the payment.
Property cannot be transferred through verbal agreements. That is all transfer of ownership must be in writing. This insures that ownership of property is recorded accurately by the county and state and at times helps prevent misunderstandings or needless court disputes.