Buying a residential or commercial property

Real Estate Purchase Price & Structure

Offer price

Deposit amount (often 1–5% with offer, balance on contract execution)

Payment structure

All cash vs. financed

Seller financing (if any)

Allocation of price (land vs. improvements, for tax purposes)

Property & Deal Terms

Property description

Legal description, address, parcel numbers for Northeast Florida properties

Assets included

Buildings, parking, signage

Equipment, fixtures, furniture (FF&E)

Exclusions (what’s not included)

Due Diligence Period

Length of due diligence (commonly 30–90 days)

Buyer’s right to:

Inspect physical condition (roof, structure, HVAC, environmental)

Review financials (rent roll, leases, operating statements)

Verify zoning, use, and compliance

Right to terminate or renegotiate during this period

Financing Contingencies (if applicable)

Loan amount and type

Interest rate assumptions

Time allowed to secure financing

Right to cancel if financing is not obtained

Earnest Money Deposit (EMD)

Amount and timing

Where it’s held (escrow, attorney)

Conditions under which it’s:

Refundable

Non-refundable

When it “goes hard” (after due diligence)

Closing Terms

Target closing date

Prorations (rent, taxes, CAM, utilities)

Closing costs (who pays what)

Title insurance and survey requirements

In the realm of commercial investing, understanding these terms is crucial for effective property management.