What is the Agreement of Purchase and Sale?

The Agreement of Purchase and Sale is a crucial document in real estate transactions as it establishes the legal framework between the vendor (seller) and the purchaser (buyer) concerning the sale of a property. This agreement outlines essential details such as the purchase price, condition of the property, timelines for completion, and any contingencies that must be satisfied for the sale to proceed. By creating this binding contract, both parties commit to the terms set forth, ensuring clarity and protection for their interests throughout the transaction.

The other options do not accurately reflect the purpose of the Agreement of Purchase and Sale. Leasing agreements and rental contracts focus on the use of a property rather than a sale. Additionally, an offer to sell made to multiple buyers does not characterize the Agreement of Purchase and Sale, as it specifically pertains to the definitive agreement reached by the vendor and purchaser. Thus, the correct choice effectively captures the essence of this key real estate document.