<P> As may be the case with other contracts, real estate contracts may be formed by one party making an offer and another party accepting the offer . To be enforceable, the offers and acceptances must be in writing (Statute of Frauds, Common Law) and signed by the parties agreeing to the contract . Often, the party making the offer prepares a written real estate contract, signs it, and transmits it to the other party who would accept the offer by signing the contract . As with all other types of legal offers, the other party may accept the offer, reject it (in which case the offer is terminated), make a counteroffer (in which case the original offer is terminated), or not respond to the offer (in which case the offer terminates by the expiration date in it). Before the offer (or counteroffer) is accepted, the offering (or countering) party can withdraw it . A counteroffer may be countered with yet another offer, and a counteroffering process may go on indefinitely between the parties . </P> <P> To be enforceable, a real estate contract must possess original signatures by the parties and any alterations to the contract must be initialed by all the parties involved . If the original offer is marked up and initialed by the party receiving it, then signed, this is not an offer and acceptance but a counter-offer . </P> <P> A real estate contract typically does not convey or transfer ownership of real estate by itself . A different document called a deed is used to convey real estate . In a real estate contract, the type of deed to be used to convey the real estate may be specified, such as a warranty deed or a quitclaim deed . If a deed type is not specifically mentioned, "marketable title" may be specified, implying a warranty deed should be provided . Lenders will insist on a warranty deed . Any liens or other encumbrances on the title to the real estate should be mentioned up front in the real estate contract, so the presence of these deficiencies would not be a reason for voiding the contract at or before the closing . If the liens are not cleared before by the time of the closing, then the deed should specifically have an exception (s) listed for the lien (s) not cleared . </P> <P> The buyer (s) signing the real estate contract are liable (legally responsible) for providing the promised consideration for the real estate, which is typically money in the amount of the purchase price . However, the details about the type of ownership may not be specified in the contract . Sometimes, signing buyer (s) may direct a lawyer preparing the deed separately what type of ownership to list on the deed and may decide to add a joint owner (s), such as a spouse, to the deed . For example, types of joint ownership (title) may include tenancy in common, joint tenancy with right of survivorship, or joint tenancy by the entireties . Another possibility is ownership in trust instead of direct ownership . </P>

When is a real estate contract considered executed