In the sales agreement (sometimes also called ” promise of sale”) both parties agree: the owner to sell and the acquirer to acquire. This mutual commitment is already a sale when the property is identified and its price is set.
WARNING: The sale agreement is already a sale and not a mere promise.
When the proposed acquisition is on a property for residential purposes, the time of withdrawal or reflection as apply to the sale agreement.
Since the buyer did not waive its proposed purchase, the money paid by the purchaser for signature (typically 10% of the price) is a down payment on the sale price and can
not not he be returned (unless the conditions precedent are not fulfilled on time, especially that concerning a possible loan).
No one has to lift option: mutual commitments are irrevocable and immediately in case of difficulty, everyone can compel the other to pay the balance of the agreed price and regulate the sale deed for it to full effect.
All comments previously made about the unilateral promise of sale apply to sales agreement, as regards the content of the act, the provisions for borrowers, the terms of withdrawal or penalty clauses and conditions precedent.