Tax, SDIRAs & Cost Segregation

User Stats

161
Posts
178
Votes
Aidan Mulligan
  • Rental Property Investor
  • Charlotte, NC
178
Votes |
161
Posts

Memorandum of Agreement (MOA) vs Signed Contract in Real Property

Aidan Mulligan
  • Rental Property Investor
  • Charlotte, NC
Posted Apr 1 2019, 19:58

I recently watched a video that talked about common errors to avoid. One of the common errors was "Not getting a Memorandum of agreement when buying real estate." The little explanation that followed said that in their opinion, everyone should obtain an MOA, a memorandum of contract, or an affidavit, and have it notarized along with a signed contract so that the seller can't back out or sell to someone else and cancel your contract.

Where I'm confused, if you have a signed contract, then why do you need an MOA (MOU) or affidavit. Isn't the contract legally binding enough? I couldn't find the answer through a google search because MOAs can apply to a lot of different areas. I'm located in Charlotte, NC.

Loading replies...