Hampton Roads Offers: The REIN Standard Purchase Agreement
- Adam Garrett
- Jan 9, 2023
- 9 min read
Updated: Apr 25
The dominant Hampton Roads offer for residential real estate is the Real Estate Information Network Standard Purchase Agreement, dominant in any area where REIN MLS is dominant. In this post, I wanted to share the latest version of it as of 4/25/25, in its simple form, so that buyers and sellers have it available to read through if desired before making an offer or receiving one. I also wanted to provide some additional associated resources.
I. Basics Regarding the REIN Standard Purchase Agreement
Common Surprises for Buyers & Sellers in the REIN Offer
This list & other common surprises lists below are per the 7/3/23 revision of the REIN Standard Purchase Agreement. While there is more than 1 offer possible with REIN MLS listings, this one is the most commonly used.
1. The terms of paragraph 8 (Settlement/Possession) come as a surprise to many buyers and sellers. These terms help more contracts stay in place for common situations with both buyers and sellers by providing extra time after the initially scheduled closing time where extenuating circumstances can provide more time to close following the initial closing date. While another number of days is possible to include, by default the contract states 10 days of extra time for:
a. Processing and closing the specified loan in compliance with applicable law
b. Correcting any defects reported by a title examiner.
2. The terms of section 13 (Inspections/Repairs/Treatments/Cap) provide a % of the purchase price that can cover the following if minimum standards are not met:
1. Appraisal required repairs
2. Wood destroying insect & moisture inspection required repairs/treatment
3. Well/septic treatment/repairs if applicable
4. Walk-through inspection issues
The % by default is 1%. HOA/Condo violations are not within this cap by default, but may be added if desired.
3. Section 18 (Default) provides for remedies in the event that the buyer or seller breaches the contract, such as those who get buyer's remorse or seller's remorse who no longer wish to close after pertinent contingencies have been removed. The earnest money deposit in some cases may go to the seller without requiring buyer signature on a release. The commissions may be pursued by agents in addition to other damages.
4. Section 19 (Dispute Resolution) states that "Prior to initiating any litigation, the parties agree any dispute or claim arising out of, or relating to, this Agreement, the breach of this Agreement, or the services provided in connection with this Agreement, shall be submitted to mediation..."
Common Surprises for Buyers in the REIN Offer
1. There is no release and hold harmless language regarding the earnest money deposit (section 2: Deposit) being all that the seller can go after for damages within the offer itself. In some cases, actual damage to a seller from a breach of contract can go far beyond the earnest money deposit. Only in the release of contract form is there hold harmless language, and there are cases when a termination is possible where no release is signed so that the seller can put the home back on the market and not be stopped from further pursuing damages from the buyer beyond the EMD. See also section 18 (Default).
2. If a mortgage lender is being used, their name will need to be stated in section 6 A (Loan Application). If looking to change mortgage lenders from that lender after presenting an offer, a revision will need to be made & the seller will need to agree to the change for the change to be permitted. The VAR offer differs from that, as the lending institution, if applicable, isn't required to be input in the offer itself.
3. While most buyers will be educated enough to know, it's worth mentioning that purchasing a home typically means incurring significant closing costs and prepaid expenses, as mentioned in my article on What do Buyers Need to Purchase a Home? In the typical REIN offer, unless explicitly mentioned in the box under paragraph 4 (Settlement Expenses), the seller won't be covering any of the buyer's closing costs.
Common Surprises for Sellers who Don't Look Closely at the REIN Offer
1. Buyers who don't physically go to a property are more statistically risky than those who are there physically. They are more prone to want out of the contract after ratifying. Look for the check box on section 12 (Property Condition). If the buyer's agent has provided any details on the duration of the showing (which can also typically be obtained by the listing agent if an electronic lockbox is used), the quality of the video showing, the tools (physical & digital) the buyer's agent has it their disposal, or their feedback quality, be sure to pay attention to it. In rare cases, a buyer's agent can be so good that their video showing is better than another buyer's in-person showing in terms of reducing the probability of a contract fall through due to an agent's unusually high degree of thoroughness including showing buyers what most buyers agents don't when in person. For instance, in my case when I represent buyers I may show them typically unseen elements like:
1. scuttle access attics by bringing my own 14' or 18' Gorilla ladder,
2. system ages determined (i.e. water heaters via serial numbers when no explicit age is present, which is especially rare for agents if in the crawlspace or scuttle access attic),
3. crawlspaces illuminated with what was advertised as the brightest flashlight sold when purchased,
4. aerial views when no aerials are posted online & when seller/agent permission is obtained prior
2. While most sellers will be educated enough to know, it's worth mentioning that selling a home typically means incurring significant closing costs and prepaid expenses. Commissions typically take up the majority of that but are not the only expenses involved. In the typical REIN offer, unless explicitly mentioned in the box under paragraph 4, the buyer won't be covering any of the seller's closing costs. The VAR offer differs from that, where the buyer pays certain substantive seller closing costs (i.e. $800ish) unless the buyer adds a number to a line on the subject.
Where is the REIN Standard Purchase Agreement Used Most Often?
A. The REIN (the primary MLS of Hampton Roads) Standard Purchase Agreement is the primary contract used in these locations:
Other Common Offer in Hampton Roads & SE VA: VAR Residential Contract of Purchase
Offers to purchase real estate vary in Hampton Roads, with the Virginia Association of Realtors Residential Contract of Purchase being not too rare, especially in Williamsburg, James City County, & Gloucester, and even more so in locations more distant from Hampton Roads (i.e. Mathews County & New Kent County) due to other competing MLS.
The VAR Residential Contract of Purchase is used primarily in the following locations in SE VA, not including other areas where it's used:
Helpful Resources Associated with the REIN Standard Purchase Agreement
A few helpful resources that I have published that are associated with this offer are:
1. How to Sign Using Authentisign
2. competing offer spreadsheet
3. Responsibilities & Inspector Options Including Deadlines Template for REIN & VAR Offers
I also have a "questions for offer" spreadsheet going in detail regarding a buyer's preferences, with references to locations and many hyperlinks, but with hundreds if not thousands of hours put into the composition of the spreadsheet (if hyperlinks I've created are included) & it being unmatched locally to my knowledge by a wide margin, reserve that spreadsheet for buyers I work with directly.
More Helpful SE VA & Area Resources
SE VA City Information & Real Estate Property Info (i.e. local tax rates, price/sq ft by city/county, % of properties in flood zones by city/county, flood zone projections, law differences, population density, crime scores by City Data, unemployment, etc.)
Legality Regarding Buyer Brokerage Form Prior to Showings in VA
More helpful articles via an area guide often with SE VA examples
Factors to Consider to Help Determine Where to Find Your New Home
Disclosure on Changing Template Over Time
These offers change in ways over time, & typically get longer over time. Be sure to view the most up-to-date offer before relying on this one. Also, any time you see writing in blue, it's just part of my typical template, which often is removed entirely or changed based on the situation.
Note on Additions, More Forms that may Accompany the Offer, & Struck Clauses
In some cases in the offer, an additional form is referenced as being included in the offer, such as if there's a home inspection contingency. Some of the top ways to win offers &/or reduce potential liability for the buyer or the seller is via additional forms like an escalation clause addendum, redactions to the offer, struck language, and language added to the offer. I'll include a bit of that below, but will leave an additional sampling of that for a later article.
II. REIN Standard Purchase Agreement from January 2025:
Page 1: Basics (i.e. date, buyer/seller, address, earnest money deposit specific info, purchase price, ratification date)
Page 2: Settlement Expenses (closing costs & prepaids), Earnest Money Deposit Terms, Loan Application Info
Page 3: Loan Application Info Continued, Loan Denial, Occupancy Intent, Representations
Per VA law as of 4/25/25, "In the case of a residential transaction, a licensee engaged by a buyer shall disclose to a seller whether or not the buyer intends to occupy the property..."
Page 4: Representations Continued, Settlement/Closing Terms/Date
Page 5: Settlement/Closing Terms Continued, Deed & Title Representations, Lender's Title Insurance
"The settlement agent shall cause recordation of the deed, the deed of trust, or the mortgage or other documents required to be recorded and shall cause disbursement of settlement proceeds within two business days of settlement."
Page 6: Survey, Prorations/escrow, Appraisal/Funds Contingencies
Page 7: Appraisal Contingency Continued, Property Condition, Physical Inspection, Home Inspection, Repairs Cap Agreed to by Seller in Advance, Appraisal Required Repairs, Wood Destroying Insect/Moisture Inspection/Repairs
Interestingly, unlike the REIN offer, the VAR offer doesn't include a moisture inspection by default. It also has different default caps. Sometimes language is added to include the HOA/condo contingency into the cap in paragraph 13.
Related:
Page 8: Wood Destroying Insect/Moisture Treatment/Repairs Continued, Drinking Water & Septic, Walk Through Inspection
Page 9: Contingencies Starting with Condo Contingency, Property Owners' Association Contingency, Co-Op Contingency
Page 10: Property Owners' Association Contingency Continued, Co-Op, Property Inspections
Page 11: Property Inspections Continued, Other Contingencies, Items to Convey, Confirmations & Disclosures
Page 12: Confirmations & Disclosures Including Brokerage Relationship Disclosure, Aircraft Noise Zone Disclosure, Residential Property Disclosure, Agency Interest Disclosure, Megan's Law Disclosure, Mechanics Lien Disclosure, Sq Ft
Page 13: Measurements Continued, Building or Zoning Violations, Methamphetamine Disclosure, Lis Pendens, Brokerage Fee, Default
Page 14: Dispute Resolution, Other Provisions, Non Assignment, Tax-Deferred Exchange, Notices
Page 15: Miscellaneous, Digital Signatures
Page 16: Signatures & Other Information For Buyer(s), Seller(s), Agents, & Firms
It's not uncommon for the buyer/seller addresses to be skipped.
Related:
Responsibilities & Inspector Options Including Deadlines Template for REIN Offers
Buyer Guide primarily geared toward the framework of the REIN Standard Purchase Agreement
Seller Guide primarily geared toward the framework of the REIN Standard Purchase Agreement
About the Author: Adam Garrett - 3rd Generation REALTOR®
Adam is the 3rd generation in a line of award-winning real estate agents serving SE VA. He has served full time at Garrett Realty Partners since May 2014 when he joined the marketing department before transitioning to full-time sales to assist buyers and sellers in February 2015. He believes that an educated buyer or seller makes the best decisions, & is dedicated to helping with that both digitally & on-site physically for buyers & sellers. He's also available for referrals to real estate agents around the globe. In several capacities, his resources & direct offerings for assisting sellers & assisting buyers are either unmatched or are top 1% for the SE VA area, and in some cases, nationwide. Not stopping after closing, he also provides information for tenants, landlords, & homeowners.
Related for Buyers:
Related for Sellers:
Related for Sellers
Seller's Guide primarily geared toward the framework of the REIN Standard Purchase Agreement
What to Look for in a Listing Agent for Your Home or Other Real Estate
Related for Buyers
Buyer's Guide primarily geared toward the framework of the REIN Standard Purchase Agreement
What to Look for in a Buyer's Agent for Your Home or Other Real Estate