A purchase agreement is a legally binding document that outlines the terms and conditions of a sale between a buyer and a seller. It typically includes the agreed-upon purchase price, payment method, property details, and the responsibilities of both parties. In real estate transactions, the agreement also specifies the closing date, any contingencies (such as financing or inspections), and the conditions under which the title will be transferred. This document serves to protect both parties by clearly defining expectations and obligations. Once signed, the purchase agreement becomes a critical part of the transaction process, ensuring a smooth and lawful transfer of ownership.