CONSTRUCTION AND PURCHASE AGREEMENT

CONSTRUCTION AND PURCHASE AGREEMENT

THIS AGREEMENT is made this ________________ day of ________________________, 20____, between EE Home Builder (BUILDER) whose  address is at San Jose Subdivision, Cauayan Isabela ; and Mr. Jc Mer Navarro, (PURCHASER) whose  address is at Sta Rosa, Isabela. The Builder agrees to sell and the Purchaser agrees to buy a lot with TCT title: ____________ located at San Jose Subdivision, Cauayan Isabela with a residence  (“Property”) to be constructed thereon by the Builder:

This Agreement is subject to the following terms and conditions:

1. Project

The Project is the a Two-Storey Residential Structure to be constructed by EE Home Builder  at San Jose Subdivision, Cauayan Isabela.The total contract price will be Two Million Eight Hundred Pesos (Php2,800,000.00) including the purchase of lot and the two-storey residence to be built by EE Home Builder.

2. Scope of Work

The BUILDER shall exclusively undertake, pursue and manage the completion of the  project and shall likewise provide all the necessary materials, labor, tools and equipment necessary for the construction of the said project, and shall perform all such works in accordance with the approved plans and specifications, inclusive of, but not necessarily limited to the items set before this, see Succeeding pages.

The BUILDER shall not carry out extra or varied works without the permission and approval of the OWNER and/or his authorized representative. In the same manner any additional construction, revision i.e., not covered by the construction plans and scope of work specified, shall be subject to separate billings by the BUILDER.

All additional constructions and amendments to or changes in the plans and specifications from the date hereof and the corresponding costs thereof shall be subjected of a written agreement between the parties; and the amendments or changes shall have the effect of reducing or increasing the contract price hereinbefore stipulated, the same shall be correspondingly adjusted.

3. Contract Period / Time of Completion

The work to be performed under this agreement shall commence from and after the receipt by the BUILDER of all approved construction permits and licenses required for the project, reservation fee, down payment and upon written approval by the OWNER.The work shall be completed by the BUILDER before the final release of housing loan. Provided, however, that any delay of reason of force majeure of fortuitous event, or by reason of additional constructions or amendments to or changes in the construction shall be excluded.

4. Purchase Price and Payment

The total purchase price is Two Million Eight Hundred Pesos (Php2,800,000.00) including the  82 sqm lot area and two-storey residential house to be constructed by the BUILDER.
The PURCHASER,  Mr. Jc Mer Navarro, agrees to pay a reservation fee of Fifty Thousand Pesos (Php50,000.00) upon signing of this agreement. Also,  the purchaser will pay a 25% of the total cost amounting to Five Hundred Sixty Pesos (Php560,0000.00) to be payable within six (6) months.  The reservation fee and the downpayment of 25% will be deducted to the total cost of the contract price.

The reservation fee and the 50% of the down payment amounting to two hundred eighty pesos (Php 280,000.00) is non refundable if the PURCHASER terminate this agreement.
The reservation fee and down payment will be used as mobility fund and to cover material and labor expenses for the project.  The remaining balance of 80% amounting to Two Million Two Hundred Forty Thousand Pesos (Php 2,240,000.00) will be loanable through Pag-Ibig Housing Fund.

5. Guarantee 

The PURCHASER and the BUILDER agree on the application of the following conditions for the faithful performance of the Contract/Agreement.The BUILDER hereby guarantees that the project shall be constructed strictly in accordance with the scope of works and condition of this contract and shall make good any defect in materials and / or workmanship to the fault of the BUILDER/CONTRACTOR within Six Months after the full completion of the project.6. Termination of ContractThe BUILDER has the right to terminate the contract or stop work if ordered by any court or other Public Authority, for a period of three months, through no act or fault of the BUILDER or anyone employed by him.The BUILDER shall submit written notice or if ordered by any court or other public authority to the OWNER to stop work or terminate this contract/agreement and claim payment for all work executed, profit and damages/loss on the basis of the work completed.The PURCHASER shall pay necessary payment to the BUILDER; one week after a notice of payment was given to the owner, the BUILDER has the right to stop the construction to any failure of payment by the OWNER.

7. Acknowledgement of Agreement

The PURCHASER  acknowledge that they have read and fully understand the provisions of this Agreement.

IN WITNESS, the BUILDER and PURCHASER have executed this Agreement.

 

_________________________

BUILDER

_________________________

PURCHASER

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