Personal Finance Term
S&P / SPA
Sale and Purchase Agreement
The binding contract between buyer and seller that sets out the price, payment terms, and conditions of a property purchase. Signing the S&P, with the deposit paid, locks in the deal.
For a sub-sale (existing property), the S&P is negotiated between the two parties' lawyers and follows payment of an earnest deposit, with completion usually within three months and extension terms for any delay. For a new property bought from a developer, the S&P follows a government-prescribed format — Schedule H for strata (high-rise) units and Schedule G for landed property under the Housing Development Act — which fixes the staged payment schedule, the delivery timeline, and the defect liability period that protects buyers.
Read the S&P carefully before signing: the completion date, default and late-delivery clauses, what fixtures are included, and who bears outstanding charges all live here. Your conveyancing lawyer prepares and explains it, and the agreement triggers the rest of the process — loan documentation, stamp duty, the MOT or Deed of Assignment, and eventually the keys. Once signed, walking away usually means forfeiting your deposit.