A Purchase Agreement is a legal document that outlines the terms and conditions of a transaction between a buyer and a seller. It specifies details such as the price, payment method, and delivery date for the item or property being sold. This agreement serves to protect both parties by clearly defining their rights and obligations. In real estate, a Purchase Agreement is crucial as it includes information about the property, such as its address and any contingencies, like financing or inspections. Once signed, it becomes a binding contract, ensuring that both the buyer and seller adhere to the agreed-upon terms.