What happens to an oral agreement for the sale of real property?

In the context of real estate transactions, oral agreements for the sale of real property typically fall under the Statute of Frauds, which requires that certain contracts, including those for the sale of real estate, must be in writing to be enforceable. This legal framework is designed to prevent misunderstandings and fraud that could arise from informal, oral arrangements.

As a result, an oral agreement for the sale of real property is considered void and unenforceable. This means that if there is a dispute or if one party wishes to enforce the terms of the agreement, it cannot be done legally in court because the requirements of the Statute of Frauds are not satisfied. Thus, the oral agreement lacks the legal standing necessary to compel compliance by either party.

While there are some exceptions in certain situations, the general rule is that oral agreements concerning real estate do not have legal enforceability. This underscores the importance of having a written contract in real estate transactions to ensure that all parties are held to the terms agreed upon and to provide clarity and protection for all involved.