AI Prompt: Real Estate Contract Clause-by-Clause Risk Analysis
Run a clause-level risk assessment of any real estate contract from the buyer's or seller's perspective, with market comparison and recommended revisions.
The Prompt
Expected Output
A clause-by-clause table with section numbers, 1-5 risk scores, market comparison, identified risks, and proposed revisions for the chosen side.
Usage Notes
For California transactions, treat any disclosure shortfall against Cal. Civ. Code §1102 (TDS), §1103 (NHD), and Megan's Law (Cal. Penal Code §290.46) as automatic HIGH risk and route to a TILA review where seller financing is offered.
Legal Sources Referenced
- Cal. Civ. Code § 1102 et seq. — Transfer Disclosure Statement (TDS)
- Cal. Civ. Code § 1103 et seq. — Natural Hazard Disclosure (NHD)
- Cal. Penal Code § 290.46 — Megan's Law database disclosure
- 12 USC § 3601 et seq. (Truth in Lending Act, TILA) — seller financing & consumer credit disclosures
- ALTA Title Insurance Policy Forms — extended coverage endorsements (industry standard)
- NY Real Prop. Law § 462 — Property Condition Disclosure Act (cross-reference for multi-state deals)
Originally featured in: AI for Real Estate Lawyers: Contracts, Due Diligence & Closing Checklists (2026)
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