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contracts are the cornerstone of every real estate transaction so its essential to understand how they function a legally enforceable contract is valid but what does void and voidable mean is there a difference hello everybody its zach here from real estate license wizard.com today were talking about what makes a contract valid void and voidable in this video were going to define valid void and voidable talk about how it deals with real estate and of course talk about what you need to know for the real estate exam lets get started by now you should know what four requirements are necessary for a valid contract if not we have a full video on that ill link above in down below for a quick recap the four requirements are one the party must be legal age of 18 or older and deemed mentally competent two the contract must be legal or hold a lawful purpose three a clear and specific consideration must be included in the agreement and then lastly four the contract must hold mutual consent