Buyer Stipulations
Insurance - Seller Possession After Closing
Buyer and Seller agree that, in exchange for the Seller retaining possession for a period after Closing, Seller will purchase an insurance policy that provides comprehensive coverage for damage or loss of Seller’s personal property and at least $100,000.00 in personal liability coverage. The Seller will provide Buyer with a copy of the policy prior to closing.
Down Payment Assistance Contingency
Buyer has the right to terminate this Agreement and receive a refund of Buyer’s Earnest Money if the Buyer is denied funding from ______________________, a downpayment assistance program (“DPA”), and provides Seller with a written denial from the DPA within Financing Contingency Period.
Escalation Clause
Buyer agrees that the Purchase Price shall increase by $______________ over next highest offer not to exceed a maximum Purchase Price of $_____________________. If other offers include escalation terms, this automatic increase made be used multiple times. In the event this escalation is used, the Seller will provide Buyer a copy of the offer used as a basis for the escalation or written confirmation by Seller’s Broker of the terms of the offer if the Seller has a written and signed agreement to keep the other offer confidential.
Buyer Short Term Rental Contingencies
This Agreement is contingent upon Buyer obtaining confirmation that the covenants & restrictions will allow short term rental and that there are no actions Under Consideration (as defined in the GAR® Community Association Disclosure) to restrict short term rentals. If the covenants and restrictions do not allow the intended use of Property as a short term rental or restrictions are Under Consideration, Buyer may terminate this Agreement and receive a full refund of their earnest money by notice to the Seller no later than __________________________________. If the restrictions change during the contract period to disallow short term rental or a restriction becomes Under Consideration, the Buyer may terminate this Agreement and receive a full refund of their earnest money.
Short Term Rental Restriction During Contract
If the restrictions change during the contract period to disallow short term rental or a restriction becomes Under Consideration (as defined in the GAR® Community Association Disclosure), the Buyer may terminate this Agreement and receive a full refund of their earnest money.
Probate Contingency with Buyer Due Diligence Extension
Seller’s obligations under this Agreement are contingent upon the issuance of Letters [“Testamentary” or “of Administration”] from the Probate Court on or before _______. In the event said court order is not received by said date, Buyer may terminate this Agreement without penalty upon Notice to Seller and receive a full refund of their Earnest Money. Buyer and Seller further agree that the Due Diligence Period is amended to be _____ days from the day Seller gives Notice to Buyer that the court order has been issued by said court.
Seller Stipulations
Buyer Only Under Contract on One Property
As additional consideration for Seller granting Buyer the right to terminate as set forth in the Due Diligence provision of this Agreement as modified herein, Buyer hereby agrees that Buyer is not currently under contract to purchase real property and shall not enter into any contract to purchase other real property (hereinafter “Other Contract”) unless Buyer has the ability to purchase all real property Buyer has entered into a contract to purchase (hereinafter “All Properties”). In the event Buyer has or does enter into any such Other Contract, Buyer shall deliver to Seller (1) the All Cash Sale Exhibit and the Verification of Funds details required in that Exhibit demonstrating the ability to purchase All Properties or (2) a pre-qualification letter demonstrating the ability to obtain financing to purchase All Properties (hereinafter “Proof of Ability to Purchase”) within one Business Day of Binding Agreement or within one Business Day of entering into said Other Contract, whichever is later. Buyer and Seller acknowledge that this requirement may occur multiple times in the event the Buyer enters into more than one Other Contract. In the event Buyer fails to deliver the Proof of Ability to Purchase as required in this paragraph, Seller shall have the right to terminate the Agreement due to Buyer default and Seller shall be entitled to retain the earnest money as liquidated damages in full satisfaction of all claims of Seller against Buyer.
Probate Contingency
Seller’s obligations under this Agreement are contingent upon the issuance of Letters [“Testamentary” or “of Administration”] from the Probate Court on or before _______. In the event said court order is not received by said date, Buyer may terminate this Agreement without penalty upon Notice to Seller and receive a full refund of their Earnest Money.
Seller Replacement Property Contingency
For and in consideration of Ten Dollars ($10.00) and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree this Agreement is contingent upon Seller’s ability to enter into a contract to purchase replacement property within ______ days of the Binding Agreement Date (“Replacement Property Period”). If the Seller does not contract for the purchase of replacement property, the Seller may terminate this Agreement within one (1) day of the end of the Replacement Property Period. If the Seller does not terminate timely, the Seller waives the right to terminate.
Seller Request for Evidence of Buyer's Ability to Close Under GAR Financing Forms
Upon the expiration of the financing contingency contained in this Agreement, the Seller hereby requests delivery of the Buyer’s Evidence of ability to close per the Right of Seller to Request Evidence of Buyer’s Ability to Close paragraph of the financing contingency. If Evidence is not delivered to Seller within 8 days of the end of the financing contingency, Seller hereby notifies the Buyer that the Buyer will be in default and the Seller will have the right to exercise the remedy contained in the Seller’s Right to Terminate paragraph of the financing contingency.
Mutual Stipulations
Appraisal - Buyer or Seller to Adjust
In the event that, within ____ days of the Binding Agreement Date, the appraised value comes in below the Purchase Price, the Buyer agrees to pay up to $____________________________ over the appraised value not the exceed the Purchase Price (“Buyer Adjusted Purchase Price). In the event that the Buyer’s Adjusted Purchase Price is less than the Purchase Price, the Seller agrees to reduce the original Purchase Price up to $__________________________ but not lower than the Buyer’s Adjusted Purchase Price (“Seller’s Adjusted Purchase Price”). If the Buyer’s Adjusted Purchase Price and Seller’s Adjusted Purchase Price are equal, the Buyer and Seller agree to execute an Amendment to the Sales Price reflecting the revised Purchase Price. If the Buyer’s Adjusted Purchase Price and Seller’s Adjusted Purchase Price are not equal, the Buyer shall have the right but not the obligation to terminate this Agreement by giving Notice to Seller within ____ days of Buyer receiving the appraisal. If the Buyer does not terminate by that date, Buyer waives the right to terminate and shall pay the original Purchase Price at Closing.
When Things Go Wrong
Change in Buyer Financing
Earnest Money shall be paid to Seller as non-refundable option money, in consideration for Seller agreeing to allow Buyer to change the financing contingency to FHA (or VA).
Additional Earnest Money to Extend the Closing Date
In exchange for Seller agreeing to extend the closing date, Buyer agrees to pay Holder additional earnest money in the amount of $_____________________ on or before the date of ________________.
Title Delay Causes Rate Lock to Expire - Seller to Pay Extension
If the Buyer or the Seller unilaterally extends the Closing Date to allow Seller to satisfy “valid title objections” as defined in the Agreement, Seller will pay at closing the cost of any rate lock extension charged by the lender as a result of the delay in the Closing Date.
Property Condition Causes Delay - Seller Pays Costs
In addition to the rights listed in the Right to Extend Closing Date contained in this Agreement, the Buyer may unilaterally extend the Closing Date for up to ten (10) days if the Property is not in the condition required under the Risk of Damage to Property paragraph. The Seller will contribute $__________ to Buyer at closing as a result of the failure to complete repairs or deliver property in the required condition. The seller will also pay at closing the cost of any rate lock extension charged by the lender as a result of the delay in the Closing Date.
Governmental Orders
Lack of Access - Due Diligence
In the event that a Shelter-in-Place, Stay-at-Home or similar order (hereinafter “Government Order”) is issued by the federal, state or local municipality in which the Property is located which prevents travel to the property by inspectors or individuals making or assessing repairs (hereinafter “Lack of Access Period”), the Buyer shall have the unilateral right to extend the Due Diligence Period contained in Paragraph A. 8 in the Agreement for the number of days equal to the Lack of Access Period. Buyer shall deliver Notice to Seller of the extension within 48 hours of the Seller notifying the Buyer that the Lack of Access Period has ended.
Lack of Access - Right to Request Repairs
In the event that a Shelter-in-Place, Stay-at-Home or similar order (hereinafter “Government Order”) is issued by the federal, state or local municipality in which the Property is located which prevents travel to the property by inspectors or individuals making or assessing repairs (hereinafter “Lack of Access Period”), the Buyer or Seller shall have the unilateral right to extend the deadlines contained in Paragraphs 1 and 2 of the F 273 Property Sold with Right to Request Repairs Exhibit for the number of days equal to the Lack of Access Period. The party seeking to extend shall deliver Notice of the extension within 48 hours of the Seller notifying the Buyer that the Lack of Access Period has ended or the revocation of the Government Order.
Property Subject to Quarantine or Isolation
In the event that any person residing in the Property has received an official medical determination that requires Quarantine or Isolation as defined by the Centers for Disease Control and Prevention, Buyer shall have the right, but not the obligation, (1) to unilaterally terminate this Agreement within 48 hours of receiving notice of the official medical determination or (2) to unilaterally extend any or all deadlines and contingencies, including the Closing Date, contained in the Agreement for (a) the number of days the property is inaccessible due to a quarantined resident, (b) the number of days the property is inaccessible due to an isolated resident plus 20 days or (c) for 20 days if the resident is quarantined or isolated away from the Property.
Lack of Access - Appraisal and/or Financing Contingency
In the event that a Shelter-in-Place, Stay-at-Home or similar order (hereinafter “Government Order”) is issued by the federal, state or local municipality in which the Property is located which prevents access to the Property for the purposes of conducting an Appraisal (hereinafter “Lack of Access Period”), the Buyer shall have the unilateral right to extend the Financing Contingency Period and/or Appraisal Contingency contained in this Agreement for the number of days equal to the Lack of Access Period. Buyer shall deliver Notice to Seller of the extension within 48 hours of the Seller notifying the Buyer that the Lack of Access Period has ended.
Leases
Sale of Leased Property
Upon Closing, Buyer assumes all rights and responsibilities contained in the lease between Seller and ___________________________ (“Tenant”), dated __________ with an expiration date of ______________ (“Lease”). This Agreement is contingent upon (a) Seller delivering a fully executed copy of the Lease to Buyer within 1 day of the Binding Agreement Date and (b) Seller delivering proof of notice to the Tenant of the pending sale within ________ days of the Binding Agreement Date. Seller shall provide Buyer with the Tenant’s telephone number or email address. Buyer assumes all responsibility for providing Tenant with Buyer’s contact information and instructions for payment of rent after Closing.
At Closing:
1- Seller shall contribute _______ towards Buyer closing costs.
2- Buyer may unilaterally extend the closing for ______ days in order for Seller to have radon mitigation completed. If Seller still fails to comply before said deadline, Buyer may terminate and receive earnest money refunded.
3- or anything you and your Buyer would like to come up with.
