Your Federal Quarterly Tax Payments are due April 15th Get Help Now >>

Real Estate Short Sale Addendum

VIEWS: 8 PAGES: 6

This Real Estate Short Sale Addendum is designed to be use in conjunction with an executed Real Estate Purchase Agreement whereby the sale of the property is subject to certain liens that have been filed against the property. Under this addendum, the buyer and seller must receive approval from each lienholder. This addendum can be used by individuals or small businesses that want to buy or sell property that has certain liens attached to it.

More Info
									Real Estate Short Sale
Addendum
This Real Estate Short Sale Addendum is designed to be use in conjunction with an
executed Real Estate Purchase Agreement whereby the sale of the property is subject
to certain liens that have been filed against the property. Under this addendum, the
buyer and seller must receive approval from each lienholder. This addendum can be
used by individuals or small businesses that want to buy or sell property that has certain
liens attached to it.
                        REAL ESTATE SHORT SALE ADDENDUM

THIS REAL ESTATE SHORT SALE ADDENDUM (hereinafter referred to as the
“Addendum”) to the Real Estate Purchase Agreement (hereinafter referred to as the
“Agreement”) is made and entered into as of __________________, [Instructions: Insert the
date of this agreement] by and between ________________________ [Instructions: Insert the
Seller’s       name]       (hereinafter referred    to    as     the    “Seller”),     of
_________________________________ [Instructions: Insert the Seller’s address] and
________________________ [Instructions: Insert the Buyer’s name] (hereinafter referred to
as the “Buyer”), of _________________________________. [Instructions: Insert the Buyer’s
address] with respect to the property located at ____________________________________
[Instructions: Insert the address of the property subject to this agreement] (hereinafter
referred to as the “Property”).

WHEREAS, Buyer desires to purchase the Property from Seller and Seller desires to sell the
Property to Buyer;

WHEREAS, it is acknowledged that certain liens have been recorded against the Property, as set
forth on Exhibit “A”, attached hereto and incorporated herein (each a “Lien”), by the lienholder’s
set forth therein (each a “Lienholder”)
Yelp
WHEREAS, the real estate purchase contemplated by the Agreement will require the approval
of the Lienholders, because the purchase price set forth in the Agreement will not be sufficient to
pay, in full, all obligations secured by Liens against the Property and Seller does not have
sufficient assets remaining to pay the resulting deficiencies; and

NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth
below, it is hereby covenanted and agreed by the parties as follows:

1.       INCORPORATION OF TERMS

The terms of this Addendum are hereby incorporated as part of the Agreement and in the event
of any conflict or inconsistency between the provisions of the Agreement and this Addendum;
the provisions of this Addendum shall control and govern.

2.       AGREEMENT CONTINGENT ON LIENHOLDER APPROVAL

The parties hereto acknowledge and agree that:

       a.      The Agreement is contingent upon Seller obtaining written approvals from each
Lienholder, that each Lienholder will release its Lien against the Property for the sole
consideration of the amounts set forth in Exhibit “A”. Each approval must be provided to Buyer
be in a form acceptable to Buyer, in Buyer’s reasonable discretion, by or before
________________________ [Instructions: Insert the date that Buyer must receive approval
from each Lienholder] at __:__ am /// pm [Instructions: Insert the time that Buyer must
receive approval from each Lienholder] (the “Lienholder Approval Deadline”). Time shall be


© Copyright 2013 Docstoc Inc. registered document proprietary, copy not                2
deemed to be of the essence as to the receipt of such approvals. In the event that Seller has not
obtained approvals from all Lienholders by the Lienholder Approval Deadline, either Seller or
Buyer may terminate the Agreement, and any monies paid by Buyer thereunder shall be returned.

      b.      Lienholders are not obligated to approve a short sale, and Lienholders may
impose additional requirements beyond the amounts set forth in Exhibit “A”.

      c.      Seller has no control over whether or not Lienholders will approve a short sale
and whether Lienholders will grant their approval by the Lienholder Approval Deadline.

      d.      Realtors and real estate brokers are under no obligation to reduce their
commissions in order for a short sale to be approved.

        e.      A Lienholder's approval may be made on the condition that none of the terms in
the Agreement may be changed, and therefore any proposed changes to the Agreement would
require further approval by the Lienholders and may delay closing.

       f.      There is no guarantee that the short sale process will prevent a foreclosure of the
Property. In the event the Property is foreclosed upon the Agreement shall be terminated, and
any monies paid by Buyer thereunder shall be returned.

3.       MISCELLANEOUS

       a.      The Agreement, and its annexes, including this Addendum, constitute the entire
agreement between the parties hereto with respect to the specific subject matter hereof and
supersedes all prior agreements or understandings of any kind with respect to the specific subject
matter hereof.

       b.       In the event that any provision or part of this Addendum shall be deemed void or
invalid by a court of competent jurisdiction, the remaining provisions or parts shall be and
remain in full force and effect.

       c.      Any and all additions, deletions, or modification to this Addendum must be in
writing and signed by the parties or it shall have no effect and shall be void.

        d.      This Addendum is binding upon and shall inure to the benefit of the respective
successors, licensees and/or assigns of the parties hereto. Notwithstanding the foregoing, neither
party may assign or transfer its rights or delegate its obligations under this Addendum without
the other party's prior written consent, which consent will not be unreasonably withheld.

       e.     This Addendum shall be governed in accordance with the laws of the State of
_______________________ [Instructions: Insert the state’s laws that will govern this
agreement] applicable to agreements to be wholly performed therein, without giving effect to its
laws governing conflict of laws.




© Copyright 2013 Docstoc Inc. registered document proprietary, copy not               3
IN WITNESS WHEREOF the parties have duly executed this Addendum as of the date first
written above.

SELLER:                                                          BUYER:



__________________________                                       __________________________
__________ [Instructions: Insert Name]                           __________ [Instructions: Insert Name]




© Copyright 2013 Docstoc Inc. registered document proprietary, copy not                        4
                                                   EXHIBIT “A”


Lienholder                 Lien                       Lien Amount         Lien             Amount Required
                                                                          Recordation      to Release and
                                                                          Date             Discharge Lien
__________                 __________                 $__________         __________       $__________
[Instructions:             [Instructions:             [Instructions:      [Instructions:   [Instructions:
Insert Name of             Insert Type of             Insert              Insert Date      Insert Amount]
Lienholder]                Lien on Property]          Amount]             Recorded]
__________                 __________                 $__________         __________       $__________
[Instructions:             [Instructions:             [Instructions:      [Instructions:   [Instructions:
Insert Name of             Insert Type of             Insert              Insert Date      Insert Amount]
Lienholder]                Lien on Property]          Amount]             Recorded]
__________                 __________                 $__________         __________       $__________
[Instructions:             [Instructions:             [Instructions:      [Instructions:   [Instructions:
Insert Name of             Insert Type of             Insert              Insert Date      Insert Amount]
Lienholder]                Lien on Property]          Amount]             Recorded]
__________                 __________                 $__________         __________       $__________
[Instructions:             [Instructions:             [Instructions:      [Instructions:   [Instructions:
Insert Name of             Insert Type of             Insert              Insert Date      Insert Amount]
Lienholder]                Lien on Property]          Amount]             Recorded]




© Copyright 2013 Docstoc Inc. registered document proprietary, copy not                           5

								
To top