Home Sale Contingencies

SALE OF THE BUYER’S PROPERTY, KICK-OUTS AND BACKUPS

(Addendum of Clauses Paragraphs 11 through 13)

  1. Paragraph 11 allows Buyers to make purchase contingent upon receipt of a Contract for sale of their present residence
    1. If Buyer already has a contract for sale and all contingencies other than financing have been removed, use Paragraph 13 (“Settlement of Buyer’s Property Contingency”)
  2. Once initial time period expires and Buyer neither satisfies nor removes the contingency, EITHER PARTY may declare contract void
  3. Seller Responsibilities:
    1. Continue to offer property for sale and accept backups per 11A;

         1. Change MRIS Listing

    B. If a back-up is accepted, use Paragraph #12 with back-up Contract and provide primary Buyer with Notice to satisfy or remove Sale of Buyer’s Property contingency within # of days agreed upon in Paragraph 11A.

    1. If contingency is neither satisfied nor removed, obtain Release from primary Buyer and provide copy of signed Release to back-up Buyer(thereby making backup buyer primary)

C. Seller may also continue to offer property per Paragraph 14 (“Option to Keep House on Market”) in conjunction with other contingencies

III. Buyer Responsibilities:

  1. List property with licensed broker and enter into MLS within 3 days of Ratification at price not exceeding price referenced in Contingency;
  2. Upon receipt of ratified contract, Buyer may SATISFY the contingency by providing to Seller:
    1. copy of Contract with evidence that all contingencies other than financing have been removed; and
    2. institutional lender letter for their Buyer as described in Paragraph 11C(a) Note: If Buyer SATISFIES the contingency, contract remains contingent upon the sale of Buyer’s property and settlement may not be delayed beyond agreed upon # of days(See Paragraph 11D)
  3. If Buyer does not receive a ratified contract, the Buyer may:
    1. Declare the contract Void; or
    2. REMOVE the contingency by providing to Seller:
      1. Lender’s letter stating Buyer’s purchase is not contingent on sale and Buyer has sufficient funds; or
      2. Evidence of ability to proceed without financing