In real estate, a short sale occurs when a bank or mortgage lender agrees to discount a loan balance due to an economic hardship on the part of the mortgagor (i.e., the seller). Circumstances determine whether or not banks will discount a loan balance. These circumstances are usually related to the current real estate market climate and the individual borrower's financial situation. A short sale typically is executed to prevent a home foreclosure. Often a bank will choose to allow a short sale if they believe that it will result in a smaller financial loss than foreclosing.
This form is a sample of an Addendum to a standard real estate sales contract in order to incorporate the short sales provisions. This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
Nassau New York Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate is an essential legal document that plays a crucial role in the real estate market of Nassau, New York. This addendum is specifically designed for properties involved in short sale transactions, where the agreed-upon purchase price is less than the outstanding mortgage balance. The purpose of this addendum is to outline the unique terms and conditions that apply to the sale of a short sale property in Nassau, New York. By utilizing this addendum, both the buyer and the seller can ensure an efficient, transparent, and legally binding transaction. The contents of the Nassau New York Short Sale Addendum often include: 1. Parties: This section identifies the buyer and the seller involved in the transaction, along with their respective contact information. 2. Property Details: The addendum clearly specifies the address, legal description, and tax parcel number of the property being sold through a short sale. 3. Purchase Price: This section outlines the agreed-upon purchase price for the property, which is typically lower than the outstanding mortgage balance. 4. Seller's Representations and Warranties: Here, the seller provides assurances regarding the property's condition, ownership, and any outstanding liens or encumbrances that may affect the sale. 5. Buyer's Acknowledgments: This segment highlights the buyer's understanding of the property's short sale status, potential risks, and responsibilities associated with the transaction. 6. Consent to Short Sale: The addendum includes a provision where the seller confirms their willingness to proceed with the short sale and allows the listing agent to communicate with the lender on their behalf. 7. Third-Party Approval: As short sales involve the lender's consent, this section outlines that the contract is contingent upon the approval of the lender or lenders involved. 8. Closing and Contingencies: This part sets timelines for completing due diligence, obtaining financing, and closing the sale, while also addressing potential contingencies such as property inspections and financing arrangements. It is important to note that the specifics of the Nassau New York Short Sale Addendum may vary depending on the real estate professionals involved, the complexity of the transaction, and any additional state or local regulations. Different variations or types of this addendum may exist to address specific requirements or contingencies that may arise during the short sale process. In conclusion, the Nassau New York Short Sale Addendum to Contract for the Price, Purchase, and Sale of Real Estate is a critical document that protects the rights and interests of both buyers and sellers involved in short sale transactions in Nassau, New York. Its detailed provisions ensure transparency and provide a framework to navigate the complexities of a short sale, securing a successful real estate transaction for all parties involved.Nassau New York Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate is an essential legal document that plays a crucial role in the real estate market of Nassau, New York. This addendum is specifically designed for properties involved in short sale transactions, where the agreed-upon purchase price is less than the outstanding mortgage balance. The purpose of this addendum is to outline the unique terms and conditions that apply to the sale of a short sale property in Nassau, New York. By utilizing this addendum, both the buyer and the seller can ensure an efficient, transparent, and legally binding transaction. The contents of the Nassau New York Short Sale Addendum often include: 1. Parties: This section identifies the buyer and the seller involved in the transaction, along with their respective contact information. 2. Property Details: The addendum clearly specifies the address, legal description, and tax parcel number of the property being sold through a short sale. 3. Purchase Price: This section outlines the agreed-upon purchase price for the property, which is typically lower than the outstanding mortgage balance. 4. Seller's Representations and Warranties: Here, the seller provides assurances regarding the property's condition, ownership, and any outstanding liens or encumbrances that may affect the sale. 5. Buyer's Acknowledgments: This segment highlights the buyer's understanding of the property's short sale status, potential risks, and responsibilities associated with the transaction. 6. Consent to Short Sale: The addendum includes a provision where the seller confirms their willingness to proceed with the short sale and allows the listing agent to communicate with the lender on their behalf. 7. Third-Party Approval: As short sales involve the lender's consent, this section outlines that the contract is contingent upon the approval of the lender or lenders involved. 8. Closing and Contingencies: This part sets timelines for completing due diligence, obtaining financing, and closing the sale, while also addressing potential contingencies such as property inspections and financing arrangements. It is important to note that the specifics of the Nassau New York Short Sale Addendum may vary depending on the real estate professionals involved, the complexity of the transaction, and any additional state or local regulations. Different variations or types of this addendum may exist to address specific requirements or contingencies that may arise during the short sale process. In conclusion, the Nassau New York Short Sale Addendum to Contract for the Price, Purchase, and Sale of Real Estate is a critical document that protects the rights and interests of both buyers and sellers involved in short sale transactions in Nassau, New York. Its detailed provisions ensure transparency and provide a framework to navigate the complexities of a short sale, securing a successful real estate transaction for all parties involved.
Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.
