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.
Riverside California Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate is a crucial document used during the sale of real estate properties in Riverside, California. This addendum specifies the terms and conditions that apply specifically to short sale transactions, which occur when a property is sold for less than the amount owed on the mortgage. There are various types of Riverside California Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate, each designed to address specific aspects of the transaction. These different types may include: 1. Financial Considerations Addendum: This type of addendum outlines the financial terms of the short sale, such as the agreed-upon purchase price, any concessions, and the timeline for submitting all required financial documents. 2. Contingency Addendum: A contingency addendum is commonly used in short sales to specify the conditions that need to be met for the sale to proceed. This may include the buyer's ability to secure financing, the seller's lender approval of the short sale, and any required inspections. 3. Disclosure Addendum: This addendum ensures that all parties involved in the short sale transaction are aware of any potential issues or defects with the property. It may require the seller to disclose any known facts or conditions that could affect the sale. 4. Closing Addendum: A closing addendum is used to establish the deadline for completing the short sale transaction, including the date by which all necessary documents must be signed and the funds must be transferred. 5. Third-Party Approval Addendum: In short sales, the seller's lender or mortgage holder typically needs to approve the sale. This addendum outlines the process for obtaining this approval and specifies the timeline for receiving a response. It is important for buyers, sellers, and real estate agents in Riverside, California, to thoroughly understand and comply with the Riverside California Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate. By utilizing the appropriate addendum based on the unique circumstances of the transaction, all parties involved can navigate the short sale process successfully while adhering to the relevant legal requirements.Riverside California Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate is a crucial document used during the sale of real estate properties in Riverside, California. This addendum specifies the terms and conditions that apply specifically to short sale transactions, which occur when a property is sold for less than the amount owed on the mortgage. There are various types of Riverside California Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate, each designed to address specific aspects of the transaction. These different types may include: 1. Financial Considerations Addendum: This type of addendum outlines the financial terms of the short sale, such as the agreed-upon purchase price, any concessions, and the timeline for submitting all required financial documents. 2. Contingency Addendum: A contingency addendum is commonly used in short sales to specify the conditions that need to be met for the sale to proceed. This may include the buyer's ability to secure financing, the seller's lender approval of the short sale, and any required inspections. 3. Disclosure Addendum: This addendum ensures that all parties involved in the short sale transaction are aware of any potential issues or defects with the property. It may require the seller to disclose any known facts or conditions that could affect the sale. 4. Closing Addendum: A closing addendum is used to establish the deadline for completing the short sale transaction, including the date by which all necessary documents must be signed and the funds must be transferred. 5. Third-Party Approval Addendum: In short sales, the seller's lender or mortgage holder typically needs to approve the sale. This addendum outlines the process for obtaining this approval and specifies the timeline for receiving a response. It is important for buyers, sellers, and real estate agents in Riverside, California, to thoroughly understand and comply with the Riverside California Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate. By utilizing the appropriate addendum based on the unique circumstances of the transaction, all parties involved can navigate the short sale process successfully while adhering to the relevant legal requirements.
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.
