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.
The New York Contract for the Sale of Residential Property Assuming Existing Loan and Giving Seller Purchase Money Mortgage or Deed of Trust is a legal document used in real estate transactions in the state of New York. This contract outlines the terms and conditions of the sale of residential property where the buyer assumes an existing loan and the seller provides a purchase money mortgage or deed of trust. This type of contract is commonly used in situations where the buyer agrees to take over the seller's existing mortgage and the seller agrees to provide additional financing through a purchase money mortgage or deed of trust. This arrangement allows the buyer to acquire the property without having to obtain a new loan from a traditional lender. The New York Contract for the Sale of Residential Property Assuming Existing Loan and Giving Seller Purchase Money Mortgage or Deed of Trust serves to protect the interests of both the buyer and the seller. It outlines the sales price, the amount of the existing loan, the terms of the assumption, and the details of the seller's purchase money mortgage or deed of trust. There are several variations of this contract, depending on the specific terms agreed upon by the parties involved. Some common types of New York contracts for the sale of residential property assuming existing loan and giving seller purchase money mortgage or deed of trust include: 1. Standard Assumption with Purchase Money Mortgage or Deed of Trust: This is the most common type of contract, where the buyer assumes the existing loan and the seller provides a purchase money mortgage or deed of trust to cover the remaining balance. 2. Assumption with Balloon Payment: In this scenario, the buyer agrees to assume the existing loan but also agrees to make a balloon payment to the seller at a specified date in the future. This allows the buyer to spread out the payments over time while providing the seller with a lump sum payment. 3. Assumption with Adjustable-Rate Mortgage: This type of contract involves an assumption of an existing adjustable-rate mortgage, where the buyer agrees to take on potential fluctuations in interest rates. The seller may still provide a purchase money mortgage or deed of trust, but the terms may be subject to changes in the market. 4. Assumption with Shared Appreciation: In some cases, the seller may include a shared appreciation clause in the contract. This means that if the property appreciates in value over a specified period, the seller is entitled to a portion of the appreciation upon sale or refinance of the property. Overall, the New York Contract for the Sale of Residential Property Assuming Existing Loan and Giving Seller Purchase Money Mortgage or Deed of Trust provides a detailed framework for the purchase of residential property while considering the existing loan and additional financing requirements. It is crucial for both buyers and sellers to carefully review and negotiate the terms of this contract with the help of legal counsel to protect their respective interests.
