Puerto Rico Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate

State:
Multi-State
Control #:
US-01185BG
Format:
Word; 
Rich Text
Instant download

Description

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.

Puerto Rico Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate is a legal document that outlines the terms and conditions associated with a short sale transaction in Puerto Rico. This addendum is crucial in facilitating a smooth and fair transaction between the buyer and seller involved in a short sale. A short sale occurs when a homeowner is unable to fully repay their mortgage debt to the lender, and as a result, they request the lender to accept the sale of the property at a price lower than the outstanding mortgage balance. The Puerto Rico Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate helps establish a clear understanding between the parties involved and protects their rights throughout the process. This addendum typically includes various sections such as: 1. Parties: This section identifies the buyer, seller, and the lender involved in the short sale transaction. 2. Property Description: It provides a detailed description of the property being sold, including its address, legal description, and any unique features or conditions. 3. Purchase Price: This section outlines the agreed-upon price for the purchase of the property, considering the reduced value due to the short sale. It may also include any adjustments or allowances agreed upon by both parties. 4. Terms and Conditions: This section states the specific terms and conditions that apply to the short sale transaction, including any contingencies, financing terms, and closing timelines. 5. Agreement of Parties: It includes a statement where both the buyer and seller confirm their mutual consent to the terms outlined in the addendum and their commitment to fulfilling their respective obligations. Different types of Puerto Rico Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate may exist based on specific clauses or additional requirements set by the lender or local regulations. Some common variations include: 1. Lender Approval Contingency Addendum: This addendum stipulates that the contract is contingent upon the lender's approval of the short sale. It establishes a timeline for the lender's review and specifies the consequences if the lender fails to provide approval within a set timeframe. 2. Financial Hardship Addendum: In cases where the seller is facing significant financial hardship, this addendum provides additional documentation or declarations related to the seller's financial situation. It may require the seller to disclose their financial information or provide supporting documents to substantiate their claim of hardship. 3. Tax and Legal Considerations Addendum: Since short sales involve complex financial and legal implications, this addendum may be included to address specific Puerto Rico tax and legal requirements. It ensures compliance with local laws and regulations, avoiding any potential challenges or penalties. The Puerto Rico Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate serves as a binding agreement between the buyer, seller, and lender involved in a short sale transaction. It offers clarity, protection, and a framework for a successful real estate transaction, all while adhering to Puerto Rican laws and regulations.

Free preview
  • Form preview
  • Form preview
  • Form preview

How to fill out Puerto Rico Short Sale Addendum To Contract For The Price, Purchase And Sale Of Real Estate?

Have you ever been in a situation where you require documents for both business or personal reasons nearly every working day.

There are numerous legal document templates available on the web, but finding ones you can trust is not simple.

US Legal Forms offers thousands of document templates, including the Puerto Rico Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate, which are designed to comply with state and federal regulations.

Once you find the correct form, click Buy now.

Select the pricing plan you prefer, fill in the required information to process your payment, and make the purchase using your PayPal, Visa, or Mastercard.

  1. If you are already familiar with the US Legal Forms website and have an account, just Log In.
  2. Then, you can download the Puerto Rico Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate template.
  3. If you do not have an account and wish to start using US Legal Forms, follow these steps.
  4. Obtain the form you require and ensure it is for the correct city/state.
  5. Utilize the Preview button to examine the form.
  6. Review the description to confirm that you have selected the correct document.
  7. If the form does not meet your needs, use the Search area to locate the form that fits your requirements.

Form popularity

FAQ

A short sale is when a mortgage lender agrees to accept a mortgage payoff amount less than what is owed in order to facilitate a sale of the property by a financially distressed owner. The lender forgives the remaining balance of the loan.

Are Short Sale Home Prices Negotiable? Short sale home prices are negotiable, but not in the same way as the sale price in a traditional purchase is. As the seller, you may be motivated to get rid of the propertybut the mortgage lender must ultimately decide whether to accept an offer.

Buyer contingencies are the most common addenda, according to Justin Ostow, a top real estate agent in Tampa, Florida, who completes 10% more sales than the average agent. Contingencies dictate certain conditions which must be met for the contract to go through.

A short sale addendum is a critical document in many short sale transactions because it provides the details regarding some of the following:Contingencies upon which a contract can be canceled or executed. Bank's approval of the short sale. Specific time period the buyer is willing to wait for short sale approval.

Among the terms typically included in the agreement are the purchase price, the closing date, the amount of earnest money that the buyer must submit as a deposit, and the list of items that are and are not included in the sale.

How to Create a Purchase Addendum (4 steps)Step 1 Get the Original Purchase Agreement. The buyer and seller should get a copy of the original purchase agreement.Step 2 Write the Addendum. Complete a blank addendum (Adobe PDF, Microsoft Word (.Step 3 Parties Agree and Sign.Step 4 Add to the Purchase Agreement.

A short sale happens when a homeowner owes more on the mortgage balance than the market value or sale price of the property at the point the owner wants to sell. For a short sale, the homeowner is essentially asking the mortgage lender (typically a bank) to accept a lesser amount than the total mortgage owed.

End with an addendum to ensure you always get the last word in Word.Open the Word document to receive the addendum.Scroll to the last part of the document or press the Page Down key.Place the cursor to the right of the last character in the document.Type the word Addendum on the new line.More items...

An example of an addendum being used would be if the parties wanted to add something to the original document. For instance, an individual who is purchasing a house may not want to purchase all of the furniture that is being left behind. However, after thinking about it further, he changes his mind.

What's the purpose of the TREC-approved Short Sale Addendum? To create provisions related to the lienholder's consent to the sale.

Interesting Questions

More info

If the appraised value is less than the total purchase price stated in the contract of sale, the Buyer may, within three (3) calendar days of ... Since the owner is trying to get their mortgage lender to accept less than they are owed for the property, the lender must approve the sale.Real estate professionals are at risk when you or your clients don't realize an email exchange can be a binding contract. DD Form 1705 ? For Real Estate · Sale and/or Purchase (complete for one at a time!)House Hunting (Actual Expense method only) - Employee and/or Spouse.80 pages DD Form 1705 ? For Real Estate · Sale and/or Purchase (complete for one at a time!)House Hunting (Actual Expense method only) - Employee and/or Spouse. Put property on market ("list" the property) with a real estate agent.Submit completed short sale package to lender (with purchase contract, if signed).13 pages Put property on market ("list" the property) with a real estate agent.Submit completed short sale package to lender (with purchase contract, if signed). Property is inevitable. The lender then weighs the cost/benefit of a short sale versus a foreclosure. To qualify for a short sale, the borrower must ... Property, HUD's sale and conveyance of the Mortgaged Property,Property. Further, Borrower and HUD execute this Agreement in order to comply with the. Real Estate Agreement A residential real estate purchase agreement is a bindingThe agreement outlines the terms, such as the sales price and any ... (1 days ago) The Maryland residential real estate purchase agreement (?residential purchase and sale agreement?) is a contract that outlines the price, terms, ... Purchase of the real property under a real estate sales contract; and(a) A grantor shall complete and sign a water rights addendum submitted under ...

Trusted and secure by over 3 million people of the world’s leading companies

Puerto Rico Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate