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.
Fulton Georgia Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate serves as a crucial document that outlines specific terms and conditions related to the sale of a property through short sale in Fulton, Georgia. This addendum is designed to complement the main contract and provide additional guidelines for all parties involved, such as the buyer, seller, and lender. The Fulton Georgia Short Sale Addendum includes various key elements that address the unique aspects of a short sale transaction. It outlines the agreed-upon purchase price, which is typically below the property's current market value, considering its distressed condition. The addendum also highlights the need for lender approval, as it is required for a successful short sale to occur. Should the buyer and seller reach an agreement, the addendum includes provisions related to the closing and the timeframe within which it must be completed. It may include specific language regarding the condition and transfer of the property, as well as any repairs or maintenance responsibilities that fall upon the buyer. It's important to note that there may be different types or variations of the Fulton Georgia Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate, depending on the specific circumstances and parties involved. Some potential variations could include: 1. First-Time Homebuyer Short Sale Addendum: This type of addendum may provide additional provisions aimed at assisting first-time homebuyers in navigating the complexities of a short sale transaction. It could outline any first-time buyer incentives or potential assistance programs applicable to the sale. 2. Investor Short Sale Addendum: If the buyer is an investor, a distinct addendum could be used, addressing their unique needs and expectations. It might include provisions related to the intended use of the property, potential financial considerations revolving around rental income, and other investor-specific clauses. 3. Partial Short Sale Addendum: In cases where a short sale involves only a portion of the property or specific units within a larger development, a separate addendum might be utilized. This addendum would provide specific details related to the sale of the designated portion, while still adhering to the overall terms of the main contract. Ultimately, the Fulton Georgia Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate acts as a critical piece of documentation that ensures all parties involved in a short sale transaction are aware of their responsibilities, rights, and obligations. By precisely outlining these terms, it helps streamline the process and enable a successful sale while protecting the interests of buyers, sellers, and lenders involved.Fulton Georgia Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate serves as a crucial document that outlines specific terms and conditions related to the sale of a property through short sale in Fulton, Georgia. This addendum is designed to complement the main contract and provide additional guidelines for all parties involved, such as the buyer, seller, and lender. The Fulton Georgia Short Sale Addendum includes various key elements that address the unique aspects of a short sale transaction. It outlines the agreed-upon purchase price, which is typically below the property's current market value, considering its distressed condition. The addendum also highlights the need for lender approval, as it is required for a successful short sale to occur. Should the buyer and seller reach an agreement, the addendum includes provisions related to the closing and the timeframe within which it must be completed. It may include specific language regarding the condition and transfer of the property, as well as any repairs or maintenance responsibilities that fall upon the buyer. It's important to note that there may be different types or variations of the Fulton Georgia Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate, depending on the specific circumstances and parties involved. Some potential variations could include: 1. First-Time Homebuyer Short Sale Addendum: This type of addendum may provide additional provisions aimed at assisting first-time homebuyers in navigating the complexities of a short sale transaction. It could outline any first-time buyer incentives or potential assistance programs applicable to the sale. 2. Investor Short Sale Addendum: If the buyer is an investor, a distinct addendum could be used, addressing their unique needs and expectations. It might include provisions related to the intended use of the property, potential financial considerations revolving around rental income, and other investor-specific clauses. 3. Partial Short Sale Addendum: In cases where a short sale involves only a portion of the property or specific units within a larger development, a separate addendum might be utilized. This addendum would provide specific details related to the sale of the designated portion, while still adhering to the overall terms of the main contract. Ultimately, the Fulton Georgia Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate acts as a critical piece of documentation that ensures all parties involved in a short sale transaction are aware of their responsibilities, rights, and obligations. By precisely outlining these terms, it helps streamline the process and enable a successful sale while protecting the interests of buyers, sellers, and lenders involved.
