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.
The Philadelphia Pennsylvania Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate is a legal document that serves as an essential tool in the real estate industry. It provides specific terms and conditions for buyers and sellers engaged in a short sale transaction within the Philadelphia, PA area. This addendum plays a crucial role in outlining all the necessary clauses and provisions to protect the interests of both parties involved. There are various types of Philadelphia Pennsylvania Short Sale Addendums to Contract for the Price, Purchase and Sale of Real Estate. These types may differ based on specific circumstances, requirements, and individual preferences. Some common variations of this addendum include: 1. Standard Short Sale Addendum: This type of addendum is used for typical short sale transactions in Philadelphia, PA. It includes standard provisions governing the purchase and sale of real estate properties involved in a short sale process. 2. Buyer's Protection Short Sale Addendum: This variant focuses on providing additional safeguards for the buyer during the short sale transaction. It may incorporate clauses that protect the buyer against potential issues such as property defects, liens, encumbrances, or undisclosed problems. 3. Seller's Release Short Sale Addendum: This specialized addendum primarily emphasizes the release of the seller from any liability or responsibilities associated with the property after the short sale. It ensures that the seller will not be held accountable for future claims, lawsuits, or financial burdens related to the property. 4. Financing Contingency Short Sale Addendum: This addendum is used when the buyer's purchase of the property is contingent upon securing suitable financing. It specifies the terms and conditions under which the buyer may back out of the short sale contract if financing cannot be obtained. 5. Repair Contingency Short Sale Addendum: In situations where the property requires substantial repairs, this addendum allows the buyer to negotiate repairs or credit from the seller as a condition for completing the short sale transaction. It outlines the expectations regarding repairs, the cost, and the timeline for completion. It is important to note that the specific terminology and format of the Philadelphia Pennsylvania Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate may vary based on the legal regulations and requirements set forth by the state and local real estate authorities. Furthermore, it is recommended to consult with a qualified real estate professional or seek legal advice to ensure compliance and accuracy when using or drafting this addendum.The Philadelphia Pennsylvania Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate is a legal document that serves as an essential tool in the real estate industry. It provides specific terms and conditions for buyers and sellers engaged in a short sale transaction within the Philadelphia, PA area. This addendum plays a crucial role in outlining all the necessary clauses and provisions to protect the interests of both parties involved. There are various types of Philadelphia Pennsylvania Short Sale Addendums to Contract for the Price, Purchase and Sale of Real Estate. These types may differ based on specific circumstances, requirements, and individual preferences. Some common variations of this addendum include: 1. Standard Short Sale Addendum: This type of addendum is used for typical short sale transactions in Philadelphia, PA. It includes standard provisions governing the purchase and sale of real estate properties involved in a short sale process. 2. Buyer's Protection Short Sale Addendum: This variant focuses on providing additional safeguards for the buyer during the short sale transaction. It may incorporate clauses that protect the buyer against potential issues such as property defects, liens, encumbrances, or undisclosed problems. 3. Seller's Release Short Sale Addendum: This specialized addendum primarily emphasizes the release of the seller from any liability or responsibilities associated with the property after the short sale. It ensures that the seller will not be held accountable for future claims, lawsuits, or financial burdens related to the property. 4. Financing Contingency Short Sale Addendum: This addendum is used when the buyer's purchase of the property is contingent upon securing suitable financing. It specifies the terms and conditions under which the buyer may back out of the short sale contract if financing cannot be obtained. 5. Repair Contingency Short Sale Addendum: In situations where the property requires substantial repairs, this addendum allows the buyer to negotiate repairs or credit from the seller as a condition for completing the short sale transaction. It outlines the expectations regarding repairs, the cost, and the timeline for completion. It is important to note that the specific terminology and format of the Philadelphia Pennsylvania Short Sale Addendum to Contract for the Price, Purchase and Sale of Real Estate may vary based on the legal regulations and requirements set forth by the state and local real estate authorities. Furthermore, it is recommended to consult with a qualified real estate professional or seek legal advice to ensure compliance and accuracy when using or drafting this addendum.
