Common use of Practice Tip Clause in Contracts

Practice Tip. If the Buyer decides to make application for an FHA loan after signing the Agreement, lender practice is generally to provide the notice, then ask that the Buyers re- execute the Agreement of Sale to meet the requirement that the notice be provided prior to the Agreement being signed. If your Buyer is asked to amend the form to reflect a new execution date, remember that this new date may change all the timelines previously established in the Agreement unless an addendum states otherwise. Be sure to consult with both parties (and your broker) to be sure that everyone understands how this issue will be handled.

Practice Tip. If the Buyer decides to make application for an FHA loan after signing the Agreement, lender practice is generally to provide the notice, then ask that the Buyers re- re-execute the Agreement of Sale to meet the requirement that the notice be provided prior to the Agreement being signed. If your Buyer is asked to amend the form to reflect a new execution date, remember that this new date may change all the timelines previously established in the Agreement unless an addendum states otherwise. Be sure to consult with both parties (and your broker) to be sure that everyone understands how this issue will be handled.