Prudential
Realty Associates, Inc.
000 X. Xxxx Xxxx. x Xxxx, XX 00000 o Bus. (000) 000-0000 o Fax (000) 000-0000
COMMERCIAL - INDUSTRIAL - INVESTMENT
REAL ESTATE PURCHASE CONTRACT
This is a legally binding Contract. It has been prepared for the use of its
members only by the UTAH ASSOCIATION OF REALTORS(R) in transactions involving
member's clients or customer; as such, the interests of Buyer and Seller.
Nonetheless the Buyer and the Seller may legally agree on writing to alter a
delete provision of this form. Seek legal advice from your attorney or tax
advisor before entering into a binding Contract.
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XXXXXXX MONEY RECEIPT
The Buyer
Big M Investment & SCTN or Assigns
offers to purchase the Property described below and delivers as Xxxxxxx Money
Deposit $5,000 in the form of 1031 Deposit to:
[ ] the Brokerage, to be deposited within three business days after Acceptance
of this Offer to Purchase by all parties,
[X] the Title/Escrow Company identified below.
Brokerage or Title/Escrow Company Mt. West Title Address 000 X. Xxxx Xxxx. Xxxx,
Xxxx
Received by Mt. West Title on December 26, 1999 (date) Phone Number 000-0000
(if Title/Escrow Company) for deposit no later than (date) n/a.
[X] Xxxxxxx Monies are on hold with a 1031 exchange in the name of Big M
Investments
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OFFER TO PURCHASE
1. PROPERTY:
Three Story office building of approximately 10,000 Sq. ft.
Address 740 East 3900 South City Salt Lake City County SLC State Ut
For legal description, see [ ] attached Addendum # n/a [X] preliminary title
report when available as provided below.
1.1 INCLUDED ITEMS: Unless excluded herein, this sale shall include all
fixtures presently attached to the Property. The following personal property
shall also be included in this sale and conveyed under separate Xxxx of Sale
with warranties as to title:
Janitorial Supplies
1.2 EXCLUDED ITEMS: These items are excluded from this sale:
None
2. PURCHASE PRICE AND FINANCING. .Buyer agrees to pay for the Property as
follows:
$ 5,000 Xxxxxxx Money Deposit
$ 500,000.00 Loan Proceeds:
[ ] Representing the liability to be assumed by Buyer under an
existing assumable loan ([ ] with [ ] without Seller being
released of liability) in this approximate amount with [ ] Buyer
[ ] Seller agreeing to pay any loan transfer and assumption fees.
Any net differences between the approximate balance of the loan
shown above and the actual balance at Closing shall then be
adjusted in [ ] cash [ ] other n/a
[ ] From new institutional financing on tam no less favorable to
the Buyer than the following: n/a (interest rate for first period
prior to adjustment, if any); n/a (amortization period); n/a
(term). Other than these, the loan terms shall be the best
obtainable under the loan for which the Buyer applies below.
[X] From Seller-held financing, as described in the attached
Seller Financing Addendum.
$ 255,250.00 Other: Note #1 $135,000 Due to Sellers January 3, 2000. (by
------------ separate agreement) Note #2 Due to JK Family Partnership in the
amount of $120,250 less expenses of closing. Note #2 is payable
on January 3, 2000.
$ 134,750.00 Balance of Purchase Price in cash at closing
-------------
$ 895,000.00 TOTAL PURCHASE PRICE
-------------
3. CLOSING. This transaction shall be closed on or before 12/30/99. Closing
shall occur when: (a) Buyer and Seller have signed and delivered to each other
(or to the escrow/title company) , all documents required by this Contract, by
the Lender, by written escrow instructions signed by the Buyer and the Seller,
and by applicable law; (b) the moneys required to be paid under these documents
have been delivered to the escrow/title company in the form of collected or
cleared funds; and (c) the deed which the Seller has agreed to deliver under
Section 6 has been recorded. Seller and Buyer shall each pay one-half of the
escrow Closing fee, unless otherwise agreed by the parties in writing. Taxes and
assessments for the current year, rents, and interest on assumed obligations
shall be prorated as set forth in this Section. All deposits on tenancies shall
be transferred to Buyer at Closing. Prorations set forth in this Section shall
be made as of [X] date of Closing; [ ] date of possession; [ ] other n/a.
4. POSSESSION. Seller shall deliver possession to Buyer within 24 hours after
Closing.
5. CONFIRMATION OF AGENCY DISCLOSURE. At the signing of this Contract the
Listing Agent Xxx Xxxx represents [X] Seller [ ] Buyer, and the Selling Agent
Xxx Xxxx, Xxxx Xxxxxxxxxxx represents [ ] Seller [X] Buyer. Buyer and Seller
confirm that prior to signing this Contract written disclosure of the agency
relationship was provided to him/her. ( ) Buyer's initials ( ) Seller's
initials.
6. TITLE TO PROPERTY AND TITLE INSURANCE. (a) Seller has, or shall have at
Closing, fee title to the Property and agrees to convey such title to Buyer by
[X] general [ ] special warranty deed, free of financial encumbrances as
warranted under Section 10.6; (b) Seller agrees to pay for, and furnish Buyer at
Closing with, a current standard fort Owner's policy of title insurance in the
amount of the Total Purchase Price; (c) the title policy shall conform with
Seller's obligations under subsections (a) and (6). Unless otherwise agreed
under Section 8.4, the commitment shall conform with the title insurance
commitment provided under Section 7.1.
[ ] The Buyer elects to obtain a full-coverage extended ALTA policy of title
insurance under 6(b). The cost of this coverage, above that of a standard
Real Estate Purchase Contract UAR Form 3 (5/94)
Buyer(s)______ Seller(s)_____
RealFA$T(R) Forms, Xxx 0000, Xxxxxx, XX 00000, Version 6.00,
(C)RealFA$T(R), 1999; Reg# LUTUAR225136
Completed by - Xxx Xxxx, Realtor, Prudential Realty Associates
12/24/99 07:50:45 Page 1 of 3
Owner's policy, shall be paid for by the [ ] Buyer [ ] Seller. Also, the cost of
a full-coverage ALTA survey, shall be paid for by the [ ] Buyer [ ] Seller.
7. SPECIFIC UNDERTAKINGS OF SELLER AND BUYER
7.1 SELLER DISCLOSURES. The Seller will deliver to the Buyer the following
Seller Disclosures no later than the number of calendar days indicated below
which shall be days after Acceptance: (days)
[X] (a) a Seller Property Condition Disclosure for the Property, signed
and dated by Seler: 2
[X] (b) a commitment for the policy of title insurance required under
Section 6, to be issued by the title insurance company chosen by Seller,
including copies of all documents listed as Exceptions on the
Commitment: 2
[ ] (c) a copy of all loan documents relating to any loan now existing
which will encumber the Property after Closing: n/a
[X] (d) a copy of all leases and rental agreements now in effect with
regard to the Property together with a current rent roll: 2
[X] (e) operating statements of the Property for its last n/a full
fiscal years of operation plus the current fiscal year through 11/30/99,
certified by the Seller or by an independent auditor: 2
[ ] (f) tenant Estoppel agreements: n/a
Seller agrees to pay any charge for cancellation of the title commitment
provided under subsection (b).
If Seller does not provide any of the Seller Disclosures within the time
periods agreed above, the Buyer may either waive the particular Seller
Disclosure requirement by taking no timely action or the Buyer may notify the
Seller in writing within 10 calendar days after the expiration of the particular
disclosure time period that the Seller is in Default under this Contract and
that the remedies under Section 16 are at the Buyer's disposal. The holder of
the Xxxxxxx Money Deposit shall, upon receipt of a copy of Buyer's written
notice, return to the Buyer the Xxxxxxx Money Deposit without the requirement of
further written authorization from the Seller.
7.2 BUYER UNDERTAKING. The Buyer agrees to: I II
[ ] (a) Apply for approval of the assumption or funding
of the loan proceeds described in Section 2 by
completing, signing, and delivering to the Lender the
initial loan application and documentation requited by
the Lender and by paying all fees as required by the
Lender (including appraisal fee) no later than n/a
calendar days after Acceptance; and _______ _______
[ ] (b) No later than n /a calendar days after
Acceptance, obtain from the Lender to whom application is
made under subsection (a) a written commitment to approve
the assumption of the existing loan or to fund the new
loan subject only to changes of conditions in Buyer's
credit worthiness and to normal loan dosing procedures;
or, if Buyer elects, providing the Seller with absolute
assurances within the same tithe frame, that the proceeds
required for funding the Total Purchase Price are
available. _______ _______
These Buyer Undertakings are at the sole expense of the Buyer and are material
elements of this Contract for the bent of both the Buyer and the Seller.
If Buyer does not initiate any Buyer Undertaking and provide Seller with
written confirmation in the time agreed above, the Seller may either waive the
particular Buyer Undertaking requirement by taking no timely action or the
Seller may notify the Buyer in writing withinn/a calendar days of the expiration
of the particular undertaking tithe period that the Buyer is in Default under
this Contract and that the remedies under Section 16 are at the Seller's
disposal. The holder of the Xxxxxxx Money Deposit shall, upon receipt of a copy
of Seller's written notice, deliver to the Seller the Xxxxxxx Money Deposit
without the requirement of further written authorization from the Buyer.
7.3 ADDITIONAL DUE DILIGENCE. The Buyer shall undertake the following
Additional Due Diligence dements at its own expense and for its own benefit for
the purpose of complying with the Contingencies under Section 8:
[ ] (a) Ordering and obtaining an appraisal of the Property if one is not
otherwise required under Section 7.2;
[ ] (b) Ordering and obtaining a survey of the Property if one is tort
otherwise required under Section 6;
[ ] (c) Ordering and obtaining any environmentally related study of the
Property;
[X] (d) Ordering and obtaining a physical inspection report regarding, and
completing a personal inspection of the Property;
[X] (e) Requesting and obtaining verification that the Property complies with
all applicable federal, state, and local laws, ordinances, and regulations with
regard to zoning and permissible use of the Property.
Seller agrees to cooperate fully with Buyer's completing these Due Diligence
matters and to make the Property available as reasonable and necessary for the
same.
8. CONTINGENCIES. This offer is subject to the Buyer's approving to its sole
discretion the better Disclosures, the Buyer Undertakings, and Additional Due
Diligence matters in Section 7. However, the Buyer's discretion in approving the
terms of the loan under subsection 7.2 (b) is subject to Buyer's covenant with
regard to minimally acceptable financing terms tinder Section 2.
8.1 Buyer shall have 10 calendar days after the times specified in Section
7.1 and 7.2 for receipt of Seller Disclosures and for completion of Buyer
Undertakings to review the content of the disclosures and the outcome of the
undertakings. The latest applicable date under Section 7.1 and 7.2 applies for
completing a review of Additional Due Diligence matters under Section 7.3.
8.2 If Buyer does not deliver a written objection to Seller regarding a
Seller Disclosure, Buyer Undertaking, or Due Diligence matter within the time
provided in Section 8.1, that item will be deemed approved by Buyer.
8.3 If Buyer objects, Buyer and Seller shall have 2 calendar days after
receipt of the objections to resolve Buyer's objections. Seller may, but shall
not be required to, resolve Buyer's objections. Likewise, the Buyer is under no
obligation to accept any resolution proposed by the Seller. If Buyer's
objections are not resolved within the stated time, Buyer may void this Contract
by providing written notice to Seller within the same stated time. The holder of
the Xxxxxxx Money Deposit shall, upon receipt of a copy of Buyer's written
notice, return to Buyer the Xxxxxxx Money Deposit without the requirement of any
further written authorization from Seller. If this Contract is not voided by
Buyer, Buyer's objection is deemed to have been waived However, this waiver does
not affect warranties under Section l0.
8.4 Resolution of Buyer's objections under Section 8.3 shall be in writing
and shall become part of this Contract.
9. SPECIAL CONTINGENCIES. This offer is made subject to: The term of attached
Addendum # 1 are incorporated into this Contract by this reference.
10. SELLER'S LIMITED WARRANTIES. Seller's warranties to Buyer regarding the
Property are limited to the following:
10.1 When Seller delivers possession of the Property to Buyer, it will be
xxxxx-xxxx and free of debris and personal belongings;
10.2 Seller will deliver possession of the Property to Buyer with the
plumbing, plumbed fixtures, heating, cooling, ventilating, electrical and
sprinkler (indoor and outdoor) systems, appliances, arid fireplaces in working
order;
10.3 Seller will deliver possession of the Property to Buyer with the roof
and foundation free of leaks known to Seller;
10.4 Seller will deliver possession of the property to Buyer with any private
well or septic tank serving the Property in working order and in compliance with
governmental regulations;
10.5 Seller will be responsible for repairing arty of Seller's moving-related
damage to the Property;
10.6 At Closing, Seller will bring current ail financial obligations
encumbering the Property which are assumed in writing by Buyer and xxxx
discharge all such obligations which Buyer has not so assumed;
10.7 As of Closing, Seller has no knowledge of any claim or notice of an
environmental, building, or zoning code violation regarding the Property which
has not been resolved.
11. VERIFICATION OF WARRANTED AND INCLUDED ITEMS. After all contingencies have
beat removed and before Closing, the Buyer may conduct a "walk-through"
inspection of the Property to determine whether or riot items warranted by
Seller in Section 10.1, 10.2, 10.3 and 10.4 are in the warranted condition and
to verify that items included in Section 1.1 are presently on the Property. If
any item is not in the warranted condition, Seller will correct, repair
Real Estate Purchase Contract UAR Form 3 (5/94)
Buyer(s)______ Seller(s)_____
RealFA$T(R) Forms, Xxx 0000, Xxxxxx, XX 00000, Version 6.00,
(C)RealFA$T(R), 1999; Reg# LUTUAR225136
Completed by - Xxx Xxxx, Realtor, Prudential Realty Associates
12/24/99 07:50:45 Page 2 of 3
or replace it as necessary or, with the consent of Buyer and (if required)
Lender, escrow an amount at Closing to provide for such repair or replacement.
The Buyer's failure to conduct a "walk-through" inspection or to claim during
the "walk-through" inspection that the Property does not include all items
referenced in Section 1.1 or is not in the condition warranted in Section 10,
shall constitute a waiver of Buyers rights under Section 1.1 and of the
warranties contained in Section 10.
12. CHANGES DURING TRANSACTION. Seller agrees that no changes in any existing
leases shall be made, no new leases entered into, and no substantial alterations
or improvements to the , Property shall be undertaken without the written
consent of the Buyer.
13. AUTHORITY OF SIGNERS. If Bayer or Seller is a corporation, partnership,
trust, estate, or other entity, the person signing this Contract on its behalf
warrants his or her authority to do so and to bind Buyer or Seller and the heirs
or successors in interest to Buyer or Seller. If the Seller is not the vested
Owner of the Property but has control over the vested Owner's disposition of the
Property, the Seller agrees to exercise this control and deliver title under
this Contract as if it bad ban signed by the vested Owner.
14. COMPLETE CONTRACT. This instrument (together with its Addenda, any attached
Exhibits, and Seller Disclosures ) constitutes the entire Contract between the
parties and supersedes all prior dealings between the parties. This Contract
cannot be changed except by written agreement of the parties.
15. DISPUTE RESOLUTION. The parties agree that any dispute or claim relating to
this Contract, including but not limited to the disposition of the Xxxxxxx Money
Deposit and the breach or termination of this Contract, shall first be submitted
to mediation in accordance with the Utah Real Estate Buyer/Seller Mediation
Rules of the American Arbitration Association. Each party agrees to bear its own
costs of mediation. Any Agreement signed by the parties pursuant to the
mediation shall be finding If mediation fails, the procedures applicable and
remedies available under this Contract shall apply. Nothing in this Section
shall prohibit the Buyer from seeking specific performance by the Seller by
filing a complaint with the court, serving it on the Seller by means of summons
or as otherwise permitted by law, and recording a lis pendens with regard to the
action provided that the Buyer permits the Seller to regain from answering the
complaint pending mediation. Also the parties may agree in writing to waive
mediation
16. DEFAULT. If Buyer defaults, Seller may elect to either retain the Xxxxxxx
Money Deposit as liquidated damages or to return the Xxxxxxx Money Deposit and
xxx Buyer to enforce Seller's rights. If Seller defaults, in addition to =turn
of the Xxxxxxx Money Deposit, Buyer may elect to either accept from Seller as
liquidated damages a sum equal to the Xxxxxxx Money Deposit or xxx Seller for
specific performance and/or damages. If Buyer elects to accept the liquidated
damages, Seller agrees to pay the liquidated damages to Buyer upon demand Where
a Section of this Contract provides a specific remedy, the parties intend that
the remedy shall be exclusive regardless of rights which might otherwise be
available under common law.
17. ATTORNEY'S FEES. In any action arising out of this Contract, the prevailing
party shall be entitled to costs and reasonable attorney's fees.
18. DISPOSITION OF XXXXXXX MONEY. The Xxxxxxx Money Deposit shall not be
released unless it is authorized by: (a) Sections 7.1, 7.2 and 8.3; (b) separate
written agreement of the patties, including an agreement under Section 15 if (a)
does not apply; or (c) court order.
19. ABROGATION. Except for express warranties made in this Contract, the
provision of this Contract shall not apply after Closing.
20. RISK OF LOSS. All risk of lass or damage to the Property shall be borne by
Seller until Closing.
21. TIME IS OF THE ESSENCE. Time is of the essence regarding the dates set forth
in this transaction Extensions must be agreed to in writing by all parties.
Performance under each Section of this Contract which references a date shall be
required absolutely by 5:00 P.M., Mountain Time on the stated data
22. COUNTERPARTS AND FACSIMILE (FAX) DOCUMENTS. This Contract may be signed in
counterparts, and each counterpart beating an original signature shall be
considered one document with all others bearing original signature. Also,
facsimile transmission of any signed original document and re-transmission of
any signed facsimile transmission shall be the same as delivery of an original.
23. ACCEPTANCE. Acceptance occurs when Seller or Buyer, responding to an offer
or counteroffer of the other. (a) signs the offer or counteroffer where noted to
indicate acceptance; and (b) communicates to the other party or the other
party's agent that the offer or counteroffer has been signed as required.
24. OFFER AND TIME FOR ACCEPTANCE. Buyer offers to purchase the Property on the
above terms and conditions. If Seller does not accept this offer by [ ]AM [X] PM
Mountain Time, December 27, 1999 , this offer shall lapse, and the holder of the
Xxxxxxx Money Deposit shall return it to the Buyer.
Big M Investment & SCTN or Assigns
000 X. 000 Xxxxx, Xxxx Xxxx Xxxx, XX 00000
Bus.#: 000-000-0000
BUYER'S SIGNATURE_______________________________ DATE ____________
By: Xxxx Xxxxxx and Xxxxx Xxxxx Pres. & CEO
ACCEPTANCE/REJECTION/COUNTEROFFER
[ ] Acceptance of Offer to purchase: Seller Accepts the foregoing offer on the
terms and conditions specified above.
XX Xxx Chariable Remainder Unitrust and JK Family Partnership
0000 X. Xxxxxx Xxxxxx, Xxxxxxxx, XX 00000
Home #:763-7951
SELLER'S SIGNATURE __________________________ DATE ___________ TIME ___________
By: Xxxxxx Xxxx Xxx, Co-Trustee and Xxxxxxx X. Xxx
[X] Rejection: Seller Rejects the foregoing offer.
______________(Seller's initials) ________________(Date) ___________ (Time)
[ ]Counter Offer: Seller presents for Buyers Acceptance the terms of Buyers
offer subject to the exceptions or modifications as specified in the attached
Counter Offer # n/a.
Real Estate Purchase Contract UAR Form 3 (5/94)
RealFA$T(R) Forms, Xxx 0000, Xxxxxx, XX 00000, Version 6.00,
(C)RealFA$T(R), 1999; Reg# LUTUAR225136
Completed by - Xxx Xxxx, Realtor, Prudential Realty Associates
12/24/99 07:50:45 Page 3 of 3
Prudential
Realty Associates, Inc.
000 X. Xxxx Xxxx. x Xxxx, XX 00000 o Bus. (000) 000-0000 o Fax (000) 000-0000
ADDENDUM NO. 1
TO
REAL ESTATE PURCHASE CONTRACT
THIS IS AN [X] ADDENDUM [ ] COUNTEROFFER to that REAL ESTATE PURCHASE CONTRACT
(the "REPC") with an Offer Reference Date of December 26, 1999 , Including all
prior addenda and counteroffers, between
Xxxx Xxxxxx & SCTN or Assigns
as Buyer, and
XX Xxx Chariable Remainder Unitrust and JK Family Partnership
as Seller, regarding the Property; located at
000 Xxxx 0000 Xxxxx Xxxx Xxxx Xxxx, Xxxx (three Story Office Building)
The following terms are hereby Incorporated as part of the REPC:
1). The Trust Deed Note shall have a rent assignment clause in favor of the
Note holder in the event the buyer doesn't pay loan payments as per the
contract.
2). Buyers shall have the time noted in item 8.1 of the Real Estate
Purchase Contract to complete its Due-Diligence and Buyers shall accept
the building thereafter in an "AS IS" condition.
3). Seller shall have the option of placing their proceeds into a 1031 tax
deferred exchange and shall have Buyers cooperation to complete said
exchange. Seller shall also cooperate with Buyers in a 1031 tax
deffered exchange.
To the extent the terms of this ADDENDUM modify or conflict with any provisions
of the REPC, Including all prior addenda and counteroffers, these terms shall
control. All other terms of the REPC, Including prior addenda and counteroffers,
not modified by this ADDENDUM shall remain the same.
[ ] Seller [X] Buyer shall have until 5:00 [ ] A.M. [X] P.M. Mountain Time
December 27 , 1999 (Date) , to accept the terms of this ADDENDUM In accordance
with the provisions of Section 23 of the REPC. Unless so accepted, the offer as
set forth In this ADDENDUM shall lapse.
____________________________________________________________
[ ] Buyer [ ] Seller Signature Date Time
____________________________________________________________
[ ] Buyer [ ] Seller Signature Date Time
ACCEPTANCE/REJECTION/COUNTER OFFER
CHECK ONE:
[ ] ACCEPTANCE: [ ] Seller [ ] Buyer hereby accepts the term of this ADDENDUM
NO. n/a.
[ ]COUNTER OFFER: [ ] Seller [ ] Buyer presents as a counter offer the terms set
forth on the attached ADDENDUM NO. n/a.
________________________________________________________________________________
(Signature) (Date) (Time) (Signature) (Date) (Time)
[ ]REJECTION: [ ] Seller [ ] Buyer rejects the foregoing ADDENDUM.
________________________________________________________________________________
(Signature) (Date) (Time) (Signature) (Date) (Time)
THIS FORM APPROVED BY THE UTATH AREAL ESTATE COMMISION AND THE OFFIC E OF THE
UTAH ATTORNEY GENERAL, EFFECTIVE AUGUST 17, 1998. IT REPLACES AND SUPERCEDES
ALL PREVIOUSLY APPROVED VERSIONS OF THIS FORM.
Addendum to Real Estate Purchase Contract UAR Form 2 (8/98)
Buyer(s)______ Seller(s)_____
RealFA$T(R) Forms, Xxx 0000, Xxxxxx, XX 00000, Version 6.00,
(C)RealFA$T(R), 1999; Reg# LUTUAR225136
Completed by - Xxx Xxxx, Realtor, Prudential Realty Associates
12/24/99 07:36:16 Page 1 of 1
Prudential
Realty Associates, Inc.
000 X. Xxxx Xxxx. x Xxxx, XX 00000 a Bus. (000) 000-0000 o Fax (000) 000-0000
SELLER FINANCING ADDENDUM
TO
REAL ESTATE PURCHASE CONTRACT
THIS SELLER FINANCING, ADDENDUM is made a part of that REAL ESTATE PURCHASE
CONTRACT (the "REPC") with an Offer Reference Date of December 26, 1999 ,
between
Big M Investment & SCTN or Assigns
as Buyer, and
XX Xxx Chariable Remainder Unitrust and JK Family Partnership
as Seller, regarding the Property located at
000 Xxxx 0000 Xxxxx, Xxxx Xxxx Xxxx, Xxxx 00000
The terms of this ADDENDUM are hereby incorporated as part of the REPC.
1. CREDIT DOCUMENTS. Seller's extension of credit to Buyer shall be evidenced
by: [X] Note and Deed of Trust [ ] Note and All-Inclusive Deed of Trust [ ]
Other: n/a
2. CREDIT TERMS. The terms of the credit documents referred to in Section 1
above are as follows:
$ 500.000.00 principal amount of the note(the "Note"); interest at 8.5% per
annum; payable at approximately $ 3, 844.57 per month. The entire unpaid balance
of principal plus accrued interest is due in 84 months from date of the Note.
First payment due February 1, 2000. Additional principal payments, balloon
payments or other terms as follows:
Loan is based on 30 years amortization with balance due after 84 months.
The credit documents referenced In Section 1 of this ADDENDUM will contain a
due-on-sale clause in favor of Seller. Seller agrees to provide to Buyer at
Settlement: (a) an amortization schedule based on the above terms; (b) a written
disclosure of the total interest Buyer will pay to maturity of the Note; and (c)
the annual percentage rate on the Note based on loan closing costs.
3. TAXES AND ASSESSMENTS. In addition to the payments referenced in Section 2
above, Buyer shall also be responsible for: (a) property taxes; (b) homeowners
association dues; (c) special assessments; and (d) hazard insurance premiums on
the Property. These obligations will be paid: [ ] directly to Seller/Escrow
Agent on a monthly basis [ ] directly to the applicable county treasurer,
association, and insurance company as required by those entities.
4. PAYMENT. Buyer's payments under Sections 2 and 3 above will be made to: [ ]
Seller [ ] an Escrow Agent. If an Escrow Agent, NONE will act as Escrow Agent
and will be responsible for disbursing payments on any underlying mortgage or
deed of trust (the "underlying mortgage") and to the Seller. Cost of setting up
the escrow account shall be paid by: [ ] Buyer [ ] Seller [ ] split evenly
between the parties.
5. LATE PAYMENT/PREPAYMENT. Any payment not made within 10 days after it is due
is subject to a late charge of $100.00 or n /a % of the installment due,
whichever is greater. Amounts in default shall bear interest at a rate of 18.00%
per annum. All or part of the principal balance on the Note maybe paid prior to
maturity without penalty.
6. DUE-ON-SALE. As part of the Seller Disclosures referenced in Section 7 of the
REPC, Seller shall provide to Buyer a copy of the underlying mortgage, the note
secured thereby, and the amortization schedule. Buyer's obligation to purchase
under this Contract is conditioned upon Buyer's approval of the content of those
documents, in accordance with Section 8 of the REPC. If the holder of the
underlying mortgage calls the loan due as a result of this transaction, Buyer
agrees to discharge the underlying loan as required by the mortgage lender. In
such event, Seller's remaining equity shall be paid as provided in the credit
documents.
7. BUYER DISCLOSURES. Buyer has provided to Seller, as a required part of this
ADDENDUM, the attached Buyer Financial Information Sheet. Buyer may use the
Buyer Financial Information Sheet approved by the Real Estate Commission and the
Attorney General's Office, or may provide comparable written information in a
different format, together with such additional information as Seller may
reasonably require. Buyer [ ] WILL [X] WILL NOT provide Seller with copies of
IRS returns for the two preceding tax years. Buyer acknowledges that Seller may
contact Buyer's current employer for verification of employment as represented
by Buyer in the Buyer Financial Information Sheet.
8. SELLER APPROVAL. By the Seller Disclosure Deadline referenced in Section
24(b) of the REPC, Buyer shall provide to Seller, at Buyer's expense, a current
credit report on Buyer from a consumer credit reporting agency. Seller may use
the credit report and the information referenced in Section 7 of this Addendum
("Buyer Disclosures") to evaluate the credit-worthiness of Buyer.
8.1 Seller Review. By the Evaluations & Inspections Deadline referenced in
Section 24(c) of the REPC, Seller shall review the credit report and the Buyer
Disclosures to determine if the content of the credit report, and the Buyer
Disclosures, is acceptable. If the content of the credit report or the Buyer
Disclosures is not acceptable to Seller, Seller may elect to either: (a) provide
written objections to Buyer as provided in Section 8.2 of this ADDENDUM; or (b)
immediately cancel the REPC by providing written notice to Buyer by the
Evaluations & Inspections Deadline referenced in Section 24(c) of the REPC. The
THIS FORM APPROVED BY THE UTATH AREAL ESTATE COMMISION AND THE OFFIC E OF THE
UTAH ATTORNEY GENERAL, EFFECTIVE AUGUST 17, 1998. IT REPLACES AND SUPERCEDES
ALL PREVIOUSLY APPROVED VERSIONS OF THIS FORM.
Addendum to Real Estate Purchase Contract UAR Form 11 (Rev.8/98)
Buyer(s)______ Seller(s)_____
RealFA$T(R) Forms, Xxx 0000, Xxxxxx, XX 00000, Version 6.00,
(C)RealFA$T(R), 1999; Reg# LUTUAR225136
Completed by - Xxx Xxxx, Realtor, Prudential Realty Associates
12/24/99 08:10:11 Page 1 of 2
Brokerage, upon receipt of a copy of Seller's written notice of cancellation,
shall return to Buyer the Xxxxxxx Money Deposit.
8.2 Seller Objections. If Seller does not immediately cancel the REPC as
provided above, Seller may, by the Evaluations & Inspections Deadline referenced
in Section 24(c) of the REPC, provide Buyer with written objections. Buyer and
Seller shall have seven calendar days after Buyer's receipt of the objections
(the "Response Period") in which to agree in writing upon the manner of
resolving Seller's objections. Buyer may, but shall not be required to, resolve
Seller's objections. If Seller and Buyer have not agreed in writing upon the
manner of resolving Seller's objections, Seller may cancel the REPC by providing
written notice to Buyer no later than three calendar days after expiration of
the Response Period. The Brokerage, upon receipt of a copy of Seller's written
notice of cancellation, shall return to Buyer the Xxxxxxx Money Deposit.
8.3 Failure to Object. If Seller does not deliver a written objection to
Buyer regarding the credit report or a Buyer Disclosure by the Evaluations &
Inspections Deadline referenced in Section 24(c) of the REPC or cancel the REPC
as provided in Sections 8.1 or 8.2 of this ADDENDUM, the credit report and Buyer
Disclosures will be deemed approved by Seller.
9. TITLE INSURANCE. Buyer [X] SHALL [ ] SHALL NOT provide to Seller a lender's
policy of title insurance in the amount of the indebtedness to the Seller, and
shall pay for such policy at Settlement.
10. DISCLOSURE OF TAX IDENTIFICATION NUMBERS. By no later than the Settlement
Deadline referenced in Section 24(e) of the REPC, Buyer and Seller shall
disclose to each other below their respective Social Security Numbers or other
applicable tax identification numbers so that they may comply with federal laws
on reporting mortgage interest in filings with the Internal Revenue Service.
To the extent the terms of this ADDENDUM modify or conflict with any provisions
of the REPC, including all prior addenda and counteroffers, these terms shall
control. All other terms of the REPC, including all prior addenda and
counteroffers, not modified by this ADDENDUM shall remain the same. [X] Seller [
] Buyer shall have until Dec 27,1999 [ ] AM [X] PM Mountain Time 5: 00 PM, to
accept these terms in accordance with Section 23 of the REPC. Unless so
accepted, this offer shall lapse.
__________________________________________________ ________________________
[ ]Buyer [ ] Seller Signature Date Time Social Security Number
__________________________________________________ ________________________
[ ]Buyer [ ] Seller Signature Date Time Social Security Number
ACCEPTANCE/COUNTEROFFER/REJECTION
CHECK ONE:
[ ]ACCEPTANCE: [ ] Seller [ ] Buyer hereby accepts these terms.
[ ] COUNTEROFFER: [ ] Seller [ ] Buyer presents as a counteroffer the terms set
forth on the attached ADDENDUM NO. n/a.
________________________________________________________________________________
(Signature) (Date) (Time) (Signature) (Date) (Time)
[ ] REJECTION: [ ] Seller [ ] Buyer rejects these terms.
________________________________________________________________________________
(Signature) (Date) (Time) (Signature) (Date) (Time)
THIS FORM APPROVED BY THE UTATH AREAL ESTATE COMMISION AND THE OFFIC E OF THE
UTAH ATTORNEY GENERAL, EFFECTIVE AUGUST 17, 1998. IT REPLACES AND SUPERCEDES
ALL PREVIOUSLY APPROVED VERSIONS OF THIS FORM.
Addendum to Real Estate Purchase Contract UAR Form 11 (Rev.8/98)
Buyer(s)______ Seller(s)____
RealFA$T(R) Forms, Xxx 0000, Xxxxxx, XX 00000, Version 6.00,
(C)RealFA$T(R), 1999; Reg# LUTUAR225136
Completed by - Xxx Xxxx, Realtor, Prudential Realty Associates
12/24/99 08:10:11 Page 2 of 2
