When you must use the contingency addendum
03/20/2015 | Author: Editorial Staff
My client wants to purchase a property and make that contract contingent on the sale of his current home. Do I have to use the Addendum for Sale of Other Property, or can I just write this language in the Special Provisions Paragraph of the One to Four Family Residential Contract (Resale)?
You must provide the addendum. TREC rules require a licensee to provide the Addendum for Sale of Other Property to a buyer who wants to make a contract contingent on the sale of another property. Licensees are not allowed to write language into the Special Provisions Paragraph for situations that are covered by a TREC promulgated form, such as the contingency addendum.
If your client doesn’t want to use the addendum, you should advise him to consult his attorney to draft language that will reflect his intention.
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