Category: Dear Forms Committee

Q: I have a buyer under contract who is paying cash for a property. In Section 3 – Financing Type, they selected “Yes” for the appraisal contingency. We’ve now received the appraisal, and it came in $5,000 below the purchase price. The contingency deadline has

Q:  Lenders often wait to order the appraisal until after the inspection is resolved, which can make it challenging to meet the Appraisal Contingency Deadline. What was the intent behind establishing a defined timeframe in the Sale Agreement as well as separating it from the financing contingency?    A:  The Appraisal Contingency was introduced

Q:  With the removal of OREF 058 – Professional Inspection Addendum and its replacement with OREF 058 – Advisory to Buyer Regarding Due Diligence, where should buyers and agents now identify requested inspections and who is responsible for paying for them?     A:  Section 12.2(a) of OREF 001 – Residential Real Estate Sale Agreement contains the standard inspection contingency language. It

Q:  I’m preparing an offer for a buyer on a property listed by another agent in my firm, and I have a question about OREF 041 – Disclosed Limited Agency Agreement for Buyers.  In Sections 2(a) and (b), the form only addresses whether I, as the buyer’s agent, am authorized to act as a

Q: I have a question about OREF 014 – Real Estate Team Disclosure and how it applies to transaction coordinators (TCs), both licensed and unlicensed.  Should TCs be included on the form only if they’ll be communicating directly with the buyer or seller during the transaction? If they’re not required to be

Q:  Can you explain the difference between the Suitability Contingency and the Inspection Contingency in the OREF residential sale agreements?  Can you only choose one, or can you choose both?  What is the main purpose of the suitability contingency?    A:  The Suitability Contingency allows a buyer to evaluate whether a property meets

  Q:  I’d appreciate some additional information on the appraisal contingency now being separated from the loan contingency in OREF 001 – Residential Real Estate Sale Agreement.  The loan contingency still includes a requirement that the property qualify for the loan.  Qualifying, to me, means final underwriting approval from the lender, which typically requires an appraisal.  Can you

Q: I have a question about OREF 001 – Residential Real Estate Sale Agreement, specifically the offer expiration section, or Offer Deadline. I’m not sure I fully understand how the expiration date in the buyer’s original offer affects the timing of any later counteroffers. Why don’t the counteroffer forms include a separate “counteroffer

Q:  I’m working with a buyer who is looking to purchase a larger home for himself and his family. He has only bought a couple of homes in the past, so while he’s somewhat familiar with real estate transactions, he still has many questions. I’m wondering which advisories from the OREF library would be most helpful

Q: I’m working with a buyer who is paying cash for the property, and they chose to include the appraisal contingency in Section 6 of the OREF 001 – Residential Real Estate Sale Agreement. Even though the appraisal was ordered very shortly after acceptance, the appraiser has said they won’t be