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Real Estate Closing Date Addendum

Real Estate Closing Date Addendum Template for United States

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Key Requirements PROMPT example:

Real Estate Closing Date Addendum

"I need a Real Estate Closing Date Addendum to extend the closing date from January 15, 2025, to March 1, 2025, due to pending mortgage approval, with an extension fee of $500 to be paid by the buyer."

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Document background

The Real Estate Closing Date Addendum is utilized when circumstances require a change to the original closing date specified in a real estate purchase agreement. Common reasons for such modifications include delays in obtaining financing, incomplete repairs, title issues, or other unforeseen circumstances. This document is crucial in the United States real estate market as it provides a formal mechanism to modify the closing timeline while maintaining the validity of the original purchase agreement. The addendum must be executed by all parties to the original contract and typically includes the new closing date, reason for the change, and any associated terms or conditions.

Suggested Sections

1. Original Agreement Reference: Section identifying and referencing the original purchase agreement being modified, including date of original agreement and parties involved

2. Parties: Identification of all parties to the agreement, including buyer(s), seller(s), and their legal capacity

3. Background: Brief context explaining the need for the closing date modification and reference to original agreement

4. Definitions: Key terms used in the addendum, including references to defined terms from original agreement

5. New Closing Date: Clear statement of the new agreed closing date and time

6. Effect on Other Terms: Confirmation that all other terms and conditions of the original agreement remain unchanged

7. Signatures: Execution block for all parties, including dates and notary requirements

Optional Sections

1. Extension Fee: Details of any monetary consideration required for the closing date extension, including amount, payment terms, and deadline

2. Mortgage Contingency Modification: Amendments to existing mortgage contingency dates and terms necessitated by the closing date change

3. Force Majeure Provisions: Special provisions addressing delays caused by circumstances beyond parties' control

4. Additional Deposits: Requirements for any additional earnest money deposits due to the extension

Suggested Schedules

1. Schedule A - Updated Timeline: Revised schedule of key dates including inspection periods, contingency deadlines, and other time-sensitive requirements

2. Schedule B - Extension Fee Schedule: Detailed breakdown of any extension fees, payment schedule, and proration calculations if applicable

3. Schedule C - Updated Closing Disclosure: Revised closing costs and adjustments reflecting any changes due to the new closing date

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓƵ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
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Industries

RESPA: Real Estate Settlement Procedures Act - Federal law that requires certain disclosures and regulates real estate settlement processes

TILA: Truth in Lending Act - Federal law requiring lenders to provide standardized information about credit terms and costs

TRID: TILA-RESPA Integrated Disclosure Rule - Combines requirements of TILA and RESPA for simplified loan disclosures and timing requirements

Fair Housing Act: Federal law prohibiting discrimination in real estate transactions based on protected characteristics

State Real Estate Laws: Specific state-level regulations governing real estate transactions, varying by jurisdiction

State Contract Laws: State-specific laws governing contract formation, enforcement, and remedies

State Disclosure Requirements: State-mandated disclosures specific to real estate transactions in the jurisdiction

State Recording Requirements: State-specific rules for recording real estate documents and notarization requirements

Statute of Frauds: Legal principle requiring real estate contracts to be in writing to be enforceable

Time is of Essence: Legal provision making time commitments and deadlines material terms of the contract

Force Majeure: Contract provisions addressing unforeseeable circumstances preventing fulfillment of contract obligations

Original Purchase Agreement: The primary contract that the closing date addendum will modify

Mortgage Contingency Requirements: Provisions relating to obtaining financing and impact of closing date changes on mortgage commitments

Title Insurance Requirements: Requirements for maintaining title insurance coverage through the modified closing date

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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