AAR Miscellaneous New and Revised Forms | January 2011
Posted on January 1, 2011 by Michelle Lind, Esq
The Miscellaneous Forms Workgroup was chaired by Martha Appel and included Larry Hibler, Jim Amdahl, Kathy Sanford, Paula Serven, Liz Echeverria and AAR staff Christina Smalls and Jan Steward. This group worked on five miscellaneous forms: Multiple Counter Offer, Multiple Offer/Counter Offer, Counter Offer, Residential Buyer’s Inspection Notice and Seller’s Response (BINSR) and Short Sale Addendum to the Residential Resale Real Estate Purchase Contract.
The Multiple Counter Offer form was revised to clarify when the seller was agreeing to the terms of the Multiple Counter Offer or submitting an additional counter offer. The Multiple Offer/Counter Offer form is a new form that essentially mirrors the Multiple Counter Offer form. This form is intended for use by buyers making offers on multiple properties. The Counter Offer form, which has remained unchanged since 1996, was revised for consistency with the Multiple Offer/Counter Offerand Multiple Counter Offerforms. The acceptance language in all three forms now references the Notice section of the Contract (Section 8m) for acceptance delivery purposes.
The Residential Buyer’s Inspection Notice and Seller’s Response (BINSR) form was expanded to three pages by adding additional lines. The additional lines were added to respond to members comments that more space was needed for a seller to respond to a buyer’s notice of items disapproved.
A small but significant revision was made to the Short Sale Addendum to the Residential Resale Real Estate Purchase Contract. The line in the Short Sale Addendumrequiring the buyer to pay all loan costs was removed because it is becoming more common that the seller will pay some loan costs in a short sale transaction. As a result, the parties responsible for paying loan costs in a short sale transaction will be as set forth in the Contract. As an aside, a short sale workgroup will be formed in the near future to again discuss AAR’s short sale forms, as well as other issues arising from this type of transaction, and recommend any actions that AAR might take to make a positive impact on the industry in this regard.